The resale condominium market has picked up once more in August. Sales increased by 19.2% with 1,273 units sold. 1,068 units were sold in July. Prices also rose 0.7%. In comparison with 2016, sales volume and prices for non-landed homes have risen 50.8% and 3.2% respectively. Only 844 units were sold in August last year.
Prospects for the private condominium market positive
The market continues to stabilize, at least price-wise. The median transaction over X-value (TOX) remained at zero in August. The districts where buyers paid the most above market valuation were districts 1 and 3. The X-value was $20,000. District 1 is right in the Central Business District, made up of the Boat Quay, Raffles Place, and Marina areas. Alexandra and Commonwealth (district 3) is situated near business hubs and there were a number of new launches in the area this year.
District 20 of Ang Mo Kio, Bishan, and Thomson however, posted a negative X-value of $20,000 (i.e. buyers were underpaying for properties). City fringe property prices have stabilized while that in the core central region rose by 0.2%. In the outside of the central region, prices rose 1.6%.
Complete recovery not yet in sight, but market is picking up
Positive and sustained rises in sales volume and prices are hopeful signs of a recovery in the private condominium market. How will this and the recent has of collective sales impact the private property market on the whole.
Will the effects be seen as soon as next year?