In contrary to the property market’s usual lull in August, private home sales rose last month. Developers sold a total of 1,122 new private homes, with just a 4.8% decline from July’s sales of 1,179 units. Compared to August last year, developer sales rose a significant 82%.
August’s strong showing boosted by Parc Clematis and other new launches
Launched just 2 days after the end of the Hungry Ghost month, Parc Clematis lead the pack of new launches which largely accounted for the boost in August’s home sales figures. Other projects which also sold well include The Florence Residences, Treasure at Tampines, Parc Botannia and Parc Esta.
The average sale price at Parc Clematis was $1,615 psf while that of units at The Florence Residences was lower at $1,438 psf.
Most of the units sold were from previous launches as developers generally avoid launching new projects during the Hungry Ghost Month. August’s private home sales, however, was the second-highest apart from July.
In August, developers launched 7.5% more units than in July and 83% more than last August. 979 units were launched last month, in comparison with 911 units in July and 534 units in August 2018.
Lower interest rates also helped account for a take-up rate
July’s sales figures were lower compared to August as there was no new executive condominium (EC) launches in the month. In August, the Piermont Grand EC was launched in Punggol. Analysts are hopeful that, encouraged by August’s positive response from buyers, developers will continue to launch more projects this month.
In addition, with the raised income ceilings for ECs which was just announced earlier this month, demand for ECs is also expected to rise. This could boost sales at Piermont Grand and also for Parc Canberra which is expected to launch by the end of 2019.