BI: Slow Growth in Residential Property Prices

By : Ahmad Fadli And Aldi Firhand. A | Friday, August 10 2018 - 23:10 IWST

Bank Indonesia
Bank Indonesia

INDUSTRY.co.id - Jakarta - Bank Indonesia (BI) Residential Property Price (SHPR) Survey in quarter II-2018 indicates a slowdown in the increase in residential property prices in the primary market.

This is reflected in the Residential Property Price Index (IHPR) in the second quarter of 2018 which grew 0.76% (qtq), slowing down from 1.42% (qtq) in the previous quarter.

"The slowing increase in residential property prices occurred in all types of houses. In the future, the slowing increase in housing prices is expected to continue in the third quarter of 2018 at 0.55% (qtq)," said Director of the Wuryandani Statistics Department in Jakarta.

In quarter II-2018, residential property sales volume was recorded at -0.08% (qtq), lower than 10.55% (qtq) in the previous quarter. The decline in residential property sales was caused by a decline in sales in medium-sized and large-type houses. Meanwhile, sales of small types of houses increased.

"Some of the factors that led to the decline in residential property sales in the second quarter of 2018 were the high interest rates on housing loans (KPR) and the minimum down payment (DP) limit on home loans," he said.

The survey results show that the financing of residential property development by developers mainly comes from non-banking. This was reflected in development financing sourced from internal developer funds which reached 58.11%.

Meanwhile, as much as 75.21% of consumers use mortgage facilities as the main facility for the purchase of residential property.

News Comment

Today's Industry

President Jokowi Inspects Prices at Danga Market, East Nusa Tenggara

Rabu, 06 Desember 2023 - 20:43 WIB

President Jokowi Inspects Prices at Danga Market, East Nusa Tenggara

President Joko “Jokowi” Widodo Tuesday (12/05) visited Danga Market in Nagekeo regency in Nusa Tenggara Timur province to inspect prices of basic necessities. The President pointed out that…

President Jokowi Enjoys Playing Football with NTT Residents

Rabu, 06 Desember 2023 - 20:39 WIB

President Jokowi Enjoys Playing Football with NTT Residents

The Wae Kesambi Football Field in Batu Cermin Village, Komodo District, West Manggarai Regency, East Nusa Tenggara (NTT) Province was busy with people on Monday (12/04). People were gathering…

President Jokowi Inspects Bulog Warehouse in Labuan Bajo

Rabu, 06 Desember 2023 - 20:35 WIB

President Jokowi Inspects Bulog Warehouse in Labuan Bajo

President Joko “Jokowi” Widodo on Monday (12/04) arrived at Komodo Airport, Labuan Bajo, East Nusa Tenggara province for a working visit. Upon his arrival at 04:30 p.m. Central Indonesian…

President Jokowi Applauds Gov’t Success in Hosting FIFA U-17 World Cup 2023

Rabu, 06 Desember 2023 - 20:32 WIB

President Jokowi Applauds Gov’t Success in Hosting FIFA U-17 World Cup 2023

President Joko “Jokowi” Widodo expressed appreciation for Indonesia’s success in hosting the 2023 FIFA U-17 World Cup. The President said that Indonesia received praise from FIFA for successfully…

Ilustrasi bank tanah di Jakarta

Rabu, 06 Desember 2023 - 20:27 WIB

President Jokowi Launches E-Land Certificate

President Joko “Jokowi” Widodo Monday (12/04) launched and symbolically handed over electronic land certificates (e-land certificates) to all recipients in all over Indonesia at the State…