In Singapore, there is a crucial factor to take into account when considering an investment in condo: the government’s property cooling measures. To maintain a steady real estate market and discourage speculative buying, the Singaporean government has implemented various measures over the years. Among these measures is the Additional Buyer’s Stamp Duty (ABSD), which enforces higher taxes on those purchasing multiple properties or foreigners looking to invest in the country. While these measures may affect the short-term profitability of condo investments, they ultimately contribute to the long-term stability of the market, creating a more secure environment for investment.
December 3, 2023This month has been a productive one for the housing market with several new launches doing particularly well. One of the developments that took the market by storm is the Emerald of Katong by the Sim Lian Group. Launched just two weeks ago, the 99-year leasehold property saw almost all of its 846 units being snapped up within three days. According to the latest records from November 30th, the 825 units at the Jalan Tembusu condo have been sold with an average price of $2,617 per square foot. The remaining 13 units were lost after some buyers backed out of the deal following the launch weekend, which started with VIP and multiple-unit sales on Friday, November 15th, followed by a public launch over the weekend of the 16th and 17th. Ismail Gafoor, CEO of PropNex, responded to the buyers who backed out by holding a balloting session for the 13 units in question on the morning of November 30th. They received over 800 expressions of interest and all 13 units were taken up. The success of the Emerald of Katong launch caused a wave of popularity to spread to the neighbouring projects in the East Coast area of District 15. This includes the 638-unit Tembusu Grand which is being jointly developed by City Developments Ltd (CDL) and MCL Land. In the month of November so far, 52 units were sold at the 99-year leasehold development on Jalan Tembusu, bringing total sales to 581 units (91%) achieving an average price of $2,445 per square foot. According to real estate site EdgeProp Buddy and URA Realis, Tembusu Grand’s prices have hit an all-time high with 10 latest transactions making up the latest trend chart. Meanwhile, Grand Dunman by SingHaiyi, a 99-year leasehold condo in Dunman Road which was launched in July 2023, has sold 18 units since November 11th, bringing cumulative sales to 731 units (72.5%) at an average price of $2,531 per square foot. Tembusu Grand and Grand Dunman were doing relatively well on their own, but with the Emerald of Katong launch, they have witnessed a significant increase in sales. The star of the show is undoubtedly the Continuum, a freehold condo with 816 units that lies adjacent to the Emerald of Katong and is being co-developed by Hoi Hup Realty and Sunway Developments. Since November 9th, a total of 126 units have been sold bringing overall sales to 528 units (64.7%) as of November 30th, according to information based on the caveats lodged. This is thanks to the rigorous sales efforts that took place over the course of 3 days in mid-November. 13, 38 and 22 units were sold respectively on the 15th, 16th and 17th for a total of 73 units sold in three days. The Continuum was already doing well with 49% of its units being sold, but with the launch of the Emerald of Katong, the sky became the limit. As of November 9th, the Continuum now has 49% of its total units available, meaning more choices for buyers. This has given them an edge over Grand Dunman where many of the smaller units have already been sold. Another reason The Continuum is doing well is its pricing. The average price of a unit at the Emerald of Katong is $2,617 per square foot, while The Continuum, being freehold, sold its units for an average price of $2,788 per square foot, a premium of only 6.53%. According to Ismail Gafoor, CEO of PropNex, a freehold property should always command at least a 15% to 20% premium over a 99-year leasehold property in the same neighbourhood. But with the value proposition that the Continuum presents, buyers have already started flocking to it. As a result, the 13 latest transactions for the Emerald of Katong have had a high psf price for the higher up floors of the 484 sq ft one-bedroom units and the 624 sq ft two-bedroom units, giving an average of $2,901 to $2,958 psf. Even at the Continuum, prices have gone over $3,000 psf with a total of 11 units being sold in November including nine two-bedroom units at high floors between 646 to 721 sq ft as well as two compact three-bedroom units selling at $3,003 psf and $3,060 psf respectively. For the lower floors, three- and four-bedroom units between 1,066 sq ft and 1,270 sq ft sold for $2,667 psf to $2,681 psf. The sales in November have already hit 2,805 units, surpassing the previous peak of 2,793 monthly sales in March 2013 as noted by Hutton Data Analytics. These figures are yet to be final. Gafoor believed that the strong sales in November will have a positive impact on the rates at which homes are being taken up in 2025. Both the Tembusu Grand and the Continuum show the impact that the Emerald of Katong has had in raising property prices in the East Coast area. Gafoor adds that given over 800 cheques were received for only 13 units at the Emerald of Katong launch, the new crop of unsuccessful buyers will likely be scouting for alternatives. This will show an increase in new homes sales at the beginning of 2025. Check out the latest listings for Emerald Of Katong, Tembusu Grand, The Continuum propertiesAsk BuddyRecently launched projectsCompare price trend of New sale condo vs Resale condoCompare price trend of Condo new sale vs EC new salePrice trend chart for Tembusu GrandAny condo rental listings in District 15?At the beginning of the year, the real estate market was already looking up and the trend has continued. Several new launches in the East Coast area have performed quite well. One such development is the Emerald of Katong by the Sim Lian Group. It was launched just recently, and within only 2 weeks, all 846 units were sold out. Moving into the final days of November, the record shows that of the 846 units, 825 of them (around 97.5%) were snapped up at an average rate of $2,617 psf. However, by the end of the launch weekend, 13 units did not close the sale, which was due to some buyers forfeiting their purchase. The VIP and multiple-unit sales started off the launch on Friday, November 15th and were later followed by a public launch on the 16th and 17th of the same month. On November 30th, buyers who backed out of the deal triggered a balloting session for the 13 units in contention. According to Ismail Gafoor, CEO of PropNex (a real estate services company), they received over 800 expressions of interest, and in the end, all units were sold. This project’s success has caused a ripple effect on the neighbouring projects in the East Coast area, particularly in prime District 15. One of the projects that were affected by this ripple effect is the Tembusu Grand, a 638-unit property, which is a joint development project undertaken by City Developments Ltd (CDL) and MCL Land. The said development in November managed to sell 52 units. The total number of units sold stands at 581 units (a whopping 91%). This is an impressive feat considering that the average price for these units is at $2,445 psf. According to EdgeProp Buddy and URA Realis, Tembusu Grand’s transactions topped the price trend chart reaching an all-time high. The Grand Dunman by SingHaiyi, a 99-year leasehold condominium, sold 18 units in November, bringing the total number of units sold to 731 (a 72.5% success rate) with the average price being $2,531 psf. The development, which is in Dunman Road, was launched in July 2023. The latest transaction report also places the Tembusu Grand and the Grand Dunman with a total sum of 10 latest transactions showing the highest price trend. In comparison to the 12 units sold in November, several three- and four-bedroom units measuring 1,066 sq ft to 1,270 sq ft were sold off for a price that ranged between $2,667 psf and $2,681 psf. The biggest beneficiary of the Emerald of Katong launch turns out to be the Continuum, a freehold development that holds a total of 816 units and which was developed jointly by Hoi Hup Realty and Sunway Developments. It has been in business for more than a month, and during this time, the total number of units sold stands at 528 (an impressive 64.7%). In just 3 days (i.e. November 15th, 16th and 17th) 73 units were sold consecutively, with the 15th having 13 units sold, the 16th having 38 units sold and the 17th having 22 units sold. Before the Emerald of Katong launch, the Continuum had a 49% success rate, which left at least 51% of its units available. This provided buyers with a variety of options to choose from. According to Gafoor, the average price of the Emerald of