Mass market homes selling well despite fall in private home sales

In June 2012, 1,371 new private homes were sold which is lower than May's 1,704 units. For Q2 2012, 5,572 new homes were sold compared to 6,682 sales in the first quarter.

However it is noted that June's slower sales was due to school holidays and there were only a few large new launches rather than a sign of weakening demand.

Suburban mass-market condominium dominated new private home sales in Jun 2012 with 1,111 units sold out of the 1,371 total unit sold for the month.

Here are some top selling new properties for June 2012 :

RIVER ISLES
Units sold: 263  out of  442
Average price: $835 psf

SEA ESTA
Units sold: 255 out of 376
Average price: $906 psf

1919
Units sold: 74 out of 75
Average price: $2,042 psf

FLO RESIDENCE
Units sold: 62 out of 371
Average price: $820 psf

TROPIKA EAST
Units sold: 59 Out of  105
Average price: $1,312 psf

Tropika East in Eunos, Sea Esta in Pasir Ris and Punggol's River Isles sold more than 50% of the 920 units that were released for sale while older launches like Flamingo Valley and Seahill also moved some units for the month.

High-end residential units in the CCR ranked second for the month with 141 units transacted but managed to achieve higher sales than May 2012. This could be attributed to the brisk sale for 1919 at Mount Sophia where all except one more unit was sold at a median price of $2,042 psf.

City fringe new apartments moved 119 units compared to 362 in May.

To analyse the sale figure in proper perspective, only 1,303 units were launched for sales for the month and to move 1,111 units is still a commendable sales result. Furthermore, the 1,371 total units sold last month also exceeded the monthly sales average of 1,341 units acheived during the boom year of 2010 and 2011.

The falling sales could be a blessing in disguise for the developers as there will be less incentive for the proper authority to introduce new cooling measures.

Some analysts noted that the current sale figure is more sustainable than previous months when monthly sales exceeded 2,000 units.

On the whole, it is estimated that some 20,000 to 22,000 new private homes may be sold for this year.

18 Jul 2012