Prime non-landed residential sales pick up in 1H2024, but market remains uncertain: Knight Frank
The shortage of foreign buyers has also contributed to plateauing rates, with typical prime non-landed home costs viewing only a minimal half-yearly rise of 0.9% to $2,339 psf in 1H2024, from $2,319 psf in 2H2023. This is also 10.9% less than the typical rate of $2,652 psf in 1H2023.
Different transactions that made the leading five based on rate quantum in the same time frame were 2 brand-new sales at the 14-unit 32 Gilstead off Newton Roadway and Dunearn Street. The units were each offered in April and priced at $14.5 million each. At the 58-unit The Ritz-Carlton Residences Singapore Cairnhill on Cairnhill Streets, two units shifted hands in January for $16.5 million each.
Muted overseas investor interest is anticipated to continue weighing on the high-end apartment market, Knight Frank’s Keong notes. At the same time, Singaporean home investors are additionally emerging as more selective in their search for luxury homes.
Prime non-landed residences saw a half-yearly increase of 28.2% in sales worth, from $574.7 million in 2H2023 to $736.7 million in 1H2024, according to Knight Frank’s 1H2024 prime non-landed housing record.
The top best non-landed home transaction in 1H2024 was the sale of a penthouse at the 190-unit Skywaters Properties at 1 Prince Edward Road 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 a foreigner of an undefined nationality, based upon caveats lodged.
Blossoms By The Park Singapore
Because of this, home sellers in the secondary market place might be struggling to change cost requirements to dominating market levels. Keong anticipates the rise in prime non-landed home rates to remain within -1% and 2% for the whole year.
This accompanies a rise in deluxe condo deal quantity from 72 offers in 2H2023 to 98 deals in 1H2024. The surge in purchases was greatly incited by customers seeking family-sized, ready-to-move-in units primarily for own stay, Knight Frank’s head of non commercial and private workplace Nicholas Keong notes.
Nonetheless, the high extra home buyer’s stamp obligation fees have actually remained to suppress interest from international customers. This has actually caused the prime residence industry charting two consecutive semiannual periods where total sales worth was a lot less than $1 billion.