CBRE Comments: URA Sales Volume February 2017

Desmond Sim, Head, CBRE Research, Singapore and South East Asia:​

The February sales numbers were encouraging to the private residential market, bolstered by a recent launch and the healthy take up from previously launched projects. The newly launched “The Clement Canopy” raked in 207 units while Parc Riviera which was launched in November 2016 saw healthy sales of 200 units. These sales levels reinforce the current trend of buyers favouring projects with units priced at a palatable quantum. Faced with a gamut of choices, buyers can either afford to take a longer time to decide on a purchase or target new projects for the first dips of choice units at attractive rates.
 
Quantum play continues to be the main driver of sales. CBRE does not expect this to change even with the recent tweaks in the property measures. The changes in the SSD were targeted predominantly on taxes on disposal. Taxes surrounding acquisition have not changed and will continue to remain a barrier, filtering out owner occupiers from the speculator/ investors.  We expect the numbers for March to remain at the same level; with Granduer Park Residences and possibly Park Place Residences shoring up the numbers.
 

As for the EC market, transaction momentum for ECs continued at a steady pace despite the absence of new launches. The sales volume for this hybrid asset class is expected to remain stable as they represent a good stepping stone to the private market.

 

Disclaimer:

Neither CBRE nor its affiliated companies make any warranties or claims on the implied accuracy of the information contained herein.
 

About CBRE Group, Inc.

CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2016 revenue). The company has more than 75,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.​

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