Huttons’ comments on Jan 2024 developers’ sales

15 February 2024

Launches and Sales

Developers’ sales in January 2024 rebounded strongly from a quiet December 2023.

A total of 281 private residential units were sold in January 2024, 108.1% higher than the previous month. Sales were 28.7% lower than a year ago. Despite the rebound in sales volume, this is the lowest January sales since 2009, reflecting the tentative sentiments among buyers.

Including EC, developers sold 588 units in January 2024.

The sharp month-on-month jump in sales in January 2024 was due to the resumption of launches after the year-end holidays.

Developers launched two major non-landed projects, Hillhaven and The Arcady at Boon Keng for sale in January 2024 which bumped up the number of launched units to 417. This is more than 11 times the units launched for sale in December 2023 and almost similar to a year ago.

The first two launches of the year, Hillhaven and The Arcady at Boon Keng sold a total of 111 units in January 2024.

Buyers like Hillhaven for the tranquil living environment nestled in close proximity to nature yet with numerous amenities like HillV2, Dairy Farm Mall, Hillion Mall, Junction 10 and The Rail Mall in the vicinity. The Hillview MRT station is a short 4 minutes’ walk away and BKE is a mere 5 minutes’ drive away. There will be a future school opposite Hillhaven which offers added convenience to parents with children.

The 1- and 2-bedroom units at The Arcady at Boon Keng were the most popular with owner occupiers and investors. All the 1-bedroom units were snapped up. The smaller family size in Singapore means that most families view a 2-bedroom unit as ideal. Investors like The Arcady at Boon Keng as it is within 1km of St Andrews Junior School, Hong Wen School (SAP) and Bendemeer Primary School. The Boon Keng MRT station is less than 500m away while major expressways like CTE and PIE are nearby.

The first EC of 2024 registered brisk sales of 271 units with the quota set aside for second timers fully taken up. Many Singaporeans recognise that ECs offer similar condo facilities at an attractive entry price. Furthermore, ECs has immense potential upside upon reaching the 5-year MOP. ECs owners enjoy on average more than $300,000 upside when they sell after 5 years.

Purchases by Market Segments and Price Range

Buying activities in January 2024 were concentrated in the Outside Central Region and Rest of Central Region due to the two launches.

144 units were sold in the OCR while 112 units were sold in the RCR in January 2024. A further 25 units were sold in the CCR. The top 3 best-selling projects in January 2024 are Hillhaven, The Arcady at Boon Keng and The Myst.

The most expensive unit sold in January 2024 was an uncompleted freehold detached house sitting on an 8,701 sq ft land in East Coast Terrace bought by a Singaporean for $15 million.

Purchases by Residential Status and Price Range in Jan

<$1.5 million $1.5 to <$2 million $2 to <$5 million >$5 million Total
Singaporeans 37 78 121 9 245
Permanent Residents 5 10 13 0 28
Foreigners 0 1 4 0 5
Companies 0 0 0 0 0
Total 42 89 138 9 278

Source: URA, Huttons Data Analytics as of 15 Feb 2024

Top Projects by Sales in Jan

Project Name Region Units Sold in the Month Median Price ($psf) Lowest Price ($psf) Highest Price ($psf)
HILLHAVEN OCR 64 2,065 1,965 2,203
THE ARCADY AT BOON KENG RCR 47 2,574 2,410 2,721
THE MYST OCR 21 2,212 1,914 2,350
THE LANDMARK RCR 17 2,610 2,338 2,934
PINETREE HILL RCR 15 2,453 2,280 2,650
LENTOR HILLS RESIDENCES OCR 13 2,130 1,923 2,358
THE BOTANY AT DAIRY FARM OCR 11 2,006 1,960 2,118
THE CONTINUUM RCR 11 2,838 2,655 2,952
LENTOR MODERN OCR 7 2,233 1,986 2,379
POLLEN COLLECTION OCR 7 2,254 1,881 2,264
THE RESERVE RESIDENCES RCR 7 2,594 2,530 2,883
SKY EDEN@BEDOK OCR 6 2,141 2,059 2,190
WATTEN HOUSE CCR 6 3,239 3,180 3,576

Source: URA, Huttons Data Analytics as of 15 Feb 2024

Purchases by Foreigners

Due to the launches in January 2024 which caters more towards the local market, the number of purchases by foreigners were similar to a month ago.

