Surge in new private homes sales for third consecutive month
Demand for new launch projects have recorded strong sales for the 3rd straight month in Feb 2017 – a surge from the total number of 382 units sold in Jan 2017, based on statistics.
What’s even more astonishing was the sales in Feb 2017 was more than tripled year-on-year, as compared to the 303 units sold in Feb 2016.
Despite only having 1 condo launch in February 2017, it was enough to give a significant boost to the total sales figure for new private homes within the month. And with the Government announcing various tweaks to the property cooling measures last Friday (10 March 2017), analysts believe that it will provide a lift to the market’s buying sentiments.
In total, 550 private residential homes were being put up on the property market in February 2017 compared with the 108 units released in January – where property sales in Singapore were generally hindered by the Chinese New Year activities.
The Clement Canopy, situated at Clementi Avenue 1 was the only new launch project released in Feb 2017, which managed to sell 207 out of the 250 private homes launched for sale – at an average PSF of S$1,343 per square feet (psf), making it the top selling project in the month. Another new development Parc Riviera have also contributed 200 units (with a median psf of S$1,281 psf) to the total number of sales for the month.
In the Executive Condo (EC) segment, on-going projects such as Sols Acres (the top selling EC in Feb 2017) has also chalked up 329 units, at an average psf of S$782.
Government announced tweaks to property cooling measures on 10 Mar 2017. Source: CNA
Property analysts have noted that both buyers and developers are starting to show confidence in Singapore’s property market, with plenty of major launches in the pipeline for 2017. It was also mentioned that out of the 977 units sold in Feb 2017, a total of 770 units come from existing launches.
In the coming months, market watchers are anticipating a continuation of sales momentum with the easing of cooling measures, into upcoming projects such as Park Place Residences and Seaside Residences.
Researchers have commented that the property sales were generally driven by buyers’ trend of favoring developments with a more palatable price quantum, however, the existing taxes surrounding property purchases (such as the Additional Buyer’s Stamp Duty (ABSD)) have not been tweaked and will remain as a barrier to buyers.
It’s being forecasted that the new private homes sales this month will remain similar to the numbers seen in February, despite 2 launches taking place in March – Grandeur Park Residences and the upcoming Park Place Residences.