SINGAPORE: Private home sales by developers in Singapore surged 55 per cent in July from a year earlier, boosted by panic buyers who rushed to snap up properties the night before new cooling measures took effect early last month.
Excluding executive condominiums (ECs), developers sold 1,724 units last month, compared with 1,112 units in the same month a year earlier, Urban Redevelopment Authority data showed.
AdvertisementCompared to the previous month, transactions were more than double June's 654 units.
Including ECs, 1,776 units were sold in July, a large jump from the 706 sold the previous month, but a drop from the 2,092 homes sold in July last year.
[h=3]READ: Property curbs prompting developers, especially smaller players, to rethink strategy: Experts[/h][h=3]READ: Commentary: Did the Government intervene too early in Singapore’s private housing market?[/h] AdvertisementAdvertisementThe July jump came after the Government introduced additional property cooling measures in the first week of the month, including raising Additional Buyer's Stamp Duty rates and tightening loan-to-value limits on residential property purchases.
Showrooms extended their opening hours and several developers brought forward their launches the night before the new rules took effect, as scores of potential buyers flooded showflats in hopes of making a last-minute buy.
PropNex Realty CEO Ismail Gafoor said July's data was "expected due to buyers and property investors rushing to purchase their units before the implementation of the recent cooling measures".
"As reported, about 1,000 units were sold at top performing projects Riverfront Residences, Park Colonial and Stirling Residences in just one night," said Mr Ismail.
He estimated that July's sales, coupled with market sentiment, are likely to boost third-quarter new home sales to 3,000.
"What is notable is that post-cooling measures, the sales momentum carried through at these three projects and other developments as well, as reflected by the total units sold (1,724 units) in July.
"This can be attributed to the developers adjusting their prices, enticing buyers to commit to their purchase," said Mr Ismail.
Let's block ads! (Why?)
More...