Whether you are relocating, making space for a growing family, planning to move closer to your kid’s school, downsizing, figuring out when’s the best time to sell your current home can be pretty daunting, especially for first-time sellers.
In this article, we speak to property agents on when is the best time to put your property up in the market, to hopefully help you fetch the best price for your home. So read on to find out which is the best time for you!
Is there an overall optimum time for selling property?
Not according to Mr. Zac Huang, Senior Group Division Director at ERA. Huang says there is actually no “best time” for selling property, as long as the price is right.
However, he notes that sales transactions typically peak during the second and third quarters of the calendar year. “We tend to see more buyers during these months, especially for resale,” Huang shares, adding that this is probably because people aren’t away for the year-end holidays or busy with Chinese New Year celebrations.
Mr. Zac Huang, Senior Group Division Director at ERA shares that sales transactions typically peak during the second and third quarters of the calendar year.
Mr. Yong Chee Chung (Shaw), Key Executive Officer (KEO) at Century 21 agrees that volume of sales transactions tend to be highest during the second and third quarters of a year.
Shaw also tells EdgeProp.sg that homeowners who are looking to sell this year should take action sooner rather than later, preferably in the second quarter rather than the third. This is because new launches in the pipeline this year could potentially affect demand for resale properties, he says.
In 2018, JLL’s national director of research, Ong Teck Hui expects to see about 20 new project launches, yielding between 8,000 and 9,000 units. Meanwhile, HDB has announced that it will launch about 17,000 new flats for sale this year. The first Build-To-Order (BTO) exercise will be launched in February, during which HDB will offer about 3,600 flats in Choa Chu Kang, Geylang, Tampines and Woodlands.
The impending increase in supply in the residential market could potentially mean lower resale prices. “So, if you’re looking to sell, do it now while the $ psf is still reasonable,” Shaw advises.
However, it’s best to avoid selling your property during these months
Activity tends to be lowest during the year-end period leading to Chinese New Year, says ERA’s Huang.
Many people tend to be away on holiday during this time of the year. If you’re trying to sell to families, you should also keep in mind that parents will be busy entertaining their kids during the school holidays, leaving little time for house hunting. “It is for these reasons that transactions usually fall during this period,” Huang explains.
Meanwhile, Century 21’s Shaw advises homeowners to avoid putting their properties up for sale during the months of July and August, as they usually coincide with the Hungry Ghost Festival (or the seventh month). Some people are hesitant to buy property during the month as it is considered inauspicious in Chinese culture.
Viewing typically drop between 10% to 20% during the Hungry Ghost Festival, says Mr. Yong Chee Chung (Shaw), Key Executive Officer (KEO) at Century 21.
“Viewings typically drop between 10% to 20% during the seventh month. But this could also be because sellers are reluctant to put up their units for viewing during this month,” Shaw shares with EdgeProp.sg.
However, ERA’s Huang opines that younger buyers tend to be “less particular” or less superstitious about buying property during the seventh month. “Nowadays, the younger generation don’t really mind, as long as the price is right,” he says, adding that these buyers tend to be first-time buyers between the ages of 25 and 35.
How is 2018 looking for property sellers?
About 3,000 households were displaced from the en bloc craze in 2017, and the proceeds from these collective sales will likely be redistributed in the property market.
According to Century 21’s Shaw, there is a tendency for these en bloc millionaires to look for a replacement unit that is near their former homes and many are willing to pay a premium for it.
“Personally, I have handled en bloc buyers who were willing to pay 10% to 15% above market rate,” he tells us.
ERA’s Huang agrees that 2018 is certainly looking vibrant for the property market.“There has definitely been an increase in sales volume over the whole of 2017, of up to 15% to 20%,” he shares. He adds that the trend will likely continue into 2018, at least in the first half.