In a positive turn of events, developers have sold a total of 2,557 new private homes (excluding executive condos) in November, as revealed by URA data published on December 16. This marks a phenomenal 246.5% increase from the 738 units sold in October and a 226% jump compared to November 2023’s sales figures.
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According to Christine Sun, chief researcher and strategist at OrangeTee Group, this recent surge in sales is the highest monthly developer sales since March 2013, when 2,793 units (excluding ECs) were sold. Mohan Sandrasegeran, head of research and data analytics at Singapore Realtors Inc (SRI), adds that this is also the first time new home sales have exceeded the 2,000-unit mark in a single month since March 2013.
What has brought about this impressive sales performance? Lee Sze Teck, senior director of data analytics at Huttons Asia, explains that a major factor is the unprecedented number of project launches in November. There were a total of five private residential projects launched during the month, consisting of Chuan Park (916 units), Emerald of Katong (846 units), Nava Grove (552 units), The Collective at One Sophia (367 units), and Union Square Residences (366 units).
In total, developers launched 2,871 new homes (excluding ECs) in November – a staggering 438% spike from the previous month and a 196% increase from a year ago. Adding to the mix, the 504-unit Novo Place EC also began its sales in November. Including ECs, the total number of new home sales in November reached 2,891 units, marking a 277% month-on-month and 226% year-on-year increase.
As of November, developers have sold an estimated 6,344 units, slightly higher than the 6,317 units sold in the same period in 2023. This is on the back of 6,627 units launched for sale by developers in the first 11 months of 2024. In comparison, developers launched 7,515 units in the same period last year.
Top-selling projects in November include Emerald of Katong, Chuan Park, and Nava Grove. The 846-unit Emerald of Katong, located on Jalan Tembusu in the Rest of Central Region (RCR), emerged as the best-selling project by units and percentage sold in 2024, with a median price of $2,627 psf. Similarly, Kingsford Group’s 916-unit Chuan Park, situated on Lorong Chua in the Outside Central Region (OCR), sold 721 units (79%) with a median price of $2,586 psf. Nava Grove, developed by MCL Land and Sinarmas Land in District 21, sold 382 units (69%) in November at a median price of $2,445 psf.
What could have fueled this strong sales performance among new launches? OrangeTee’s Sun believes that pent-up demand and improved buyer sentiment following interest rate cuts in September could have played a role. She also notes that the attractiveness of deals offered by several prominent projects launched simultaneously could have further incentivized buyers.
Huttons’ Lee adds that momentum has been building up since the last quarter when projects like 8@BT (158 units) and Norwood Grand (348 units) saw a robust response. He also observes that buyers who missed out on their preferred unit in a particular project were quick to commit to a unit in other new or existing projects, resulting in an increase in demand across the market.
In a previous report by EdgeProp Singapore, it was revealed that the launch of Emerald of Katong had a ripple effect on neighboring projects in District 15, with developments like Tembusu Grand and The Continuum experiencing a rise in sales.
Looking ahead, a more subdued December is anticipated due to the school holidays and the festive season. Lee estimates a decline in new private home sales to around 200 to 250 units, bringing the full-year sales to about 6,500 units, slightly higher than the previous year. In terms of prices, Lee predicts a 5% full-year price growth, a moderate decrease from last year’s 6.8% growth.
Going into the new year, SRI’s Sandrasegeran expects new home sales to regain momentum in January 2025 with the launch of City Developments’ The Orie (777 units) on Lorong 1 Toa Payoh. He anticipates that the extended gap since Gem Residences in 2016 for new property launches in the area will generate pent-up demand, further driving buyer enthusiasm. Other projects expected to be launched in the first quarter of 2025 include Bagnall Haus (113 units), Aurea (186 units), and Tampines EC (760 units).
OrangeTee’s Sun believes that the surge in sales in November was a temporary phenomenon, and the rest of 2024 saw subdued demand due to the lack of significant private project launches. Huttons’ Lee, however, holds a more optimistic view for the new sale market in 2025, projecting a rebound in sales to between 7,000 and 8,000 units and price growth of 4% to 7%. For the latest listings and prices of Emerald of Katong, Nava Grove, Chuan Park, Union Square Residences, and other Condominium properties, check out Ask Buddy. You can also compare past condo sale transactions, see the most unprofitable condo transactions in the last year, and compare the price trend of HDB, Condo, and Landed properties.