Property prices have generally moved in line with nominal income growth, but if that’s misaligned the authorities need to bring it back, Ravi Menon, managing director of the Monetary Authority of Singapore, said at a briefing Tuesday following the release of the central bank’s annual report.

The comments underscore the Asian financial hub’s cautious approach to dealing with a property boom that’s showing initial signs of cooling along with some of the world’s bubbliest housing markets.

Singapore home sales took a massive dive last month to the lowest in more than two years, as concerns over interest rate hikes kept potential buyers at bay. Residential prices grew in the first six months.

In December, authorities introduced property cooling measures for the first time since 2018 to address a lack of affordability along with the risk that households may struggle to pay their mortgages at higher rates.