In a Monday report, analyst Ng Li Hiang says recent buoyancy in the Singapore property market augurs well for housing loans.
SINGAPORE (July 17): UOB KayHian is maintaining its “neutral” rating on Singapore banks stocks which are currently trading at about 1.1 to 1.2x forward P/BV or slightly below the historical average.
Housing loans represent 31% of the system’s domestic banking unit (DBU) loans. Following the implementation of cooling measures since 2009-2013, mortgage growth has slowed from 16% y-o-y at end 2012 to 4% y-o-y now.
