The property market in 2024 saw two distinct halves, with the first half being slower and boutique developments taking the spotlight. According to data from Huttons Data Analytics, it was the lowest number of units launched for sale since 1H1996, with only 1,889 units sold – the lowest since 1996.The only exception to this trend was the 533-unit Lentor Mansion, which saw a 75% take-up rate during its launch weekend in March. In general, most project launches in 1H2024 saw relatively subdued sales compared to 2023. Huttons Asia CEO Mark Yip notes that the market was cautious and tentative, possibly due to uncertainties in the job market and persistently high interest rates. Many buyers were likely holding back, waiting for highly anticipated project launches later in the year, such as Chuan Park and Emerald of Katong.However, things started to pick up in the second half of the year, with the launch of the 276-unit Kassia on Flora Drive in late July, which saw a 52% take-up rate. This set the stage for strong sales momentum following the Lunar Seventh Month. The first project to be launched after that period was the 158-unit 8@BT at Bukit Timah Link, which saw 53% of its units snapped up over the weekend of Sept 21-22 at an average price of $2,719 psf.In 3Q2024, new home sales jumped 60% q-o-q, according to Huttons, which marked a significant shift in sentiment that some attributed to the 50-basis point interest rate cut by the US Federal Reserve in September. This was followed by the launch of Meyer Blue on Oct 5, where over 50% of the 226 units were sold in private sales. Prices reached an average of $3,260 psf, setting a new benchmark for the prime District 15 area on the East Coast.Another notable performer was the 384-unit Norwood Grand in Woodlands, which saw an impressive take-up rate of 84% during its launch weekend in October. With units sold at an average price of $2,067 psf, it was the first time a project in Woodlands surpassed the $2,000 psf threshold.By November, things were reaching a fever pitch with the launch of six new projects comprising a total of 3,551 units. This began on Nov 6 with the release of the 367-unit The Collective at One Sophia, followed by the 366-unit Union Square Residences at Havelock Road on Nov 9. Things really took off over the weekend of Nov 15-16, when three projects were launched in concert: the 846-unit Emerald of Katong, the 552-unit Nava Grove, and the 504-unit Novo Place Executive Condo.Buoyed by the strong sales performance in November, total developer sales for the first 11 months of 2024 reached 6,344 units, and are expected to surpass 6,500 units by the end of the year. This would exceed the 6,421 units sold in 2023, showcasing the strength and resilience of the property market, according to Huttons Asia CEO Mark Yip.However, there are speculations about the possibility of further cooling measures being introduced, given the surprisingly high sales figures in November. According to JLL’s head of residential research, Chia Siew Chuin, despite the impressive figures, any government intervention is unlikely as long as the numbers do not show a sustained increase in sales or sharp increase in property prices outpacing GDP growth.
When looking into investing in a Singapore Condo, it is crucial to also evaluate the potential rental yield. This refers to the annual rental income as a percentage of the property’s purchase price. In the Singapore market, rental yields for condos can vary greatly depending on factors such as location, condition of the property, and overall demand. Generally, areas with high rental demand, such as those near business districts or educational institutions, tend to offer better rental yields. It is essential to conduct thorough market research and seek the expertise of real estate agents to gain valuable insights into the rental potential of a specific Singapore Condo.