Supply of unsold home units dropped 2.7%

It's the lowest since 3Q11.

According to Knight Frank, supply of unsold units fell by 2.7 per cent q-o-q to 36,171 units (including 35,564 uncompleted units and 607 completed units) in 1Q 2013, the lowest level since 3Q 2011. This is mainly due to high new sales volume in 1Q 2013 with a 24 per cent increase q-o-q (5,412 units). Unsold supply in CCR dropped by 4.2 per cent due to fewer launches and higher sales, while unsold supply in OCR fell by 11.5 per cent arising from a significant increase in new sales volume.

Here's more:

The primary market was the more active market in 1Q 2013, as homebuyers were lured to new projects for ample choices of good locations in suburban launches and attractive perks offered by developers, such as reimbursement of stamp duty, furnishing vouchers and outright discounts.

The robust buying sentiment was further fuelled by fear of further price increases in subsequent launches and the possibility of new cooling measures.

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