Homes still expensive despite improved housing affordability: report

Property curbs are doing their job.

New homes in Singapore have become relatively more affordable but overall housing prices remain elevated, according to the 12th Annual Demographia International Housing Affordability Survey.

The survey ranked Singapore’s housing market as “seriously unaffordable”, with a home affordability multiple of 5.0. However, the report noted that housing affordability for new houses appears to be better, on back of increased public housing supply.

The report also added that Singapore has been “far more successful” in controlling housing affordability, compared to other markets which have followed the British urban containment model.

Housing affordability has virtually spiraled out of control in places like Hong Kong, Vancouver, San Francisco, San Jose, Sydney, Melbourne, Auckland and London, reaching levels of from 8.0 to 19.0, the report said.

Hong Kong’s housing market tops the charts in terms of unaffordability, with a home affordability multiple of 19.0.