The season to go shopping is not limited to retail. The real estate market has seen a boost in private home transactions last month with an 18.7% leap.
Revival of real estate market
The local property market is slowly but surely coming back to life after quarters of decline since its peaks in 2010 and 2014. 1,461 non-landed private homes were sold in October, up from the 1,231 units in September.
The number of private homes sold in the first 10 months of this year is already 46% higher than the total transaction volume from last year. In a year-on-year comparison, only 658 units were sold in October 2016, making this year’s leap one of a whooping 122%. Sentiments are certainly picking up, and the pace of sales have moved steadily ahead. Demand, pent-up or not, have increased and continues to grow.
12,600 resale private non-landed homes expected to be sold this year
Perhaps in a symbiotic relationship of sorts, the private home sales and land sales segments have pushed each other to greater heights. Property analysts postulate that the increase in land prices in the city fringes may have accounted for record resale prices for private homes in the same district. Prices of resale condominium units here climbed 1.5% last month.
In the suburbs, the rise in price index was even faster at 1.7%. The increase in prices are picking up pace, in preparation for the roll out of new launches following this year’s record collective en bloc and land sales. The rest of central region (RCR) resale private home market had the best showing last month, with a 7.5% gain followed by a 6.4% increase for the core central region (CCR) and a 5.5% increase for the outside of central region (OCR).
The number of private non-landed resale units sold this year is expected to reach 12,600, up 65% from last year’s 7,633 units.