RESIDENTIAL MARKET
206 Waterbay units sold on first day
Some 206 of the 383 units available at Chinese developer Qingjian Realty (South Pacific)'s executive condominium (EC) project, Waterbay, were sold by 5pm yesterday, the first day bookings opened. Property consultants had earlier expected it to garner healthy interest from buyers because of its location.
The development, which sits at the junction of Punggol Central and Edgedale Plains, is a seven-minute walk to the Punggol MRT station, Punggol bus interchange and future shopping mall Waterway Point.
According to Qingjian, the three-bedroom and four-bedroom dual-key units were popular with buyers. Demand from second-time buyers was also strong, with all of the units allocated to this section of the market snapped up. According to new Housing and Development Board (HDB) rules, 30 per cent of units at EC projects have to be set aside for second-time buyers.
Donald Ng, senior marketing manager at Qingjian, said that 80 per cent of the dual-key three- and four-bedroom units, and the five-bedroom homes, have been sold. The plan is to build 17 units of each of the three home types at Waterbay.
Prices ranged from $560,000 for a two-bedroom unit and $680,000 for a three-bedroom unit, to $824,000 for a four-bedroom unit and $1.04 million for a five-bedroom unit.
On a per square foot (psf) basis, prices ranged from $688 psf, to $775 psf. The average price psf was $720.
Apartment sizes start at 753 square feet for a two-bedder, to 2,669 sq ft for a five-bedroom apartment.
Earlier, property consultants had predicted strong interest in the project, noting that EC developments in Punggol, Sengkang and Upper Serangoon have been "generally well received" despite the many private housing projects launched in that area.
Heron Bay at Upper Serangoon View, for instance, saw 1,664 interested buyers for its 394 units when it was launched last month.
Source: Business Times – 20 October 2012
Price rises likely as homes near completion
Property buyers love to see their new home or investment near completion. But what does it mean for prices?
Experts say that buyer interest in some residential projects slated to be completed within the next year has surged. Prices have risen in tandem, they add. But they warn not all projects enjoy this lift as owner-occupation nears.
Various factors such as the quality of the project, or the nearby amenities, can play a part in just how much upside is likely.
Still, as a general rule, they say that prices tend to rise at projects closer to completion as the physical occupational value of the property is closer at hand.
For investors, there is also less uncertainty over the rentability of the units, they add.
A look at nine projects completed from April to last month such as Beacon Heights, 8 @ Woodleigh, Optima @ Tanah Merah and The Trizon found that their average per square foot price rose by 8.3 per cent in the six months leading up to completion.
Experts warn that prices can dip if the rental market is not favourable when the project is completed or if the finished product does not meet expectations.
However, during an upswing in the market, most properties usually benefit as prices climb on the back of positive sentiment and a sound economy.
As a result, most projects due for completion soon enjoy higher prices than at launch time.
Other factors will be the visceral feel if the vicinity will be congested or appear cluttered. Again, this will become apparent only when the development is almost completed, he said.
Some projects due to be completed by the end of next year include Waterview in Tampines, Stevens Suites in Stevens Close and Concourse Skyline in Beach Road.
It seems developers, however, have held their prices for mid- and high-end homes steady even as the project's completion date draws near.
In fact, those in the city centre and city fringe areas are still going for very similar prices to when they were launched years ago.
But for suburban projects, the comparison is made more difficult as there is little unsold stock left.
Source: The Straits Times – 20 October 2012
St Thomas Walk homes highly prized
The market for luxury homes may be languishing in the doldrums recently but at least one enclave has been holding its own.
The cluster of private homes near St Thomas Walk, off the Orchard Road shopping belt, has notched up decent price gains, property consultants said.
The median price of new uncompleted homes in the area was $2,353 per sq ft (psf) as of the third quarter of the year.
That is a 25 per cent gain from that in the same quarter in 2009.
