New private homes see highest June sales in 6 years; more snapping up freehold condos

New private homes see highest June sales in 6 years; more snapping up freehold condos

By Alison Jenner

15 Jul 2019 04:03PM (Updated: 15 Jul 2019 10:50PM)


SINGAPORE: The sale of new private homes in June was the highest for the month in six years, with more buyers snapping up freehold condominium units.

Excluding executive condominiums (ECs), developers sold 821 homes in June - when sales are typically slower because of the school holidays.

This is an increase of 25.5 per cent compared with the 654 units sold in the same month last year, and is despite a decline in the number of project launches, according to data released by the Urban Redevelopment Authority (URA) on Monday (Jul 15).

It was also the highest June monthly sales since 2013, when 1,806 homes were sold.

Compared with May, however, new private home sales fell 13.8 per cent.

"Despite the implementation of the cooling measures and heightened volatility arising from the escalation of the US-China trade tension, the return of confidence points to sound fundamentals, rising affluence and ample liquidity in Singapore real estate," said Ms Christine Li, head of research for Singapore and Southeast Asia at Cushman & Wakefield.

"Investors with a long-term view are fully cognizant of the value that Singapore real estate offers, beyond the vagaries of cyclical price movements and cooling measures," she added.

FEWER CHOICES FOR BUYERS

The stronger sales come despite a dearth of new inventory for buyers to choose from. In June, developers released 670 new homes for sale, down 51.9 per cent from the 1,394 units released in May and 7.7 per cent from the 726 homes launched in June last year.

There were also only four new projects launched last month - Sky Everton, Lattice One, Seraya Residences and Sloane Residences - compared with nine in May.

"We have to bear in mind that the month of June observed school holidays and there was a lower number of newer projects launched. Hence, with a total of 821 units being sold for the month of June, this is a credible sales performance," said PropNex Realty CEO Ismail Gafoor.

RISING NUMBER OF FREEHOLD CONDOS SOLD

One of the primary contributors to June's sales was freehold development Sky Everton, where 134 out of the 262 units launched were sold, at a median price of S$2,523 per sq ft (psf).

Trailing closely was 99-year leasehold Treasure At Tampines, which sold 70 units at a median price of S$1,320 psf.

Ms Christine Sun, head of research and consultancy at OrangeTee, noted that the market has seen a surge in the number of new freehold condos being sold.

According to URA's transaction data, 250 non-landed new freehold units were sold last month, while 316 units were transacted in May, Ms Sun pointed out.

The previous highest number of new freehold condo sales recorded was in September 2013, when 439 units were sold.

"The uptrend is expected to continue as more freehold units will be launched in the coming months," said Ms Sun.

"It is rare to have a good selection of premium, freehold projects being launched at choice locations. This could be a good opportunity for buyers to snag a freehold property; otherwise they may have to wait for the next collective sales cycle that is likely to take place many years down the road," she added.

What is the easiest process to sell your HDB flat by yourself?
The real estate sector of Singapore is on the rise in recent years, so the public housing options have increased by a considerable amount. The Government of Singapore has a unique provision by the Housing and Development Board (HDB) to provide affordable public housing for its citizens. The HDB of Singapore is providing a home for the Singaporean from approx the last six decades and the number of people availing this facility is growing day by day.
Also, to keep the balance between demand and supply the HDB launches several Built to Order Scheme. Also, it is cheap or affordable as per the other property prices of Singapore. So if you are looking for HDB house for sale in Singapore there are some procedures you need to follow.
First, you need to check whether you are eligible for HDB resale procedure
As guided by the HDB branch, you have to meet the minimum occupation period, which is a minimum for five years. Also, all your dues’ regarding any bills or lease needs to be settled first, as if you are having any dispute related to any outstanding amount, you cannot sell or resale your HDB flat in Singapore. Precisely you need to clear the legal disputes (if any) first, then you can proceed with the resale procedure.
Log in to the HDB resale portal, as only the owner can register for sell their unit:
Once you check your eligibility status and found the result is positive, and then you need to inform the HDB regarding your wish to resale your property. For that you need to log in to the HDB resale portal, which is activated from 1st January 2018; using the SingPass to start the selling or reselling procedure of your HDB flat in Singapore. Then follow the guidelines shown in the portal properly, there you need to register your intention to sell first and submit your resale application for your HDB flat, which will be valid for the next 12 months. Here you need to follow some checklists, like as; only the owner of the HDB flat in Singapore, or in case of more than one HDB flat owner, one of the owners needs to register for the intent to sell, as no salespersons or property agents are allowed to register on seller’s behalf.
Approval of resale by the HDB and OTP generation:
By thoroughly checking all your submitted documents and after clearance of outstanding amounts (if any), the portal will direct you to download the OTP and accelerate the resale process of your HDB flat in Singapore. Afterward, you need to wait for a cooling-off period, which is of 7 days and then you are eligible to grant an OTP to the buyers.
Check for eligible buyers and close the deal with a suitable one:
You need to check whether the prospective buyers are authentic or not, as the need to meet the requirements of the Ethnic Integration Policy (EIP) and Singapore Permanent Resident (SPR) Quota Policy as directed by the HDB Board of Singapore. Only buyers who have been granted an option to purchase by the HDB portal can submit a request to purchase an HDB flat in Singapore. So you can select one out of the available buyers and can close the deal as per your convenience.
The bottom line:
Selling a property is an elaborate procedure, so it’s wise to take enough time to consider the various factors before proceeding with the selling procedure and once you are determined to register for resale HDB flat for sale in Singapore, these aforementioned conditions will help you to complete the process with ease. Alternatively, you can engage a property agent to aid in your flat selling process, and that may save your time and labour, but you need to bear the cost for engaging a middleman. That’s why it’s always better if you can accomplish the entire process by yourself, here you will get a clear idea regarding your resale process. Also, you can rest assure that your resale procedure has been accomplished without any kind of disputes.

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