Transaction values also soared 46%, driven mainly by the secondary market.
This chart from DBS Equity Research shows that 2M2018, unit sales (primary and secondary sales) jumped by 14% YoY to around 3,200 units. Moreover, transaction values were significantly higher by 46%, driven mainly by the secondary market.
DBS analyst Derek Tan noted that Singapore is approaching the traditional peak period for property transactions in the coming months, which around 55%-60% transacted between April to September in any given year. “Given the positive sales momentum, we believe that there is a high chance that transaction values this year will exceed our estimate (+10% YoY),” he said.
A strong list of project launches from 1Q2018 will underpin the potential for volumes to head higher, the brokerage added.
In 2017, the property market was abuzz due to record-high bids for properties that weren’t witnessed in years. Prices are expected to trend even higher this year due to higher land cost, stronger economic growth, and higher housing demand.
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