Singapore’s housing market witnessed a decline in home sales for the third consecutive month, reaching the lowest level since 2022. This downturn is attributed to the lack of major property projects being launched, impacting the overall market dynamics.
Sales Figures and Market Analysis
According to the Urban Redevelopment Authority, the sale of new private apartments by developers dropped to 203 units in October. However, despite the limited supply, significant domestic demand has positively influenced sales for new projects. For instance, a private residential and retail complex known as J’den successfully sold 323 units, constituting 88% of the homes available, during its inaugural sale last weekend.
Future Market Predictions
Market analysts anticipate a potential downturn in Singapore’s housing market, which has experienced a consistent rally in private home prices over the past seven years, with a 0.8% increase in the third quarter compared to the previous three months. Morgan Stanley predicts a 3% decline in the coming year, while Bloomberg Intelligence forecasts that prices might move sideways in 2024, with some downside risks. Nicholas Mak, the chief research officer at Mogul.sg, a property portal, suggests that sales could become more muted in the early months of 2024, despite the positive spillover effect from the high prices fetched by recent projects.
This trend indicates a shifting landscape in Singapore’s real estate market, marked by a cautious approach from both developers and buyers amidst evolving market conditions.
Also learn about Navigating Singapore’s Property Market: Tips for Homebuyers and Investors.
