Singapore Property | The volatility of Singapore’s macroeconomics has been shaking the real estate industry recently. Last September, there were only 341 private units sold. The Urban Redevelopment Authority said that this is so far the lowest record for this year.
Executive condominium units sold were not counted at URA’s report. But comparing the figures from the sales during August, it went down by 34 percent since there were about 513 units sold for the said month. Moreover, the sales during September last year was two times higher with 648 units sold.
Many deemed that the huge decline in the sales were mostly because of the general elections. Investors were assuming that there might be a possible policy change regarding the acquisition of property sooner or later. Moreover, the month of the Hungry Ghost was another factor to blame. On top of that, more families were also spending their money for holidays due to school break as well.
However, most consultants have added more reasons for the weak market sentiments. Apart from what was stated above, they also included the unstable stock market particularly when it hit the lowest last September 29. The impending interest rate decrease in US’ also affects real estate market in Singapore at the same time.
The national director of JLL’s research and consultancy department said that the September decline just proves how investors are starting to lose their confidence in the real estate market. Ong Teck Hui also said that the business environment is becoming more difficult for them or due to the softening Singapore economy.
But it seems that things are looking up for October sales according to Celine Chan, a research analyst from Orange Tee. She said that with the launch of Principal Garden and Thomson Impressions, from UOL and Nanshan Group developers respectively, the sales would soon skyrocket after the big decline last September.
The list of three top-selling developments was released recently, which includes High Park Residences, Botanique @ Bartley, and Highline Residences. High Park Residences, with SG$941 psf median price, sold 46 units. Botanique @ Bartley, with SG$1,293 psf median price, sold about 38 units. Lastly, the Highline Residences, with SG$1,857 psf median price, sold 21 units during the month of September.
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