SINGAPORE - The elite end of the residential property sector, the bungalow market, has slowed since last year after cooling measures and tighter financing rules came in.
But analysts said prices were relatively resilient despite weak market sentiment stemming from poor global economic conditions.
Fewer good-class bungalows (GCBs) changed hands this year but, on average, the selling prices were higher.
There are about 2,400 GCBs in Singapore in 39 gazetted areas, such as Nassim, Dalvey and Tanglin.
Some 49 sales had taken place as of the first week of this month, compared with 57 over the full year of 2011.
The total value transacted this year fell to $1.05 billion in this period, down from $1.16 billion for the whole of last year.
However, prices per sq ft (psf) have moved in the opposite direction.
The average price of GCB sales this year was $1,406 psf, about 10 per cent higher than the average of $1,276 psf recorded last year.
"This demonstrates the resilience of GCB prices as well as the premium they command because of limited supply," said Mr Douglas Wong, director of luxury properties at CBRE.
He noted that the profile of GCB buyers has changed after recent cooling measures, such as the revised sellers' stamp duty of up to 16 per cent which was imposed in January last year.
The loan-to-value ratio was also lowered from 70 per cent to 60 per cent for buyers with an outstanding mortgage.
This means that a buyer might have to fork out $12 million in cash for a $30million home.