This translates to hefty prices for new projects. For instance, the upcoming 462-unit Twin Peaks was sold for a median price of $2,703 psf last month.
Price gains in the secondary market were even more substantial, with resale prices surging 46 per cent in about three years, narrowing the price gap between those and new homes.
As of the third quarter of the year, resale units in the area averaged $2,084 psf, up from $1,427 psf in the first quarter of 2009.
St Thomas area outperformed the high-end market - known as the core central region (CCR) - as a whole, with overall prices up 0.7 per cent from last year, against the CCR's 0.1 per cent rise.
High-end homes generally refer to those in the CCR, with a higher percentage of foreign buyers. Since the second last round of cooling measures last year, this group of buyers has had to fork out 10 per cent more for property purchases.
The St Thomas area sits behind Somerset MRT station and is home to residents living in more than 2,000 private flats.
Upcoming projects like Espada, Skyline 360 @ St Thomas Walk and The Boutiq will add more than 1,000 units in the next few years.
Interest in these has been healthy - more than half of the units have been sold - with investors likely making up the bulk of buyers, he added. This is partly because many of the upcoming projects have a high proportion of shoebox units, which typically refer to homes of about 500 sq ft and smaller.
But rents are highly variable. Data from the second quarter showed they ranged from just $3 to $6.30 psf monthly.
Investment potential is high for this area, given its proximity to the malls and other amenities in Orchard Road.
Also, new homes here are cheaper than those in the nearby Orchard Boulevard and Anguilla areas, which can cost some $4,100 to $4,300 psf.
Source: The Straits Times – 20 October 2012
Price boost for 'limited edition' exec maisonettes
The Government's reiteration that it will not build new executive maisonettes will further boost the prices of such "limited edition" units, said analysts.
These large, two-storey flats have become highly sought-after in the last few years due to a growing price gap between Housing Board flats and private property, and a wave of collective sales that have thrown up cash-rich buyers looking for big spaces.
Some flats in neighbourhoods like Bishan have made headlines for fetching record prices. This year, four of the eight units that broke the $900,000 threshold were executive maisonettes.
HDB stopped building these homes, which range in size from 138 sq m to 243 sq m, in 1995. There are 65,000 executive flats altogether, of which executive maisonettes form one group.
The spotlight on the latter has led to renewed interest on the ground, said Pasir Ris-Punggol GRC MP Gan Thiam Poh. It led him to ask in Parliament if HDB would build them again.
The Ministry of National Development said last Tuesday that it would not, as executive condominiums, which become fully privatised after 10 years, provide a more diverse range of housing options for Singaporeans.
"If they don't build any more," said Mr Gan, "prices for this particular type of flat will keep rising."
Data from the Singapore Real Estate Exchange showed the segment's prices have indeed accelerated recently. Over the last 10 years, median prices of executive flats rose 46.3 per cent compared to 101.8 per cent overall.
But in the last four years, this segment has rapidly caught up. From 2008 until now, median prices of executive flats rose 35.6 per cent, close to the 39.7 per cent of the overall market. In the third quarter, maisonettes were pricier at $631,000, compared to executive apartments at $607,500.
HUDC flats, roomy units which have the option to be privatised, regularly breach the $1 million mark.
The 17-year-old Queenstown flat that went for $1 million translated to $620 per sq ft, compared to about $1,200 psf that private properties and executive condominiums can command.
Some executive maisonettes in more remote locations like Choa Chu Kang or Yishun are still listed for under $400 psf.
Despite the possibility of runaway prices, many argue that the HDB is right to resist calls to build new executive maisonettes.
"HDB should concentrate on providing affordable housing for a lot of Singaporeans. Many buyers are young couples who are seeking to buy their very first flat so a four-room unit is enough for them," said Nee Soon GRC MP Lee Bee Wah.
For current owners, the limited stock works in their favour.
Source: The Straits Times – 22 October 2012
No comments:
Post a Comment