Resale condo volumes post slight improvement in February amid CNY lull: SRX,

Mar 26, 2024

RESALE prices and volumes recorded a slight improvement in February, but continued to be muted against the backdrop of Chinese New Year festivities.

Flash data from SRX and released on Tuesday (Mar 26) showed that resale volumes inched up 1.2 per cent month on month to 760 units resold after falling in January.

Year on year, volumes were up 0.9 per cent and were 5 per cent higher than the five-year average volumes for the month of February.

Resale prices, meanwhile, edged up 0.2 per cent on the month but rose 6.1 per cent year on year. The Core Central Region (CCR) and Outside Central Region (OCR) rose by 0.2 per cent and 0.1 per cent, respectively, while resale prices in the Rest of Central Region (RCR) stayed flat.

Compared with the same period last year, OCR prices led gains at 7.6 per cent, followed by the RCR at 6.1 per cent and CCR, which rose 2.8 per cent.

Around 43.8 per cent of total resale volumes were from the OCR, followed by 35.6 per cent from the RCR and 20.5 per cent from the CCR.

Sub-sale transactions accounted for 11.1 per cent of all secondary sales, down 1.2 percentage points from December 2023.

Sub-sale deals refer to secondary sales made before a projectís completion, while secondary sale transactions comprise both resale and sub-sale transactions.

The highest transacted price for a resale unit in February was S$12.9 million for a unit at Ardmore Park.

In the RCR, the most expensive unit resold was at The Interlace, which changed hands for S$5.3 million. In the OCR, the highest transacted resale price was S$3.3 million for a unit at Kew Green.

The overall median capital gain for resale condos rose to S$368,000 in February, up S$21,000 from the month prior.

District 15 (East Coast, Marine Parade) posted the highest median capital gain at S$725,000, while District 1 (Boat Quay, Raffles Place, Marina) recorded a median capital loss of S$85,000.

District 22 (Boon Lay, Jurong, Tuas) recorded the highest median unlevered return at 57.1 per cent, while District 1 recorded a negative median unlevered return of 2.4 per cent.

Capital gains and returns on a condo resale unit are calculated by comparing the current transacted price with the previous transacted price of the same unit. Districts with fewer than 10 matching transactions are excluded from the ranking.