SINGAPORE, Oct 1 - Singapore private home prices climbed 8 percent between July and September to their highest level in a decade, but the government said there was plenty of supply, with about 46 percent of new homes in development unsold.

Singapore's Urban Redevelopment Authority said it would make more land available for residential property development next year if demand remains strong.

URA's preliminary price index for private residential homes rose to 159.6 for the three months ended September, from 147.8 in the previous three-month period.

The third-quarter gain is lower than the 8.3 percent rise in the April-June period and comes after moves by the government to cool the property market, including a hike in redevelopment charges and the tightening of rules on collective home sales that have seen firms such as CapitaLand and City Developments tear down older buildings to replace them with new projects.

"Prospective home buyers should take into account the ample piepline supply of private housing, as well as the potential supply from government land sales sites," the government agency said in a statement.

URA said 43,000 new private homes are expected to be completed from the second half of 2007 to 2010 -- with about 19,900 of these still unsold by developers.

"This is the strongest government statement yet to the market that there is plenty of supply. The government remains concerned that high property prices will raise the overall cost of doing business in Singapore and affect its competitiveness," said Chua Yang Liang, head of research at Jones LangLaSalle. URA's advance estimates are compiled from transaction prices lodged during the first 10 weeks of the quarter as well as data from new apartments that have been booked.

The agency will release the official price index on Oct. 26.

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