SINGAPORE: The condominium project that will sold nearly all its units on the initial day of start suggests that rising mortgage rates have not dampened pent-up demand intended for properties in Singapore, analysts said.
Local home upgraders are still drawn to attractively priced private properties in good locations, they added. Others may be seeking a safe expense haven amid rising inflation and financial uncertainties.
AMO Residence, a shared private residential task between developers UOL Group, Singapore Land Group and Kheng Leong Company, offered more than 98 percent of its 372 units in a single day upon Saturday (Jul 23). This means that only seven units were remaining unsold.
The take-up rate exceeds recent major launches, such as Piccadilly Fantastic in Farrer Park and Liv @ MB in the Mountbatten area, which every moved close to eighty per cent of units.
“AMO Home probably smashed all of the sale records coming to the best-selling private residential project within 2022, ” said Huttons Asia’s older director of research Lee Sze Teck.
THE DRAW FACTORS
Skillfully developed said AMO Home – the first main new launch within the Outside Central Area (OCR) this year – had several “compelling” attributes in the eye of buyers.
One of which is its location in the fully developed estate of Ang Mo Kio as well as its proximity to MRT stations, amenities plus schools. This is attractive to a wide variety of local purchasers, especially families along with school-going kids, based on Professor Sing Tien Foo from the Nationwide University of Singapore (NUS).
Other launches like Piccadilly Grand are located closer to the city centre, which might appeal more in order to investors, he added.
Colliers Singapore’s director and head of research Catherine He agreed that will AMO Residence probably attracted local home upgraders, particularly those who already live in the area.
“The strong demand is likely to originate from upgraders in the vicinity on the back associated with buoyant private (and) public resale prices. These buyers simply have to top up some of the buying price on top of their proceeds, ” she informed CNA.
Cost is another factor, along with most of the two-bedroom and bigger units costed below the “psychological barrier” of S$2, 000 per sq . foot (psf), Ms He added.
The 99-year leasehold development offers two- to five-bedroom devices between 614 sq ft and 1, 475 sq feet, and three penthouses between 2, 293 sq ft plus 2, 497 sq ft. Prices start from S$1, 890 psf.
Taken together, these helped AMO Home to stand out in a market which presently has a record lower number of new houses, experts said.