The value of homes sold in the auction has increased 31.2% in the first quarter alone.
11 homes sold in the auction to the tune of $19.97 million
In Q1 of 2017, 8 homes were sold under the hammer for $15.23 million. This year, the numbers rose by 31.2% with the total value of 11 homes sold within Q1 reaching $19.97 million.
Property analysts are seeing this improvement as market resilience. The positive sentiments in the market are shown in the strong demand for property purchases, both residential and commercial. While some buyers may have been waiting for policy changes, especially in stamp duty rates, many may be tired of waiting and are coming back into the fold.
The Government’s announcement of stamp duty hikes in the last Budget may have given buyers a strong sign that this policy is not likely to shift anytime soon.
Older developments more popular with investors
Lender sales were the most popular among bidders with 8 units sold at a total of $13.42 million. The highest price for a residential property sold in auction in Q1 was $2.9 million. This was for a residential unit at Leighwoods on Mount Sinai Rise in prime district 10. The property was put up for auction by the owner. Next on the list was a commercial unit in 683 Hougang Avenue 8 auctioned off for $2.7 million.
Older developments completed before 2000 seemed to be attracting more investor interest as they may be looking to follow suit in the collective sale wave. Out of the 11 units successfully auctioned off in Q1, 6 were completed before 2000.
One of the auctions which attracted the most media attention was that of a terrace house in Jalan Batai off Upper Thomson road, where the skeletal remains of a pair of elderly reclusive sisters were found in 2016. The house was sold for $2.23 million at auction earlier this year.