Chart of the Day: Developers' full-year sales feared to crash to just 7,500 units

It's a whopping 50% drop vs 2013.

According to Barclays, developer sales fell 35% m/m and 82% y/y in March 2014 on a lack of new attractive launches and as loan curbs continue to bite. 

This brings quarterly take-up to just 1,784 units. If this run rate were to continue, Barclays estimates sales of less than 7,500 units for the full year, half that of 2013.

Here's more from Barclays:

We note that 38 units sold in February were returned, possibly due to loan rejections.

While April and May could see a bounce in primary volumes due to more attractive launches, we expect physical home price declines to accelerate in mid-2015 as interest rates and vacancies rise.

We prefer REITs to developers with CapitaMall Trust, CapitaCommercial Trust, Keppel REIT and Ascendas REIT (all rated Overweight) remaining our top picks in the sector. We also like CapitaLand and see its proposed privatization of CMA as a near term catalyst.