New Reporter
22-01-24, 09:22
Buying sentiment for new private housing projects in the first two years of the year was sluggish
Analyst: It may pick up after the Chinese New Year
22 Jan, 2024
The two new private housing projects that took the lead this year each sold more than 50 units in the first weekend of opening, accounting for only about 30% of the total projects or units that have been launched, highlighting the lackluster buying sentiment.
Sales of new private homes have been slow at the beginning of the year as buyers are more price-sensitive and picky, and market participants believe market activity may pick up significantly after the Lunar New Year in February.
Hillhaven (341 units), a 99-year leasehold project near Hillview MRT station, and The Arcady at Boon Keng (172 units), a freehold project on Serangoon Road, were launched for sale on Saturday (January 20).
According to data provided by the developer, Hillhaven sold a total of 59 units out of the 179 units launched on the first day of the project's launch, equivalent to 33% of the units sold, with selling prices starting from 1,903 yuan per square foot.
The Arcady at Boon Keng sold 51 units, accounting for nearly 30% of the overall project. Ismail Gafoor, president of PropNex, which is in charge of sales, pointed out that project prices start from less than $2,400 per square foot, with one- and two-bedroom units accounting for the majority of sales.
Hillhaven is jointly developed by Sekisui House and Far East Organization. The Arcady at Boon Keng is jointly developed by KSH Holdings, SLB Development and Ho Lee Group.
A statement issued by Far East Agency said that all buyers of Dinglin Garden are Singapore citizens and permanent residents, 70% of whom are between 30 and 50 years old.
After experiencing the off-season in December last year and the developer's weak sales last year, the market needs more time to heat up. Ismail is not surprised by the sales performance of the above-mentioned projects, but finds it "encouraging".
Overall, Ismail believes buying sentiment may remain slightly cautious at the start of the new year, with potential buyers likely to take time to assess the market and compare options. "It feels like buyers are still price-sensitive and very picky about the properties they want to buy and are in no rush to get out."
He expects sales of new private homes to slow down at the beginning of the year and will only pick up momentum until buyers have a better grasp of market conditions. "After the Chinese New Year in February, we will see a significant pickup in market activity."
Sales performance of new private housing projects last year was mixed
Following the government's new round of real estate cooling measures launched in April last year, the performance of new private housing projects last year was mixed. Some were sold well as soon as they opened, while others were languishing.
For example, Blossoms by the Park (275 units), the first new private residential project to be launched after the introduction of the measures, sold 198 or 72% of the units on the first day of launch. Grand Dunman, a 99-year leasehold project located on Dunman Road, sold 550 units in its first weekend in July last year, accounting for about 55% of the 1,008 units. It is the second largest project after Normanton Park. , a new project had its best first weekend sales in more than two years.
In comparison, TMW Maxwell, a 99-year leasehold integrated development in Tanjong Pagar, sold seven units in its first weekend in August last year, accounting for less than 3% of the total number of units (324 units).
In an interview with Lianhe Zaobao, Huttons CEO Mark Yip said that since more new private residential projects will be launched in the future, buyers will be cautious and compare various projects before making a decision.
In addition, he noticed that one-bedroom and two-bedroom units are favored by investors and owner-occupiers. New projects launched this year have less supply in this area, which affects sales. Like The Arcady at Boon Keng, all 11 one-bedroom plus study units were sold out on the first day of sale.
Four projects will be launched around the New Year
In addition to Hillhaven and The Arcady at Boon Keng, four new projects are expected to be launched in more than a month before and after the Lunar New Year, bringing 978 units to the market.
The executive condominium (EC) project Lumina Grand (512 units) located on Yuan Ching Road is open for preview and will be launched for sale on January 27 (Saturday).
New projects that may be launched after the Chinese New Year include Lentoria @ Lentor Hills (267 units), The Hillshore at Pasir Panjang (59 units), and The Hill @ One-North in One North (140 units).
Analyst: It may pick up after the Chinese New Year
22 Jan, 2024
The two new private housing projects that took the lead this year each sold more than 50 units in the first weekend of opening, accounting for only about 30% of the total projects or units that have been launched, highlighting the lackluster buying sentiment.
Sales of new private homes have been slow at the beginning of the year as buyers are more price-sensitive and picky, and market participants believe market activity may pick up significantly after the Lunar New Year in February.
Hillhaven (341 units), a 99-year leasehold project near Hillview MRT station, and The Arcady at Boon Keng (172 units), a freehold project on Serangoon Road, were launched for sale on Saturday (January 20).
According to data provided by the developer, Hillhaven sold a total of 59 units out of the 179 units launched on the first day of the project's launch, equivalent to 33% of the units sold, with selling prices starting from 1,903 yuan per square foot.
The Arcady at Boon Keng sold 51 units, accounting for nearly 30% of the overall project. Ismail Gafoor, president of PropNex, which is in charge of sales, pointed out that project prices start from less than $2,400 per square foot, with one- and two-bedroom units accounting for the majority of sales.
Hillhaven is jointly developed by Sekisui House and Far East Organization. The Arcady at Boon Keng is jointly developed by KSH Holdings, SLB Development and Ho Lee Group.
A statement issued by Far East Agency said that all buyers of Dinglin Garden are Singapore citizens and permanent residents, 70% of whom are between 30 and 50 years old.
After experiencing the off-season in December last year and the developer's weak sales last year, the market needs more time to heat up. Ismail is not surprised by the sales performance of the above-mentioned projects, but finds it "encouraging".
Overall, Ismail believes buying sentiment may remain slightly cautious at the start of the new year, with potential buyers likely to take time to assess the market and compare options. "It feels like buyers are still price-sensitive and very picky about the properties they want to buy and are in no rush to get out."
He expects sales of new private homes to slow down at the beginning of the year and will only pick up momentum until buyers have a better grasp of market conditions. "After the Chinese New Year in February, we will see a significant pickup in market activity."
Sales performance of new private housing projects last year was mixed
Following the government's new round of real estate cooling measures launched in April last year, the performance of new private housing projects last year was mixed. Some were sold well as soon as they opened, while others were languishing.
For example, Blossoms by the Park (275 units), the first new private residential project to be launched after the introduction of the measures, sold 198 or 72% of the units on the first day of launch. Grand Dunman, a 99-year leasehold project located on Dunman Road, sold 550 units in its first weekend in July last year, accounting for about 55% of the 1,008 units. It is the second largest project after Normanton Park. , a new project had its best first weekend sales in more than two years.
In comparison, TMW Maxwell, a 99-year leasehold integrated development in Tanjong Pagar, sold seven units in its first weekend in August last year, accounting for less than 3% of the total number of units (324 units).
In an interview with Lianhe Zaobao, Huttons CEO Mark Yip said that since more new private residential projects will be launched in the future, buyers will be cautious and compare various projects before making a decision.
In addition, he noticed that one-bedroom and two-bedroom units are favored by investors and owner-occupiers. New projects launched this year have less supply in this area, which affects sales. Like The Arcady at Boon Keng, all 11 one-bedroom plus study units were sold out on the first day of sale.
Four projects will be launched around the New Year
In addition to Hillhaven and The Arcady at Boon Keng, four new projects are expected to be launched in more than a month before and after the Lunar New Year, bringing 978 units to the market.
The executive condominium (EC) project Lumina Grand (512 units) located on Yuan Ching Road is open for preview and will be launched for sale on January 27 (Saturday).
New projects that may be launched after the Chinese New Year include Lentoria @ Lentor Hills (267 units), The Hillshore at Pasir Panjang (59 units), and The Hill @ One-North in One North (140 units).