IS428 2016-17 Term1 Assign1 Chua Shan Yong James

Abstract

Using REALIS data of Urban Redevelopment Authority (URA), Singapore, this project aims to identify patterns in the share of private properties supply in 2015 and distribution of the private properties prices in 2015. With reference to identifying the trends and patterns in terms of the supply and prices, policy recommendations will be provided for 2016.

Problem and Motivation

The problems this project will be addressing are:

1. Is there an oversupply in certain property types?
2. Are prices dropping due to the oversupply?

Motivations:
With numerous news on high-end condominiums sold at a significant losses, i would like to find out if supply of condominiums are particularly high as compared to other property types.

Approaches

To analyze the private residential market, i used the Real Estate Information System (REALIS) to retrieve the data i needed. After gaining some domain knowledge from the internet, i have decided that since Executive Condominiums is a hybrid of private and public housing, i will exclude it in this project.

After downloading the relevant CSV files, i proceed to use Microsoft excel to consolidate all the data from the different files before using Tableau to read and generate the charts.

In my project, since i would like to find out if there is a "dominating" property type, using tableau i could immediately find out that condominiums are constantly dominating in terms of supply as compared to the other property types in all the quarters. While analyzing, i also found out that the supply of private properties continue to increase in the second half of the year.

The second issue that i would like to address is finding out if the price has decrease due to an oversupply. Firstly, i would need to know if there is even an oversupply existing in the market.

From the analysis, i saw that resale transactions remain as the highest contributor throughout all property types as compare to new sale. Also, it was evident that central region has the highest transactions comparing to all the other regions in singapore.

Lastly, with the total transacted price showing a drop in the second half of the year,

i could draw a conclusion that due to the oversupply in the second half of the year, it explains the drop in total transacted price in the second half of the year as well.

Tools Utilized

1. Microsoft Excel
2. Tableau
3. Microsoft Powerpoint

Results

3 policy recommendations:

1. The supply of condominiums need to be reviewed and limited otherwise it will lead to no more investors since they will always be making loss due to the oversupply.
2. review the demand for other property types as it could be residents in singapore wish to live in other property types and not condominium.
3. the price for the private property lands should have a limit to help investors from losing money from spending too much from buying the land and selling it at a loss.