January new home sales up 14.9% before local coronavirus outbreak

/ EdgeProp Singapore |
Join our  Telegram  channel and follow our  Facebook  for the latest update.
SINGAPORE (EDGEPROP) - A total of 618 new private residential units (excluding executive condominiums or ECs) were sold last month. This is an increase of 14.9% m-o-m compared to 538 units sold in December last year, and up 41.4% y-o-y, according to the latest statistics by URA.
According to Christine Li, head of research for Singapore and Southeast Asia at Cushman & Wakefield (C&W), “the January 2020 sales figure is encouraging given that the first two months of the year tend to be seasonally lower due to the start of the school term. Notably, this is the highest January sales figure over the last seven years since January 2013, when 2,028 units were sold”.
This January also saw the launch of three new projects – all located in the city centre or Core Central Region (CCR) – namely Leedon Green, The Avenir, and Van Holland. Li says: “New launches in 2020 will be dominated by the high-end market with around half of potential new launches expected to come from the CCR.”
“Even though the economic climate is tumultuous, the number of foreign buyers entering the private property market in the CCR segment has remained stable,” says Ismail Gafoor, CEO of PropNex Realty. He points to data from URA showing an increase of 32.3% m-o-m in the number of private new homes purchased by foreigners last month.
The top-performing project last month was the 1,206-unit JadeScape which launched in September 2018. The development sold 56 units at a median price of $1,690 psf last month. It was followed by Treasure at Tampines which shifted 50 units at a median price of $1,371 psf. Other top-selling developments include Parc Esta which sold 44 units ($1,684 psf), while Parc Botannia and Parc Clematis each transacted 39 units ($1,371 psf and $1,610 respectively).
 Jadescape sold 56 units at a median price of $1,690 psf last month, and was the top selling development in that period. (Picture: Samuel Isaac Chua/The Edge Singapore)
Jadescape sold 56 units at a median price of $1,690 psf last month, and was the top selling development in that period. (Picture: Samuel Isaac Chua/The Edge Singapore)
Nicholas Mak, head of research & consultancy at ERA Realty, notes that last month was the fourth consecutive month where the overall take-up rate exceeded 100%. “This reflected the healthy buying demand and active marketing efforts invested in the launched projects. A high take-up rate also reduces the risk of an oversupply in the primary market,” says Mak.
On the ongoing coronavirus outbreak, Christine Sun, head of research & consultancy at OrangeTee & Tie, says: “There seems to be no major impact on the property market as of now since it is not one of the sectors directly affected by the coronavirus, unlike transport, retail, tourism and Mice (meetings, incentives, conferences and exhibitions).”
Gafoor of PropNex says: “Historically, most crises or downturns do not last long and are short-lived. When the storm calms, the tide of the market re-emerges with pent up demand from buyers and investors.”
Mak adds that a key determinant will be the duration of the outbreak, and market recovery may even start in the quarter after the end of the outbreak. “Some savvy homebuyers may take this opportunity to pick up some properties, especially when the market condition is at its bleakest,” he says.
For price trends, recent transactions, other project info, check out these projects' research page : OLÁ, Parc Canberra, Verticus, The M, Nouvel 18
Read also:

Follow Us
Follow our channels to receive property news updates 24/7 round the clock.
EdgeProp Telegram
EdgeProp Facebook
Subscribe to our newsletter

Our Site

Edgeprop.sg (previously known as The Edge Property Singapore) is the best property portal for real estate agents, investors, home-seekers and sellers alike in Singapore. On EdgeProp, you will be able to find the latest and hottest property news, property listings, and access tools for your research and analysis.

Whether you are looking to buy, sell or rent apartments, condominiums, executive condos, HDBs, landed houses, commercial properties or industrial properties, we bring you Singapore’s most comprehensive and up-to-date property news and thousands of listings to facilitate your property decisions. Click into any listing to check out the new AI Redesign tool to envision your property based on your preferred style, be it Scandinavian, Minimalist or many others.

View More