Joining the madding CROWD

/ EdgeProp
May 14, 2018 7:00 AM SGT
With a series of new condominium projects launched at new highs and achieving at least 70% sales on their first weekend, can the buying momentum be sustained?
Unlike previous years, visitors to the sales galleries of new condominium launches this year have had to jostle with a few thousand others and get in line just to have a peek at the showflats. The hubbub and crowds have given rise to a sense of euphoria at the sales galleries.
“Singaporeans must see a queue, then they will join in,” says Anson Yap, vice-president (project marketing) of ERA Realty. “We must see other people buying before we buy.”
The crowd at Twin VEW on balloting day on May 5 (Picture: CSC LAND GROUP)
At a briefing for agents on May 7, Yap said: “Foreigners are savvier and normally ahead of the trend. The fact that they are returning to the Singapore residential market and buying luxury property means that they believe the recovery of the housing market is real and they see future price upside.”
In March and April, there was a string of previews of projects in the city-fringe area and suburbs. These projects saw more than 70% of the units released sold on the launch weekend (see Table 2).
Credit: URA, various property consultants, developers
Up, up and away
On the weekend of May 5 and 6, at the launch of Twin VEW, 442 units out of a total of 520 units in the development were sold, bringing total sales to 85%. The average price of $1,399 psf achieved at the project set a new benchmark for West Coast Vale, as it was 21.7% higher than the average price of $1,150 psf at Parc Riviera next door when the project was launched in November 2016.
The developer of Twin VEW, CSC Land Group, paid $592 psf per plot ratio (ppr) for the site last year. At the beginning of this year,...