According to data released on Thursday by the Urban Redevelopment Authority, sales of new private homes in Singapore, except executive condominiums (ECs), doubled to 1,296 units in March from 645 units in February (15 April).
Developer shipments increased 96.4 percent year over year from 660 units sold in March 2020.
“This takes developer revenues in the first quarter of 2021 to 3,573 units, up 66.3 percent from the same time last year and the highest quarterly new home sales since Q2 2013’s 4,538 units, which sparked the 8 rounds of cooling measures,” said Tricia Song, Colliers International’s Head of Research for Singapore.
Developers delivered 77 ECs (hybrid public-private housing) in March, down 30.6 percent from the 111 units sold in February.
Total developer revenues, including ECs, rose 81.6 percent month over month and 51.9 percent year over year to 1,373 units.
Investors demonstrated renewed interest in luxury condos, according to Christine Sun, Senior Vice President of Research and Analytics at OrangeTee & Tie, as prices of new homes in prime districts rebounded back up strongly last month.
In the Core Central Region (CCR), 546 luxury homes were sold in March, a ninefold increase from the 58 units sold in February.
The arrival of Midtown Modern was a major factor in the CCR’s strong revenues. The 558-unit construction, which was the best-selling project in March, sold 368 units, accounting for 65.9% of overall developer deliveries and 28.4% of total developer sales.
RV Altitude, The M, Fourth Avenue Residences, Leedon Green, Kopar At Newton, and Martin Modern were among the high-end projects that managed to sell units last month. RV Altitude at River Valley has since been sold out.
CCR accounted for 42.1 percent of new home sales last month, thanks to the Midtown Modern sales. It was preceded by the Rest of Central Region (RCR), which accounted for 29.9% of total revenue, and the Outside of Central Region (OCR), which accounted for 27.9% of total sales.
According to Song, 55.3 percent of overall developer purchases last month were valued between $2,000 and 2,999 per square foot (psf), up from 35.8% in February.
“Looking forward, the CCR is now poised to be reinvigorated with further fresh sales from projects like Irwell Hill Residences, which launched in April and sold more than half of its units in the first weekend of preview, as well as other non-launch developments like Peak Residences, Klimt Cairnhill, and One Bernam” said Leonard Tay, Head of Research at Knight Frank Singapore.
When it comes to trophy properties, Sun predicts that well-heeled developers and rich foreign buyers will continue to flock to Singapore.
“Foreign demand is anticipated to eventually return, backed by hopes of more price increases and a better leasing environment,” she added.
According to URA REALIS info, the amount of non-landed homes purchased by international buyers (non-permanent residents) increased by 66.7 percent to 55 units in March from 33 units in February.
Over the same time, the number of non-landed homes purchased by permanent residents rose by 98.9%, from 87 to 173 units.