In January 2024, it is estimated that foreigners bought 5 residential properties, making up 1.8% of monthly sales. 3 of the purchases by foreigners are in the RCR with 1 each in the CCR and OCR.

Proportion of Purchase by Foreigners

Source: URA, Huttons Data Analytics as of 15 Feb 2024

Outlook

Developers’ sales in February 2024 are likely to be lower than January 2024 at between 150 and 200 units due to the absence of sales from major launches and the Chinese New Year period.

Several projects like Ardor Residence, Arina East Residences, Koon Seng House, Lentoria, Lentor Mansion, The Hillshore and The Hill @one-north are likely to book sales in March/April 2024.

Ardor Residence, a freehold 35-unit boutique project along Haig Road in District 15 will feature a mix of 2+S to 4+S units. Tanjong Katong Primary School and Haig Girls’ School are within 1km of this development.

Arina East Residence is a redevelopment of the former freehold La Ville condo in District 15 and has a total of 107-units. The project is a short walk to the upcoming Katong Park MRT station.

Koon Seng House is a redevelopment of the freehold East Court in District 15. The boutique project has 17 units. It is located within 1km of Tao Nan School, Haig Girls’ School, Tanjong Katong Primary School and CHIJ (Katong) Primary School.

Lentoria situated in the Lentor private residential enclave along Lentor Hills Road has a mix of 1- to 4-bedroom units. It is within 1km to CHIJ St Nicholas Girls’ School, Mayflower Primary and Anderson Primary School. Units will enjoy unblocked views over Thomson Hills and Teachers Estate.

Lentor Mansion, along Lentor Gardens consists of 533 units spread across 3 low-rise towers (8-storeys) and 3 towers of high-rise towers (16 storeys) with sky terraces at 8th storey of each high-rise tower. Unit types range from 2- to 5-bedroom.

The Hillshore is a 59-unit freehold boutique project along Pasir Panjang Road in District 5. The project has a mix of 2- to 4-bedroom types and is within a 5-minute walk to Haw Par Villa MRT station. It is in close proximity to the future Greater Southern Waterfront.

The Hill @one-north is a mixed-use development in one-north and minutes’ walk to one-north MRT station. Fairfield Methodist School (Primary) is within 1km of the project.

Watten House’s official launch will be on 2 March 2024. It is within 1km to 2 GEP primary schools, Raffles Girls Primary School and Nanyang Primary School.

The ballot ticket for second timers in Lumina Grand (EC) will take place on 27 and 28 February 2024 while sales booking will be on 2 March 2024.

Sales in March 2024 will rebound to around 400 to 600 units with more launches planned.

Barring unforeseen circumstances, developers may sell up to 7,000 new homes while prices are expected to be stable, increasing up to 5% in 2024.

Potential Upcoming Projects in 1Q 2024

No. Project Name Developer Location District Tenure Est Units Est Launch Period
1 Ardor Residence Nanshan Group Haig Road 15 FH 35 Feb 2024*
2 Lentoria TID Residential Pte. Ltd. Lentor Hills Road 26 99 267 Feb 2024*
3 The Hillshore Hillside View Development Pte Ltd Pasir Panjang Road 5 FH 59 Feb 2024*
4 Arina East Residences ZACD Group Tanjong Rhu Road 15 FH 107 Mar 2024
5 Koon Seng House Macly Group Koon Seng Road 15 FH 17 Mar 2024
6 Lentor Mansion GuocoLand (Singapore) Pte. Ltd. And Intrepid Investments Pte. Ltd. Lentor Gardens 26 99 533 Mar 2024
7 The Hill @one-north Kingsford Real Estate Development Pte Ltd Slim Barracks Rise 5 99 142 Mar 2024
8 SORA CEL Development, Sing-Haiyi Pearl and TK 189 Development Yuan Ching Road 22 99 440 Mar/Apr 2024
Total 1,600

Source: URA, Huttons Data Analytics as of 15 Feb 2024