The collective sales for 2011 so far have reached more than S$3 billion, according to statistics from Credo Real Estate. Showing combined sales of S$3.04 billion from 49 sites that were sold, the figures are far higher than those in previous years. 2010 saw S$1.77 billion in collective sales from 36 sites.
(Overall in 2011 the Singaporean property market has experienced relative success in comparison to the global market. Image courtesy of thinkstock.)
Of the 49 sites sold this year, 12 sold for more than $100 million, reaching a collective total of $1.71 billion. This figure accounts for 56% of the total sales. Credo Real Estate garnered a 31% share of this year’s sales.
The price of these 12 larger sites is in part due to their location in prime or mid-prime districts, said Credo’s head of research and consultancy. Speaking to the Straits Times, Ong Teck Hui explained that, “Some of the bigger developers have begun looking at such sites to avoid putting all their eggs in mass-market sites under the government land sales (GLS) programme.” Mr Ong also said that developers may choose en-bloc sites over GLS ones, as there is less severe competition.
Analysts expect next year’s sales to be lower than 2011’s. In part, this is due to intensive cooling measures, as well as world economic troubles. A new stamp duty, which affects developers who are unable to build and sell, all of their units within five years, leads Credo to believe that total sales next year will be around the S$2 billion mark.
Mr. Ong called this five-year rule a “one-size-fits-all requirement,” one that is impractical for large-scale sites, and worth reconsidering by the Government.
The luxury market in particular will find it hard to shrug off the government measures, says Ooi Yi Tung, a property analyst for Kim Eng. In a research note, he viewed the increased stamp duty as an obstacle to luxury home prices. “In our view, this poses a hurdle for the high-end segment, which sources land mainly from the en-bloc market and typically takes more than five years for redevelopment.”
Even so, data recently released by the Urban Redevelopment Authority shows the property market has done well despite rocky times last year. Their figures show that from January to November of 2011, developers sold 15,393 new homes. December’s figures will soon be announced, leading some to wonder if 2010’s record-breaking figure of 16,292 homes sold could be beaten.
|
|
|
|
|
|
|
Comments:
Please input the captcha text :
|