Amidst frustrating January that saw huge decline in property sales, property industry players remain optimistic that industry will be able to rebound and flourish in the succeeding months.
The 107 private homes that were sold by the developers last month was recorded as the lowest output in sales since monthly sales report was made available by the government in 2007.
However, real estate investors and developers insist that recovery is expected in the succeeding months as the house-hunting season kicks off. With appealing locations and attractive pricing strategy, property developers expects more buyers to invest in their units, particularly in the mass-market line.
Developers also offer interest absorption plan, which will help the home property sector ease difficulties.
After a murky January sales output, things are starting to look up this month, as the industry already sold 800 to 850 units halfway into the month. Most of the success is attributed to the launching of two high class condos: Alexis and Caspian.
With this progress in sales, developers predict to cruise the 1,000 unit sales mark for this month alone, which would become the largest monthly sales output since August 2007.
More units are soon to be sold, when the UOL Group officially unveils its condo units at Double Bay in Semei. Frasers Centrepoint and Far East Organization are also about to release its Waterfront Waves condo units in Bedok next month. The latest condo units are offered at $600 per square foot, most of them have views at the pool.
Knight Frank executive Nicholas Mak said, “Going forward, there’ll be periodic bursts of launch activities as there would be some buyers willing to commit to a purchase if they believe the price is affordable.”
There is a plan to launch about 5,500 to 6,500 units, which will be focused in the surging mass-market segment. Sales in primary home sales are also predicted to increase significantly, with 5,000 to 6,000 raise in sales volume.
“Pent-up demand is expected to surface in the coming months, albeit buyers’ cautious stance amid the grim economic outlook will contain demand to properties worth below $800,000 as evidenced by the good take-up for the 712-unit Caspian (in Jurong Lake District) and the 293-unit Alexis at Alexandra Road,” said Ms Tay of Colliers.