Chart of the Day: Vacancy rate of private homes jumped to 5.6%

What could this sudden inflation mean?

According to Savills, the island-wide vacancy rate of private residential units increased to 5.6% after two consecutive quarters of decline since Q3/2012.

This was largely attributed to a sudden surge in vacancy rates from 2.6% to 12.0% in the northern region, where the
number of vacant condominiums rose significantly from 49 units to 869 units.

Here's more from Savills:

This sudden inflation in the number of vacant units could result from many newly completed massmarket projects in the region in the past few months.

Overall, in Q2/2013, the number of vacant homes rose by 1,301 units and this is expected to increase further, as wave after wave of new homes will soon be completed.

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