Why did buyers snub these two condos launched in November?

These mass-market projects were much tougher to sell.

New home sales sank by 31.4% on a month-on-month basis in November, due mostly to relatively weaker sales at two projects which were launched last month.

According to JLL, the newly-launched Queens Peak and Parc Riviera together sold just 399 units in November. This compares with 698 units sold for The Alps Residences and Forest Woods, which were both launched in October.

“The Alps Residences, being an entry level suburban condominium had the advantage of price affordability (median launch price of $1,078 psf) while Parc Riviera, at a median launch price of $1,189 psf had no particular attributes such as proximity to MRT or amenities to boost sales. Forest Woods which is near Serangoon MRT and Nex shopping mall and launched at a median price of $1,412 psf also had a price advantage over Queens Peak (median price of $1,628 psf), despite its proximity to Queenstown MRT,” said Ong Teck Hui, National Director of Research & Consultancy at JLL.

Still, Ong noted that the surge in transactions in October and November, amounting to 2,113 units, exceeds the 1,308 units sold in the same period in 2015 by 61.5%.

“Assuming new private home sales of 300 to 500 units in December, 4Q16 could end with 2,400 to 2,600 units sold, the strongest quarter for the year, a contrast to what is usually a slower quarter. What this means is that demand for new private homes could have turned the corner in the market slowdown of the last three years and poised to improve in 2017,” Ong said.