Singapore’s existing residential developments have experienced a resurgence in sales amid the limited number of new launches, according to a report from OrangeTee.
“In the past three months, we have observed improving sales at several existing projects, such as The Panorama and Lakeville, though this could be partly due to seasonal reasons,” said the consultancy. The former was the third top-selling development in May, with 44 units sold at a median price of S$1,232 psf, while the latter was the fourth best-selling development, with 39 units sold at a median price of S$ 1,279 psf.
Looking ahead, OrangeTee believes this trend will continue. “With the continued taper of the GLS programme since 2H 2010, we may see a moderate increase in demand for existing new projects. With fewer projects expected in the launch pipeline, buyers’ choices are narrowed, and some demand might gravitate to existing launches.”
However, the firm believes home prices are unlikely to rebound as the local residential market remains restricted by global economic uncertainties and the government’s series of property cooling measures, especially mortgage curbs.
Nevertheless, as developers offload their existing stock, they should have the wherewithal to maintain prices at their present levels, barring any serious decline in the global economy.
Cheryl Marie Tay, Senior Journalist at PropertyGuru, edited this story. To contact her about this or other stories email cheryl@propertyguru.com.sg
