Concerned over frequent fluctuations of property due to speculations, Singapore authorities have planned extra efforts for making it difficult for home buyers to defer payments.

All banks and developers are directed not to sanctions loans for under-construction homes and borrowers are required to repay principal only after the completion of the building.

The Singapore government has announced to provide more land to developers besides reinstating list of confirmed land sales for the first half of financial year 2010.

National Development Minister Mah Bow Tan, while addressing the parliament said, "Given the current market conditions, the government has decided to adopt several measures to temper the exuberance in the market and pre-empt any speculative bubble from forming."

Government's announcement adversely impacted stocks of reality developers on the bourses with shares of City Developments, CapitaLand and Keppel Land declined 5.6 percent, 3.4 percent and 4.3 per cent respectively.

The country witnessed sharp increase in house prices in recent months with buyer's new interest in purchasing showrooms for new apartments availing the opportunities provided under soft interest rate regime.