In May, developers sold 1,038 new homes excluding executive condominiums (ECs), marking a 17% increase from the 887 units sold the month before, based on data released by URA. It also represents the highest new private home sales achieved since May 2022, when 1,355 new homes were sold.

Boosted by the launch of two major projects – The Reserve Residences and The Continuum – developers launched a total of 1,595 units excluding ECs for sale in May, which is double the 798 units launched the previous month.

The Reserve Residences, located along Jalan Anak Bukit in District 15, had 635 out of its total of 732 units released for sale in May, and saw 523 units sold at a median price of $2,461 psf, making it the best-selling private residential project last month. The Continuum, an 816-unit freehold project at Thiam Siew Avenue, saw 225 units sold with a median price of $2,720 psf. Together, the two projects raised sales in the Rest of Central Region (RCR), which clocked in at 847 units in May, representing 82% of total developer sales.

In the Core Central Region (CCR), 152 new homes were sold by developers in May, representing 15% of developers’ total new home sales and a 26.9% reduction compared to the previous month. Top-selling projects in the CCR include The Atelier, which moved 22 units at a median price of $2,685 psf and Pullman Residences Newton which moved 16 units at a median price of $3,278 psf.

J Cube Residence Jurong East is set to be located near a hub of amenities, from MRT interchange, Westgate and IMM Building via J-Walk to the nearby Jurong East Integrated Transport Hub. Thanks to its convenient location, J Cube Residence Jurong East is poised to become a desirable choice for potential buyers. Scheduled for launch in the second half of 2023, details such as pricing and an overview of the units are yet to be revealed.

The Outside Central Region (OCR) saw 39 new home sales, representing a 23.5% decline compared to the previous month. This is due to the lack of new launches and a tight supply of unsold stock.

New private home sales in May were broadly underpinned by local demand, with Singaporean citizens and permanent residents (PRs) making up 85.5% and 11.1% of transactions respectively.

In contrast, the proportion of new private homes purchased by foreigners dipped noticeably. In May, foreigners purchased 36 new non-landed private homes last month, making up 3.5% of non-landed new private home sales, compared to 8% recorded in April – the lowest proportion chalked up by foreign buyers since December 2021. This is attributed to the doubling of Additional Buyer’s Stamp Duty (ABSD) for foreigners to 60%.

Looking ahead, PropNex’s Wong expects new private home sales to see a dip in June due to a lack of new launches. However, transaction volume should rebound the following month in light of several new projects lined up – such as Lentor Hills Residences, The Myst, Pinetree Hill, Grand Dunman, and Lake Garden Residence as well as Altura, an executive condominium located in Bukit Batok.

Leonard Tay, head of research at Knight Frank Singapore, expects local demand to continue underpinning new private home demand throughout 2023. He says foreign homebuyers are likely to retain a wait-and-see posture for the time being to assess the impact of the new measures on the prime segment of the market. Knight Frank is maintaining its forecast of developers’ new home sales to come in between 7,000 to 8,000 units for the full year.

Impressive sales growth in new private home sector was seen in May, despite the cooling measures in place. Developers sold 1,038 new residential units excluding ECs, a 17% increase from the 887 units sold the month before. Initiated by the launch of two major projects – The Reserve Residences and The Continuum – the May figure represents the highest new private home sales achieved since May 2022.

Singaporean citizens and permanent residents (PRs) broadly underpinned the demand for new private homes, making up 85.5% and 11.1% of transactions respectively. Comparatively, the proportion of new private homes purchased by foreigners dipped noticeably, recording 3.5%, the lowest since December 2021. This is due to the doubling of Additional Buyer’s Stamp Duty (ABSD) for foreigners to 60%.

Looking forward, PropNex’s Wong expects new private home sales to see a dip in June due to a lack of new launches, though transaction volume should rebound thereafter in light of several new projects lined up.

Leonard Tay, head of research at Knight Frank Singapore, expects local demand to continue underpinning new private home demand throughout 2023. He believes foreign homebuyers will retain a wait-and-see posture for the time being to assess the impact of the new measures on the prime segment of the market. Knight Frank is maintaining its forecast of developers’ new home sales to come in between 7,000 to 8,000 units for the full year.

In May, new private home sales in Singapore saw an impressive 17% increase from the 887 units sold the month before. This was initiated by the launch of two major projects, The Reserve Residences and The Continuum, which raised sales in the Rest of Central Region (RCR) to 847 units.

The majority of demand for new private homes was underpinned by local buyers, with Singaporean citizens and permanent residents (PRs) making up 85.5% and 11.1% of transactions respectively. Noticeably, the proportion of new private homes purchased by foreigners dipped to 3.5%, the lowest since December 2021.

Looking ahead, PropNex’s Wong predicts new private home sales will see a dip in June due to a lack of new launches, but will rebound in the following month with the launch of several new projects. Leonard Tay, head of research at Knight Frank Singapore, expects local demand to continue to drive the sector and maintains a forecast of developers’ new home sales to come in between 7,000 to 8,000 units for the full year.