Singapore New Home Sales Hit 7-Year High in June 2020

New home sales posted a surprise rebound, with developers selling 998 non-landed private homes in June, up 105 per cent from 487 private homes in May, as showflats were allowed to reopen on June 19 after a two-month partial lockdown ended.

New Private Home Sales Rebound in May Despite Showflats Shut

The numbers - the highest monthly sales for June in seven years - seem to indicate resilience in the property market, as also evidenced by a 22 per cent rise in new home sales from 821 a year ago. This data is consistent with property consultants' expectation of virus' impact on new home sales to be short term, and demand to pick up in H2 2020.

Fewer new private homes were launched for sale: 597 in June, slightly lower than 615 units in May, and down nearly 11 per cent from 670 a year ago.

The figures, released by the Urban Redevelopment Authority on Monday (July 15), exclude executive condominium (EC) units, which are a public-private housing hybrid.


First-time home buyers taking advantage of a drop in prices and lower interest rates, plus workers in sectors that have not yet felt the pain of the pandemic-induced recession, such as technology and the civil service, are underpinning demand, Mr Nicholas Mak, head of research and consultancy at ERA Realty, told Bloomberg.

New homes sales transacted in the city fringes or rest of central region jumped 127.5 per cent month on month to 430 units in June, while those in the outlying areas or outside central region rose 90.3 per cent to 489 units, and those in the prime districts or core central region (CCR) surged 92.7 per cent to 79 units over the same period.

New sales were propped up mainly by Treasure at Tampines, Parc Clematis, The Florence Residences, Parc Esta, Stirling Residences and JadeScape. Kopar at Newton remained as the top-selling project in the CCR, with 25 transactions in June. This new trend should continue for upcoming new launches for the rest of the year including The Ryse Residences, mixed development at Pasir Ris.

Comments