http://www.straitstimes.com/archive/...-2010-20141216
ECs outsell new condos for first time since 2010
Fewer exec condo projects, popular Lake Life units drive up demand
Published on Dec 16, 2014 1:47 AM
By Cheryl Ong
EXECUTIVE condominiums (EC) were the only bright spot in a faltering property market last month, and even outsold new private homes for the first time since 2010.
The numbers tell the changing nature of the sector: 412 private condo units were moved - down 48 per cent from the revised 785 units in October - while a stellar 855 EC homes were sold.
"November was a tale of two fortunes - a waning private residential market in contrast with a brisk EC market," said Mr Ong Teck Hui, national director of research and consultancy at JLL.
The unusual sales balance was due in part to EC buyers being captivated by one particular project - the Lake Life EC in Jurong - and the decision by private developers to hold off launches to concentrate on selling existing units.
It did lift the market slightly, with 1,267 new units - including ECs - selling last month, compared to 875 in October, according to the Urban Redevelopment Authority yesterday.
It was also the first time that more ECs than private condos were sold in a month since 2010, when ECs - a special hybrid of public and private housing - were re-introduced to the market.
Experts said a dearth of EC projects this year had led to pent-up demand. The robust sales were bolstered by the 546-unit Lake Life project. Developer Evia Real Estate sold 533 units at a median price of $869 per sq ft (psf) last month.
Qingjian Realty's 651-unit Bellewaters in Sengkang moved 170 units at $813 psf last month, while its 561-unit Bellewoods in Woodlands sold 79 units at $800 psf.
Ms Chia Siew Chuin, director of research and advisory at Colliers, said the numbers indicate buyers' price sensitivity as financing has become tougher.
"Home buyers, deciding between private homes and ECs, may go for the latter due to the relatively lower price quantum and housing grants," she said.
Just two new private projects were launched last month.
The 250-unit TRE Residences by MCC Land, Sustained Land and Greatview Development in Geylang was the month's top seller, shifting 52 units at a median price of $1,588 psf. Hoi Hup's 493-unit Sophia Hills in Dhoby Ghaut sold only nine units at a median of $2,292 psf.
MCL Land's Lakeville in Lakeside was second, selling 30 units at a median of $1,374 psf. The CapitaLand project D'Leedon in Leedon Heights moved 22 units at a median of $1,538 psf.
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