Category Archives: Property Price

Strong week for private home sales

Posted on 8 May 2012 | Comments Off on Strong week for private home sales

Approximately 325 new private homes were sold over the past week, amid property launches and rock bottom interest rates.

67 units were sold at Far East Organization’s 338-unit SeaHill in West Coast Link, taking total sales to 185 units since it was launched last month. Homes at the 99-year leasehold project were sold for an average of S$1,329 psf.

Far East also saw 34 more units taken up at the Hillsta in Choa Chu Kang, Silversea along East Coast and euHabitat in Eunos.

Meanwhile, MCL Land sold 27 homes at the 679-unit Ripple Bay in Pasir Ris, bringing total sales to 532 units at an average price of S$870 psf.

At the same time, over 200 units at Eight Riversuites in Whampoa East were sold at a private preview over the weekend. The 99-year leasehold project has an average selling price of S$1,400 psf, inclusive of the five percent early-bird discount.

The strong results mean that private home sales in Q1 have set a new quarterly record, with 6,682 homes sold. A big number of units sold were smaller units or shoebox apartments measuring 500 sq ft or less.

Mohamed Ismail, Chief Executive Officer of PropNex Realty, believes the sustained sales momentum reflects a strong appetite for new and reasonably priced projects located in strategic areas. In addition, he anticipates sustained healthy demand in the next one to two quarters.

Source: PropertyGuru – 8 May 2012

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Posted in New Launches, Property Market / Real Estate, Property Price

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Outlook for luxury market worsens on weakening sales

Posted on 3 May 2012 | Comments Off on Outlook for luxury market worsens on weakening sales

There is now sluggish demand for luxury homes, following recent announcements by two developers – SC Global and Ho Bee that sales figures have dwindled.

With weak profits recorded for its ready for occupancy projects, SC Global has warned of a loss of S$10 million in the first quarter. The developer has sold less than half of the units at The Marq on Paterson Hill and Hilltops.

At the same time, Ho Bee’s first-quarter earnings plunged 71.6 percent to S$15.4 million, with the Turquoise and Seascape projects at Sentosa Cove recording 46 and 28 percent in sales respectively.

Consultants said the low interest in luxury properties could be attributed to the introduction of the additional buyer’s stamp duty (ABSD) on foreign buyers.

According to Alan Cheong, Director of Research and Consultancy at Savills, foreign buyers made up 40 percent of property transactions last year in prime district 10, covering the Tanglin and Ardmore areas.

“Once you remove foreigners from buying, it also means locals who sold (homes) to foreigners also cannot recycle their capital that easily,” said Cheong.

Donald Han, Special Adviser at HSR Property Group, noted that the percentage of luxury properties bought by foreigners had dwindled since the ABSD was implemented in December.

“If you look at October to November numbers last year… the percentage of new home sales which are more than S$2,000 psf hit as high as five percent. Then came the ABSD, and… (the number) went as little as one percent,” he said. For the month of January, only 17 to 18 high-end property transactions were recorded.

Ku Swee Yong, Chief Executive at International Property Advisor, added that ABSD “reduces immediately your return on investments because these are duties you pay upfront”.

Source: PropertyGuru May 3, 2012

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Posted in Luxury Property, Property Market / Real Estate, Property Price, Sentosa Property

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