The robust efficiency at AMO Residence should support sentiment in the property market for the rest of the year, said Ms Tricia Song, CBRE’s head associated with research, Southeast Asia.
Citing upcoming launches for example GuocoLand’s Lentor Contemporary at Lentor Central (605 units) plus Frasers Property’s Sky Eden @ Bedok at Bedok Main (158 units), Ms Song said these projects could find interest from upgraders and first-time house buyers who are largely unaffected by the recent round of cooling measures.
“The market can be hungry for more launches, ” added Huttons Asia’s senior director for research Lee Sze Teck, noting that the total number associated with units sold has been higher than the number of units launched given that February 2021.
Mr Ong Teck Hui, senior director of research & consultancy at JLL, said that the undersupply of units accessible in the market has worked towards the advantage of developers when it comes to sales volume plus prices.
“As new commences are limited, there is less competition, and can see the solid 98. 4 per cent take-up at AMO Residence at an optimistic median price of S$2, 110 psf, inch he added.
This sets “new benchmark prices” for any mass-market launch, mentioned Ms Song.
While the property market will continue to face headwinds from rising global inflation, rate of interest hikes and supply chain disruptions, the eye rate hike did not seem to have a substantial impact on buying belief for new homes, said Ms Sun.
“Home customers may not feel the increase in monthly instalments because of the progressive payment routine for new launch personal properties, and mortgage loans tend to be smaller in the initial repayment period, ” she additional.
“Borrowers may experience a more substantial boost when a project obtains TOP (Temporary Job Permit) which is a couple of to four many years later. The asking for climate may have transformed by then and home owners may refinance their packages or lease out their systems to offset the larger monthly mortgages. ”