Business

1,555 new private homes sold last month

Strong and stable demand for new and previously-launched projects


Demand for new private homes stayed robust last month, with sales staying above 1,000 units for the second straight month - a feat not seen since the tail end of 2013.

Developers sold 1,555 new units, excluding executive condos (ECs), down 12.6 per cent from the 1,780 shifted in March, said the Urban Redevelopment Authority (URA) yesterday.

Despite the decline, sales were still more than double that moved in April last year.

"There is a trend of greater market activities and rebound in consumers' confidence, which have led to a greater number of sales, even in projects that have already been launched earlier," said PropNex Realty chief executive Ismail Gafoor.

Sentiment has picked up following the slight tweaking of some cooling measures in March. Private home values have declined by 11.6 per cent since the third quarter of 2013, as a slew of cooling measures dampened demand.

New units in suburban areas led last month's sales with 967 transactions, followed by 558 in the city fringe and 30 in the core central region.

Two new launches topped the charts: Frasers Centrepoint's Seaside Residences in Siglap sold 419 units, while Tang Group's Artra in Redhill moved 126 units.

Consultancy JLL noted that the demand for units in previously-launched projects was stable, with 1,001 units sold last month against the 1,079 in March. These popular projects included Parc Riviera in West Coast Vale, which sold 90 units, and Commonwealth Towers, where 85 homes were moved.

There were 4,696 new private homes transacted in the first four months of this year - more than half of the 8,360 or so units sold in all of last year, the URA figures showed.

In the EC segment, 371 new units were transacted last month. MCL Land's Sol Acres in Choa Chu Kang was the star performer, moving 122 units.

No ECs were launched last month, while 1,616 private homes were released - the highest number of units launched since May 2014 and a sign of rising confidence among developers, said analysts.

"...The higher demand for new launches, coupled with limited supply, could lead to a market stabilisation this year," said Mr Wong Xian Yang, head of research and consultancy at OrangeTee.

As unsold inventory continues to dwindle, Mr Wong added that "it is possible that new units will be launched at higher prices soon".

URBAN REDEVELOPMENT AUTHORITY (URA)condominiumProperty