PDA

View Full Version : Landed property sales 'buoyed by pent-up demand'



reporter2
10-06-15, 16:07
http://www.businesstimes.com.sg/real-estate/landed-property-sales-buoyed-by-pent-up-demand

Landed property sales 'buoyed by pent-up demand'

RealStar Premier MD also attributes recent pick-up in such deals to anticipated changes in ABSD

By Prisca Ang

[email protected]

Jun 3, 2015


SALES of landed properties appear to have picked up in recent months, and could climb further amid the pent-up demand and anticipated changes in the additional buyer's stamp duty (ABSD), according to RealStar Premier Group managing director William Wong.

He was speaking to the media at the launch of RealStar's showroom and sales gallery for premium landed property on Tuesday.

The implementation of the Total Debt Servicing Ratio (TDSR) and other cooling measures saw the number of transactions falling up to 50 per cent towards the end of 2013, especially among bungalows and high-quantum properties. It also resulted in buyers targeting smaller units worth less than S$5 million, he said.

However, the group's landed property transaction sales have gained momentum to hit almost its pre-TDSR, 2012 levels, buoyed by pent-up demand from both buyers and developers, Mr Wong said. According to him, the group registered a monthly average of 20 landed property transactions back in 2012.

This year, the group moved S$400 million in transaction sales, three of which were managed in the first two days of June alone.

Enquiries have also been picking up. "The number of enquiries from potential customers has been rising in recent months, especially in the last two to three weeks since the (soft) opening of the showroom," said RealStar's business development manager Jasmin Ong.

The total value of RealStar's landed property transactions thus far in 2015 amounts to more than S$400 million.

Recent transactions include properties at Robin Road, Hillcrest Road and Oriole Crescent, of which most are bungalows with land area large enough to accommodate sub-division. Other properties moved recently include three 3,800-square-foot semi-detached Richards Place units in Kovan, sold in the last three months within the S$4.7 million to S$4.85 million range.

Its highest transactions this year, two Good Class Bungalows at Bishopsgate and Swettenham Road, were moved at S$33 million and S$23.52 million respectively. It is also currently in negotiation with developers over a 43,900-sq-ft Leedon Road unit, which can be used to develop two Good Class Bungalows.

Developers make up roughly 30 per cent of RealStar's customer base, while the remaining 70 per cent comprises end-users. The group's portfolio includes freehold and 999-year-leasehold landed units in Singapore's northern, eastern and central districts. These range from detached and semi-detached units to terraces, good class bungalows, and brand new units by developers.

Mr Wong said there are some expectations in the market that changes will be made to the ABSD, levied on foreign home buyers, as well as Singaporeans who own more than one residential property here. Such tweaks, if and when effected, could increase the affordability of properties for second-time home buyers, and therefore raise demand for landed homes.

He added that the changes - which are expected by developers to take effect by end-2015 - are most likely to raise the affordability of second-time home purchases among Singapore citizens.

The TDSR will stay, however, to discourage overleveraging, he said.

RealStar's new showroom - the first for landed properties in Singapore - features pictures of its landed property range across its various sales regions in Singapore.

Situated below RealStar's Bukit Timah Road office, it will also host property talks and seminars, and features the company's e-category which provides information on the units it is selling.

proud owner
17-06-15, 23:42
Since late 2014, brand new landed houses have seen a steady demand.

especially the more affordable Inter Terraces ...

2 units of 19xx sqft land, brand new at Chun Tin area (D21) were sold at 3.8 mil each.

Nearby Yuk Tong also saw another 3.8 ish sale.

Meanwhile , terraces at D15 were also transacted at $3.5mil

Going thru PropertyGuru, filtering Terraces, one finds that the NEW units are all going at above $3 mil, some with land 15xx sqft to 19xx sqft.
Even area with no MRT (no plans for MRT) like D28 (Luxus), are traded at $3 mil and higher.

Recently, a stream of demands can be seen at D5, several new / renovated terraces with land 18xx sqft changed hands at above $3.x mil...

In the past, only Greenwood area saw terraces trading at above 2000 psf land. But now, it seems even crappy areas are asking 18xx-21xx psf land.

Dont trust URA caveat. There are many transactions that are not lodged/reported.

For those who are willing to pay, SRX has better data .


So is landed, especially the Inter-Terraces over priced ? or are there any other reasons why there is a steady demand for them ?