Following May’s strong private sales volume of 1,470 units, analysts are foreseeing a slower month for June, as it is a usually a lull period given the school holidays.
Alice Tan, Head of Research at Knight Frank Singapore said, “We expect fewer new launches this June, due in part to the June school holidays. Overall new sales volume is likely to moderate in June compared to the first two months of Q2 2014. It is anticipated that total developers’ sales for Q2 2014 could range between 2,500 and 3,000 units.”
As the lunar seventh month (which is largely regarded as an inauspicious period to commit to home purchases) falls in August this year, Chia Siew Chuin, Colliers International’s Director of Research and Advisory, said developers may continue to launch projects ahead of the period.
However, she also expects sales volume to ease: “Primary market sales volume is expected to ease to the region of 600 to 900 units in June as developers concentrate on gathering potential buying interest and moving previously launched projects before embarking on official launches for their new projects closer to July.”
PropNex expects sales performance in the subsequent months to hover between an average of 900 to 1,000 units per month. CEO of PropNex, Mohd Ismail said, “Private home sales in Q2 2014 will likely improve by over 50 percent to about 3,000 units in total as market interest gradually returns with anticipation of developers’ attractive offerings”.
For the whole of 2014, PropNex predicts sales volume to be between 11,000 to 12,000 units, about 20 percent shy of the 15,000 units in 2013.
Muneerah Bee, Senior Journalist at PropertyGuru, wrote this story. To contact her about this or other stories email muneerah@propertyguru.com.sg
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