Prime non-landed residential sales pick up in 1H2024, but market remains uncertain: Knight Frank
The shortage of overseas buyers has actually also contributed to plateauing costs, with regular prime non-landed home rates seeing just a limited half-yearly increase of 0.9% to $2,339 psf in 1H2024, from $2,319 psf in 2H2023. This is also 10.9% less than the common rate of $2,652 psf in 1H2023.
This coincides with a surge in deluxe condominium deal quantity from 72 offers in 2H2023 to 98 exchange 1H2024. The increase in transactions was greatly sustained by customers wanting family-sized, ready-to-move-in units mostly for very own stay, Knight Frank’s head of non commercial and exclusive office space Nicholas Keong notes.
Therefore, dealers in the secondary market place might be struggling to adjust rate expectations down to prevailing market levels. Keong anticipates the boost in prime non-landed home prices to be between -1% and 2% for the whole year.
Other deals that made the leading five based on rate quantum in the same time frame were two new sales at the 14-unit 32 Gilstead off Newton Roadway and Dunearn Street. The units were both marketed in April and cost at $14.5 million each. At the 58-unit The Ritz-Carlton Residences Singapore Cairnhill on Cairnhill Streets, 2 units shifted controls in January for $16.5 million each.
The top prime non-landed home proceeding in 1H2024 was the sale of a penthouse at the 190-unit Skywaters Properties at 1 Prince Edward Street in Tanjong Pagar. The 7,761 sq ft penthouse on the 57th ground shifted hands at $47.3 million, or $6,100 psf. The unit was acquired by an immigrant of an undetermined nationality, based on caveats lodged.
Nevertheless, the high extra buyer’s stamp duty rates have remained to reduce demand from offshore purchasers. This has actually led to the prime housing market charting 2 succeeding half-yearly periods where complete sales price was much less than $1 billion.
Muted international buyer demand is expected to proceed weighing on the high-end condo industry, Knight Frank’s Keong notes. At the same time, Singaporean home clients are in addition becoming a lot more selective with their browse for deluxe homes.
Best non-landed homes saw a half-yearly increase of 28.2% in profits market value, from $574.7 million in 2H2023 to $736.7 million in 1H2024, according to Knight Frank’s 1H2024 prime non-landed non commercial record.
