Sales of private homes by developers in Singapore surged 52 per cent in November from a year earlier after a sharp increase in the number of new projects launched, official data showed on Monday (Dec 17).
The robust sales come - which follow government measures in July to cool the property market - at a time of the year when demand usually begins to wind down due to the start of the year-end holidays, an indication of demand for projects that are conveniently located and reasonably priced, analysts said.
Developers sold 1,198 units last month, excluding executive condominiums, compared with 788 units in the same month last year, data compiled by the Urban Redevelopment Authority (URA) showed.
On a month-on-month basis, sales of new private homes more than doubled from the 487 units sold in October.
Including executive condominiums, 1,202 units were sold, up from 937 a year ago and 510 in October.
“The strong launches and sales take-up of private homes in November is significant as they occurred during the time of the year when market activities usually begin to wind down due to the start of the year-end holidays," said Mr Ong Teck Hui, Senior Director of Research & Consultancy at JLL.
"They are in fact the strongest monthly launch and sales figures in 2018 (disregarding the 2,239 units launched and 1,724 units sold in July which were an aberration due to the sudden launch of several projects to beat the start of the July cooling measures), he added.
Developers launched several new projects in November, including Kent Ridge Hill Residences in Buona Vista, Parc Esta in Sims Avenue and Whistler Grand in West Coast.
In total, 1,341 homes were launched, compared with 450 units launched in the same period a year ago and 202 the month before.
"We think the sales performance in November continued to reflect an underlying genuine demand for astutely-priced and conveniently-located projects," said Ms Tricia Song, head of research for Singapore, Colliers International, who noted that the seven new projects launched last month made up 69 per cent of all new private home sales.
"The takeup for the new launches will also help to shore up developers’ confidence in the residential sector in Singapore, following the more muted market sentiment after new cooling measures were implemented in July 2018," she added.
In July, Singapore introduced more measures to cool its property market with the raising of the Additional Buyer’s Stamp Duty rates and tightening loan-to-value limits on home purchases.