Home buyer's fatigue evident in May

Take-up rates at some of the new launches appeared below par, says MayBank.

Data from the Urban Redevelopment Authority shows that the 862-unit Eight Riversuites at Bendemeer, developed by United Engineers, reported sales of 192 units at a median price of SGD1,340 psf, for a take-up rate of 22%. This was slightly lower than the over 200 units reported by local media in early May.

In addition, MayBank notes that the take-up rate at One Canberra at 31% is 'not too encouraging'. This is despite the fact that the government has raised the second-timer allocation to 30% of the units in March, and that the Deferred Payment Scheme is still allowable for EC projects, says MayBank.

Meanwhile, projects in the Outside Central Region, which are typically mass market projects, continue to underpin
new sales, accounting for 76% of all sales including ECs, and 71% excluding ECs.

Flo Residence at Punggol, jointly developed by ZACD and Capital Development, was the best-seller with 266 units (or 79% of the units launched) sold. The only EC launched in May was One Canberra at Yishun, where only 31% of the 665 units have been sold.

The luxury end extended its leaden pace, with only ten transactions recording prices above SGD3,000 psf. A single unit sold at Scotts Square achieved the highest psf price for the month at SGD4,566 psf.