Sep 16, 2011

Sales of private homes slipped to 1,638 units in August, down 16 percent from a month earlier. Excluding executive condominiums (ECs), the total number of homes transacted in August totalled 1,348, a decrease of three percent from 1,386 in July.

The decline in sales volumes was primarily attributed to the fall in sales for ECs. Last month, only 290 EC units were sold compared to 568 units in July.

According to Ms Tejaswi Chunduri, real estate analyst at PropertyGuru, the decrease came after Prime Minister Lee Hsien Loong announced the raising of the income ceiling for Build-To-Order (BTO) flats and ECs.

“As a result of this, home buyers who fall under the S$10,000 to S$12,000 income range and who otherwise might have entered into the mass to mid-end private property market are now weighing their options and might venture into the EC market,” she said.

The bulk of private home sales came from the Outside Central Region (OCR), where euHabitat, located along Jalan Eunos, sold 439 units out of the 526 released in August, at a median price of S$1,015 psf.

euHabitat features a live-work-play environment with an exclusive blend of contemporary one-bedroom suites, SOHO-style apartments, condominiums and townhouses, with prices ranging between S$541,000 and S$2.94 million.

Boathouse Residences at Upper Serangoon View has sold 202 units out of the 277 released in August at a median price of S$898 psf. Meanwhile Blossom Residences, an EC project located along Segar Road sold 176 units last month at a median price of S$706 psf.

Additionally, Keppel Land’s The Luxurie sold 151 units at a median price of S$1,053 psf. The most expensive unit sold in August was from The Marq on Paterson Hill at a whopping S$6,394 psf.

“Traditionally, August is a gloomy period in the property market due to the Hungry Ghost Festival. Overall sales in all three regions on the island remained steady but lower compared to July. Sales in the Rest of Central Region (RCR) and Core Central Region (CCR) fell to 169 (-67 percent) and 65 (-47 percent) respectively. The OCR sold 1,404 units. The number of new launches remained stagnant at 1,435 units, similar to the previous month (excluding ECs),” Chunduri said.

She added that sales in September will “pick up with the upcoming supply as more developers launch new projects after the Hungry Ghost Festival.”

Info courtesy -