Prime non-landed residential sales pick up in 1H2024, but market remains uncertain: Knight Frank
This coincides with a surge in deluxe condominium transaction quantity from 72 deals in 2H2023 to 98 exchange 1H2024. The increase in purchases was greatly sustained by customers seeking family-sized, ready-to-move-in units mostly for very own stay, Knight Frank’s head of residential and nonpublic workplace Nicholas Keong notes.
Muted foreign investor demand is anticipated to carry on evaluating on the deluxe condominium industry, Knight Frank’s Keong notes. At the same time, Singaporean home investors are in addition turning into a lot more careful with their browse for high-end residences.
The top prime non-landed home proceeding in 1H2024 was the sale of a penthouse at the 190-unit Skywaters Residences at 1 Prince Edward Street in Tanjong Pagar. The 7,761 sq ft penthouse on the 57th floor shifted hands at $47.3 million, or $6,100 psf. The unit was purchased by a foreigner of an unspecified race, based upon caveats lodged.
The lack of offshore buyers has actually also contributed to plateauing costs, with typical prime non-landed home prices seeing only a low half-yearly increase of 0.9% to $2,339 psf in 1H2024, from $2,319 psf in 2H2023. This is even 10.9% lower than the average cost of $2,652 psf in 1H2023.
Top non-landed homes viewed a half-yearly increase of 28.2% in revenues worth, from $574.7 million in 2H2023 to $736.7 million in 1H2024, according to Knight Frank’s 1H2024 prime non-landed non commercial report.
North Gaia Sing Holdings Limited
Other purchases that brought in the leading 5 based on rate quantum in the same time frame were two new sales at the 14-unit 32 Gilstead off Newton Road and Dunearn Street. The units were each sold in April and cost at $14.5 million each. At the 58-unit The Ritz-Carlton Residences Singapore Cairnhill on Cairnhill Streets, two units switched hands in January for $16.5 million each.
Because of this, home sellers in the secondary market may be under the gun to readjust rate expectations to prevailing market levels. Keong anticipates the increase in prime non-landed home rates to remain between -1% and 2% for the whole year.
Nevertheless, the high additional home buyer’s stamp responsibility fees have remained to subdue interest from foreign buyers. This has resulted in the prime housing market place charting two consecutive half-yearly durations where complete sales cost was a lot less than $1 billion.
