New home sales up 24 per cent on suburban demand

New home sales up 24 per cent on suburban demand

SINGAPORE - Sales of new private homes surprisingly picked up pace last month on strong demand for suburban projects such as J Gateway and Jewel @ Buangkok.

New home sales jumped 23.8 per cent from 1,459 units in May to 1,806 units last month, which analysts said was unexpected as buyer activity usually slows during the June school holidays.

May's sales figure was in turn 5.4 per cent higher than April's tally of 1,384 new homes sold.

The figure for last month also exceeded the 1,768 units that went on the market that month, Urban Redevelopment Authority figures showed on Monday. The numbers exclude executive condominium (EC) sales.

In total, 10,061 new private homes were sold in the first half of this year, a figure which was around 16 per cent lower compared with the corresponding period last year, said CBRE Research associate director Desmond Sim.

Analysts added that new home sales this month could fall by as much as half from last month, as home loan curbs imposed by the Monetary Authority of Singapore late last month take their toll.

"Nonetheless, developers' launch strategies could turn more aggressive in terms of timing and incentive as it would be more advantageous for them to launch sooner rather than later," said Colliers Singapore research director Chia Siew Chuin.

Suburban mass-market homes made up three quarters of new home sales last month.

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