Sentiment in the private residential market continued to be buoyant in 1Q2018. As the market picks up, which are the most popular new condos in Singapore this year?
Based on developer sales, we looked at the best selling new projects by comparing the number of units at these development versus the number of units that were sold so far this year.
1. Core Central Region (CCR)
Properties within the CCR have always been sought after by well-heeled foreign investors, particularly those from Indonesia and the United States. This is seen in the high percentage of buyers who are foreigners and permanent residents (PR) among the list of the 10 most popular new projects within the prime districts.
2. Rest of Central Region (RCR)
The Verandah Residences and Harbour View Gardens were both launched in April 2018, and have already sold over 82% and 91% of their units respectively. Aside from pent-up demand among buyers, experts attribute the robust sales to location, as there have not been many new launches in the Pasir Panjang area in recent times.
Location also appears to be the primary pull factor for buyers of Park Place Residences at PLQ. Evidently, pricing was not a deterrent for buyers of the project, which is strategically located within an integrated development and boasts a sustainable design. As of May 2018, units at Park Place Residences transacted at a median price of $2,060 psf – way above the RCR average median price of $1,726 psf for new condos/apartments in 2018 .
3. Outside Central Region (OCR)
Many HDB upgraders are expected to turn to mass-market condominiums. From the list, we can see that properties in the East are faring particularly well amongst condos in the OCR.
Indeed, locations in the East have gained appeal in recent years due to the revival of suburban localities, the establishment of new growth corridors and new MRT lines in the region. Newly built park connectors and the proximity to amenities like Bedok Reservoir also works in the area’s favour, making it potentially one of the hottest districts for investment in 2018.
This is reflected in the healthy take-up rates at new developments in the East region despite the higher-than-average launch prices. For instance, units at Fivenine and The Navian, two of the most popular projects in the OCR, transacted at a median price of $1,541 and $1,602 respectively. In comparison, the OCR average median psf for new condos and apartments in 2018 was $1,352 psf.
Meanwhile, units at the The Tapestry and Grandeur Park Residences – both also located in the East – were snapped up at a median price of $1,400 psf and of $1,503 psf respectively.
Much like the list of most popular RCR properties, the most popular OCR projects also showed a high percentage of Singaporean buyers. Our analysis showed that locals make up an average of 81% of buyers of mass market condos in 2018. Projects with high Singaporean ownership include The Navian (at 97%) and Seaside Residences (86%).
These figures suggest that many of these owners are owner-occupiers. For families with children, a project’s proximity to schools is an important consideration. (Source form Edge Property)
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