Study Methodology
The market value in this study is based on the total X-value of all measurable residential properties.
The measured residential properties – of almost 250,000 unique non-landed private (NLP) residential units and 130,000 unique HDB resale flats in total - are derived from addresses found in historical transactions in URA and SRX proprietary databases. The total X-value for HDB and NLP is the sum of all X-value for HDB and NLP units respectively.
The X-value can be calculated retrospectively i.e. an X-value for a unit can be calculated at a historical point in time. This allows us to calculate the market value at the height of the market for HDB (in April 2013), NLP (in January 2014) and our reference time point in 31 Dec 2014. The 9% drop in index is applied as is to the market value at the reference time point i.e. it is 91% of the market value at 31 Dec 2014.
URA and SRX databases are used to compile all transactional data (new sale, resale and sub sale) to extract for unique NLP units with precise postal code and unit number in Singapore. The total number of NLP units gathered for this study make up about 80% of the total stock of around 300,000 units in Singapore as of data from URA 2015 supply report. The unaccounted units are either unsold units, vacant or non-caveated which URA and SRX do not have transaction or property information for.
The SRX database is used to compile all resale transactional data for unique HDB units with precise postal code and unit number in Singapore. The HDB Resale database does not provide full unit number details and hence not used to supplement the sample size. The number of HDB units in this study hence makes up about 13% of the total stock of about 1.06 million HDB units in Singapore as of key statistics data from HDB in its 2013/14 Annual Report. The rest of the unaccounted units either do not have transactions as they are still under the mandatory Minimum Occupation Period (MOP) or are still unsold after MOP.
The total market value derived from the subset of the total stocks hence under reports the true decline, especially in the HDB market.
The estimated GDP for 2014 is derived from the estimation given by SingStat
The X-value
X-Value is based on the same real-time transaction data which powers the SRX Property Price Index. The Index is reported by all major media outlets (eg. Straits Times, Channel News Asia and Business Times) every month.
It is used by real estate valuers, consumers, real estate professionals and businesses with over 60,000 calculations made every month and growing. The accuracy of the X-Value is continuously tested for accuracy using historical transacted prices and valuation as benchmark. In a reported study of all 2013 public housing transactions, 98.2% of all resale HDB with valuation records fall within +/-10% of the X-Value.
The formulas and volumes of calculations behind each X-Value are complex but the concepts behind them are straightforward. For more information on the methodology of the X-value, follow this link: http://srx.com.sg/ask-home-prof/5522/what-is-x-value
Calculate your home's X-value here.