New private home sales drop 15.2% year-on-year in May

New private home sales drop 15.2% year-on-year in May

private housing in singapore
A general view of private homes in Singapore. (AFP File)

SINGAPORE: Sales of private homes by developers in Singapore fell 15.2 per cent in May from a year earlier, according to data released by the Urban Redevelopment Authority (URA) on Monday (Jun 17).

Developers sold 952 units last month compared to the 1,122 units sold during the same period the previous year.

No new executive condominiums were sold or launched last month. 

On a month-on-month basis, sales of new private homes jumped 29.5 per cent from the 735 units moved in April on the back of several new project launches. 

A total of 1,394 units were launched in May, up from the 444 units launched in April. 

The top selling projects in May were Amber Park (155 units sold at a median of S$2,475 psf), Parc Komo (79 units sold at a median of S$1,497 psf) and The Woodleigh Residences (74 units sold at a median of S$1,823 psf).

"New private home sales rebounded strongly as more projects were launched prior to the June holidays," said OrangeTee's head of research and consultancy Christine Sun. 

She also noted that almost 30 per cent of new home sales in May, or 273 units, were transacted above S$2,000 psf. 

"Undaunted by the cooling measures and uncertain economic outlook, the market was buoyed by demand for homes above S$2,000 psf," she said.

"Of the 273 transactions, 193 units were from RCR (rest of central region) which is a historical high number of new homes sold above S$2,000 psf for the market segment."

A BUYER'S MARKET

Price, however, remains a major factor, with 62.5 per cent of buyers snapping up homes priced at S$1.5 million and below in May, said ERA's key executive officer Eugene Lim. 

"The numbers show that market is not short of buyers; and they are spoilt for choice, given the variety of projects in the market currently," he added. 

"Developers, too, are aware that it is a buyer’s market, and have taken to pricing their projects in line with expectations."

Previously launched projects continue to be in great demand, as they contributed to 53.5 per cent of the overall private new home sales in May, noted PropNex Realty's CEO Ismail Gafoor.

"For the rest of the year, we are expecting consistent sales performance, with an estimate of 8,500 to 9,000 private new homes to be transacted," he added.

Source: CNA/aa(gs)

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