Private property launches came to a standstill in December 2014 as developers chose to sell units from older developments to avoid a build-up in unsold units, according to analysts commenting on the residential statistics released by URA on Thursday.
The only new launch was The Terrace, an executive condominium (EC) in Punggol Drive which released 747 units at a median price of $813 psf. The project managed to sell 128 units.
Excluding ECs, the number of new private units launched by developers plunged 94 percent from the month before to hit a record low of 53 units since data was made available in June 2007.
Meanwhile, new private home sales totalled 230 units in December, corresponding to a 46 percent decline from the 423 units moved in November. OrangeTee noted this is the lowest sales volume since January 2009 when developers sold 108 units.
“With a tightened credit situation in the market, buyers have become very price and quantum sensitive and would only enter the market if they perceive a good deal. In such a market, developers face an increasingly monumental task of attracting buyers and getting them to commit to a purchase,” said OrangeTee in a report.
The report added: “As such, without any changes in housing policies in sight, the primary market is expected to remain sluggish, with pockets of demand appearing when projects are packaged attractively.”
Let’s take a look at the five best-selling private condos in December – Lakeville, Rivertrees Residences, The Panorama, RV Residences and Riverbank@Fernvale.
1. Lakeville (OCR)
Developer: MCL Land
Tenure: 99-year leasehold
Nearest MRT station: Lakeside
Median price: $1,259 psf
Sales update: 367 of the total 696 units sold. (16 units sold in December)
2. Rivertrees Residences (OCR)
Developer: Frasers Centrepoint-led consortium
Tenure: 99-year leasehold
Nearest MRT station: Sengkang
Median price: $1,019 psf
Sales update: 318 of the total 495 units sold. (13 units sold in December)
3. The Panorama (OCR)
Developer: Wheelock Properties
Tenure: 99-year leasehold
Nearest MRT station: Yio Chu Kang
Median price: $1,207 psf
Sales update: 317 of the total 698 units sold. (12 units sold in December)
4. RV Residences (CCR)
Developer: Allgreen Properties
Tenure: 999-year leasehold
Nearest MRT station: Tiong Bahru
Median price: $2,030 psf
Sales update: 137 of the total 248 units sold. (10 units sold in December)
5. Riverbank@Fernvale (OCR)
Developer: UOL Development
Tenure: 99-year leasehold
Nearest MRT station: Sengkang
Median price: $971 psf
Sales update: 284 of the total 555 units sold. (10 units sold in December)
Image: Crowds at the launch of Riverbank in February 2014. (Photo by UOL)
Romesh Navaratnarajah, Singapore Editor at PropertyGuru, wrote this story. To contact him about this or other stories email romesh@propertyguru.com.sg
