Higher ABSD rate hits foreign demand in ‘The Continuum’ sale

PropNex said the increased rate hit investment demand.

The Continuum in Thiam Siew Avenue sold nearly 26% of its 816 residential units during its launch day, which is within property expert, PropNex’s, expectations.  

During the sale, PropNex sees that of over 100 units transacted in The Continuum, 10% are Singapore permanent buyers whilst the rest are Singaporean buyers.

Local demand heavily supported transactions with no foreign nationals amongst buyers served by PropNex.

The reason? PropNex said it is likely that the cooling measures impacted investment demand from foreigners after the rate was doubled to 60%.

“Going forward, we expect residential property sales in Singapore to continue to be underpinned by demand from local buyers, which will lend stability to the overall market amidst the new cooling measures,” said Ismail Gafoor, PropNex CEO.

The next upcoming launch in District 15 is a 99-year leasehold Grand Dunman, which could be put on the market in the third quarter of 2023. This will offer more than 1,000 new private homes.