Stellar housing market ends the year in the shadow of cooling measures and Omicron

EdgeProp Singapore

December 24, 2021

Singapore’s residential property market soared to record highs this year. In just the first 11 months of 2021, developers sold 12,467 new homes, surpassing 2020’s full-year volume of 9,982 units.

Despite the latest round of property cooling measures that kicked in on Dec 16, which saw additional buyer’s stamp duty (ABSD) hiked and total debt servicing ratio (TDSR) tightened, property consultants are projecting that the year could still end with about 13,000 private new homes sold. “It would be the highest since 2013 when 14,948 units were sold,” says Ong Teck Hui, JLL senior director of research & consultancy.

Even private residential resale transactions are projected to end the year in the range of 19,000 to 20,000 units — “the highest since 2010 when 22,608 units were sold”, notes Ong.

According to URA’s 3Q2021 final estimates, prices are up 5.1% year-to-September, says Tricia Song, CBRE head of research for Southeast Asia. She expects private home prices to rise by 6% to 7% for the full year, “in line with the Ministry of Trade and Industry’s narrowed 2021 GDP forecast of about 7%”, she says.

Read more at: https://www.edgeprop.sg/property-new...es-and-omicron