BI Reveals Residential Property Prices Rise In The Fourth Quarter Of 2023

Home (photo: dock. Antara)

JAKARTA - The results of the Bank Indonesia Residential Property Price Survey (SHPR) indicate that the development of residential property prices in the primary market will increase in the fourth quarter of 2023, although not as high as the previous quarter's growth.

Assistant Governor of the BI Communication Department Erwin Haryono said that as reflected in the Residential Property Price Index (IHPR) in the fourth quarter of 2023, it grew by 1.74 percent (yoy), but it was lower than the growth in the third quarter of 2023 which was 1.96 percent (yoy).

"The sale of residential properties in the primary market in the fourth quarter of 2023 is indicated to have increased quite high compared to the previous quarter," he explained in his official statement Monday, February 19.

Erwin added that this was reflected in sales growth of 3.27 percent (yoy) in that period, improving from the previous quarter which contracted by 6.59 percent (yoy).

Furthermore, the survey results also show that the financing for residential property development is mainly sourced from the developer's internal funds with a share of 72.82 percent.

Meanwhile, in terms of consumers, the main financing scheme in purchasing primary homes is Home Ownership Loans (KPR), with a share of 75.89 percent of total financing.