Following a six-month period of stagnation, the resale value of condominiums increased by 1.5 percent in April. The volume reached a record of 13 months.
The 27th of May the flash data released by the real estate portals SRX and 99.co revealed that 1,122 condo units were sold for the month. This was up from the 910 units that were resold in March.
The sales volume during April was 17.6 percent more than the average of the last five years.
Analysts from Huttons, PropNex, and Singapore Realtors Inc. (SRI) and all real estate firms, noticed an increase in foreign buyers during the month. The number of resales of condo transactions in the prime district (CCR) or the core central region (CCR) was up 23.3 percent compared to March.
The CCR was responsible for 22.8 percent of the total number of resales, however it was far behind by suburbs (outside central region, also known as OCR) with 45.4 percent, and the remainder central region, also known as RCR, also known as city fringes, which contributed for 31.8 percent.
The Residences at W Singapore Sentosa Cove and Cuscaden Reserve were advertised by developers as a series of units. The concept attracted buyers seeking a resale home for less.
The price per square foot of units available for sale at The Residences at W Singapore Sentosa Cove was $1,789, which is 40% lower than the initial launch price.
Singapore’s great living and business climate could draw ultra-high net worth people. Singapore’s stability in the political landscape could be a significant factor in the decision of these people to choose Singapore as a destination to reside.
Foreign buyers filed 47 caveats in condo resales in the first quarter of 2024, compared to 166 caveats in the same timeframe in 2023. 37 of those caveats came originated from US buyers.
A caveat that is filed with the Singapore Land Authority secures the property for the buyer.
In the near term the short term, he believes that sales of homes will continue to be driven by Singaporeans and Singapore residents.
“One year following the introduction of an extra stamp duty of 60 percent for foreigners, as compared to the prior 30 percent rate, the proportion of private homes purchased by foreigners has remained steady.”
He believes that the new condo developments could have contributed to the rise in demand.
The pricey new houses may have led buyers to look at older, but less expensive condos for resales in the same area. This is especially evident in areas with many new developments.
Meanwhile, prices for resales increased across all regions during the month. RCR was the first region to increase with a 2percent increase, then CCR which grew by 0.3 percent. The OCR prices were up by 0.1 percent.
Prices for resales increased by 5.1 percent over the last year. The OCR had the highest increase of 7.2 percent and was then RCR which was up 5.2 percent as well as CCR that only increased 0.2 cents.
The sub-sale sale was responsible for 9.2 percent of the total secondary sales during March which was which is an rise by 0.1 percent.
Sub-sale sales are sales that take place prior to the conclusion of a project. secondary sales transactions can include sub-sales and resales.
The Marq at Paterson Hill located situated in River Valley, was the most expensive condominium that was sold in April. It was worth $13 million.
In the RCR the highest price for a transaction was $8.3million for a property in The Peak, Queenstown. The OCR’s Windy Heights unit, Kembangan was awarded $5.36million in its unit.
The median capital gain from condos that were resold was $337,000 in August. This is lower by $40,000 compared to the previous month.
District 10 (Tanglin and Holland) was the one with the most capital gains with the highest median at $763,398. District 1 (Boat Quay Raffles Place & Marina) had the lowest median capital gains of $2,000.