Don't believe the hype about a Singapore property pick-up, Nomura said, as it addressed some "half-truths" about one of Asia's long-time real estate hotspots.
That came as buyers and sellers looked cues for whether the city-state's property market had finally neared the bottom.
Singapore's private residential property prices dropped 1.5 percent on-quarter in the third quarter, according to government data, marking 12 straight quarters of declines and the largest quarterly drop since 2009, during the global financial crisis.
But the first "half-truth" about the market's next step was that the city-state's private home sales had seen strong gains, Nomura said in a note dated Thursday. In September, sales of new private residential properties picked up, rising 49.3 percent on-year and nearly 9 percent on month to 509 units.
But the bank noted that on a rolling 12-month average, developers' private home sales had hovered around 600 units a month since the end of 2014. It didn't expect that some large sales figures for October, such as a new development called The Alps Residences, and that Forest Woods had sold a combined 607 units, would matter much to the full picture.
But in a more encouraging sign, secondary market transactions have picked up, averaging 690 private homes each month for 2016's first eight months, up from 560 in the same period last year and 480 in 2014, Nomura said.
Secondly, Nomura said signs of a demand pickup for prime luxury properties were overstated.