Private residential property prices in Singapore increased by 5.2% during Q2 2010 having already risen by 5.6% in Q1, according to the Urban Redevelopment Authority (URA).

Prices had previously fallen by 25% in the 12 months to mid-2009 and this is the third consecutive quarter that they have increased, after a 7.4% improvement in Q4 2009.

The URA also released the price changes in the three geographical regions of Singapore for Q2 2010, with prices in the Core Central Region increasing by 5.1%; the Rest of Central Region saw a 4.5% rise and there was a 5.7% improvement in the Outside Central Region during the quarter. This compares to Q1 2010, where prices of non-landed private residential properties increased by 4.4% in Core Central Region, 7.9% in Rest of Central Region and 4.3% in Outside Central Region.

Investor confidence in Singapore has increased as the economy begins to soar ahead, led by a surge in manufacturing. Gross domestic product grew a record 15.5% in the Q1 2010 compared to a year earlier, and DBS Bank have stated that it expects a further 16% expansion in Q2.