Tag Archives: Coco Palms

Slump in June new home sales

Sales of new private homes in Singapore including executive condominiums declined by more than 65 percent to 531 units after reaching 1,528 units in May, according to data published today by the Urban Redevelopment Authority (URA).

The best-selling project by number of units sold in June – for the second-month running – was Coco Palms which sold 55 units at a median average price of $1,014 per sq ft.

The most expensive property sold in June based on median per sq ft pricing came from The Laurels in Cairnhill Road which transacted one units at $2,810 per sq ft.

Singapore witnessed an almost doubling of private new home sales during May, recording 1,528 units versus a mere 797 units during April – including executive condominiums.

A total of 4,798 new private homes, including executive condominiums, have been sold during the first six months of the year, according to data from URA. The first six months of last year saw a total of 11,868 units transacted according to the same data source.

Also in contrast to this month’s figures June 2013 saw a total of 2,119 private homes sold, including executive condominiums.

Last week Singapore’s Deputy Prime Minister and Finance Minister Tharman Shanmugaratnam expressed his opinion that there will not be a property market crash although he added that a further correction would not be unexpected.

In recent months various government spokespeople have said it’s too early to relax any of the cooling measures that it began to implement In 2009 to control the red-hot real estate market in the city-state.

According to URA, prices as well as the number of units sold during the month are based on the Option to Purchase (OTP) issued by developers to buyers.

An OTP is a right or option given by the vendor to an intending purchaser to buy the property at a specified price within a specified period of time – the validity period of the option. The intending purchaser must pay a booking fee of between 5 – 10 percent of the agreed price for this right or option. The purchaser has to exercise the OTP within its validity period if he decides to buy the property.

New home sales shoot up in May

New private home sales in Singapore almost doubled month-on-month in May to record 1,470 units, according to latest data by the Urban Redevelopment Authority (URA).

Including executive condominiums (ECs), the number of units sold increased to 1,528 units last month from just 797 in April.

However, compared to May 2013 when 1,912 units including ECs were sold, the year-on-year decline is 20 percent.

Meanwhile, 1,790 new private homes were launched to buyers in May, approximately three times more than the 600 units released in the month before.

“The sudden flurry of launches could be due to developers timing their launches just before June school holidays and World Cup, when many buyers go on holidays, or get distracted by soccer matches, thus putting off their housing purchases,” revealed an OrangeTee report.

According to JLL, most of the buying activity took place in the Outside Central Region (OCR), accounting for 64 percent of sales, while the Rest of Central Region (RCR) and Core Central Region (CCR) accounted for 34 percent and two percent respectively.

The best-selling project last month was Coco Palms in the OCR, which sold 590 units at a median price of $1,018 psf. This was followed by Commonwealth Towers (RCR) which moved 275 homes at $1,626 psf, while The Panorama (OCR) found buyers for 100 units at $1,241 psf after developer Wheelock Properties relaunched the condominium at a discount.

Alice Tan, Head of Research at Knight Frank Singapore, said sales of units in the three developments constituted about 65.6 percent of total new sales volume.

Desmond Sim, Head, CBRE Research, Singapore, noted that there is an underlying demand for housing and newly launched projects with attractive attributes will sell.

“To date, some 3,963 new homes have been sold in the first five months of the year. In the absence of more mass market launches, we envisage that the whole year’s take-up will be in the region of 8,000-9,000 units,” said Sim.

Source : PropGuru