In Q4 of 2023, over 3,500 new homes will be built

In the fourth quarter of this year, more than 10 private residential projects that comprise more than 3,500 homes are expected to go on the market. Analysts believe that despite the fact that buyers are losing interest however, the prices are likely to remain at the current level. Costs for financing and land and the general market temperature remain high.

About 2,370 units are anticipated to be manufactured through five projects which will begin in the fourth quarter of this year. The properties that are not finished are expected to be added to the stock which has been steadily growing since new projects aren’t being accepted.

In the backdrop of a market slowing The most recent caveats issued by the Urban Redevelopment Authority (URA) Realis platform show that the median cost in the mass market segment for this year is around S$2,074 per square foot. The Outside Central Region (OCR) comprises all suburban homes built in the last year (excluding executive condos).

The median cost of an apartment within the Core Central Region is S$2,903 per square foot.

CBRE predicts that developers will start 15 new residential developments in 2022, and the number of units being 4,528 (excluding ECs). CBRE estimates that 17 private projects without land were launched by developers over the last year, totalling of 6,773 units for residential use.

Hillock Green is one of the first developments to be available for sale within the next few months. It’s a 474-unit condominium designed by Yanlord Land Group and China Communications Construction Company.

UOL as well as Singapore Land are also planning to construct a freehold condominium in Watten House located on Shelford Road, in the City Centre CCR. CCR.

Find out more: Newport Residences

They are scheduled to launch sometime in the latter half of September or early October, with prices between S$2,150 and S$2,250 for a square feet for Hillock Green, and S$3,300-S$3,400 for the Watten House.

Three mixed-use developments are in the works The 748-unit Marina View Residences condominium located on the Marina View Government Land Sale site (GLS) which was developed by IOI Properties, CapitaLand’s redevelopment JCube into 368 units J’Den Condo and the 215 units Skywaters Residences located in the site of the former AXA Tower located at 8 Shenton Way.

More than half of the new launches that have been announced in the final quarter of this year are likely to be located in the suburbs or OCR. One of them is in District 23 Upper Bukit Timah, one in Changi District 17 Two are located in Jurong District 22, as well as two within Upper Thomson District 26.

District 23 residents are looking forward to the opening of 341 homes at Hillhaven located at Hillview Rise by Far East Organization and Sekisui House. The property was acquired at an auction by the state in the month of November 2022 for S$320.8m which is roughly S$1,024 per plot ratio. Analysts had predicted launch prices of between S$1,800 and S$1,900 for each square foot.

The J’Den condominium of CapitaLand in District 22 is anticipated to be sold for between S$2,000 and S$2,100 per square foot. In Jurong, the 440-unit Sora is being built by Chip Eng Seng Holdings, KSH Holdings, and SingHaiyi Group. The 99-year leasehold condominium is situated in the old Park View Mansions. It was purchased for S$260m or S$1,023 per sq ft in July 2020.

Hillock Green and Lentoria, two of the three brand new condominiums already available for sale, will be situated within the Lentor Hills Estate in District 26. The Hillock Green consortium won the location through the GLS tender for S$481 million or S$1,108 psf per square foot. The tender was held in September 2022. The 265 units of Lentoria however are situated on land acquired by Hong Leong Holdings, Mitsui Fudosan and Mitsui Fudosan in September 2022 in a GLS tender worth S$276.4 Million or S$1,130 for each sq ft per.

The launching of Marina View Residences is the main focus of the CCR. The 748-unit project is scheduled to be constructed on the site IOI Properties won in a auction by the state in 2012 in the amount of S$1.51billion or S$1,379 per sq ft ppr. UOL Group, Singapore Land Group, as well as Singapore Land Group acquired the freehold Watten House site, formerly Watten Estate Condominium through a collective sale auction in October 2021 at S$550.8 Million, or S$1,786 for sq ft per.

The majority of new launches this year’s calendar had psf rates that were above S$2,100. Market analysts predict that prices will stay steady over the next couple of months.

Lim said that the costs of RCR developments, such as Sky Botania, a 172-unit project located along Serangoon Road, and The Hill @ One-North which has 144 units, will range between S$2,400 and $2,600 per square foot. Watten House, in the CCR is scheduled to open at a price of S$3,300 to S$3,400 for a square foot.

The ABSD payable on sites bought between July 2018 and December 2021 will be 25%, with a portion that is not refundable of 5percent.

According to statistics from Singapore, the cost of steel reinforcing bars a vital building material, fell by 27,7% in July.

While the pressure on developers to reduce prices has decreased in recent years, the rising interest rates and costs for holding could deter developers from doing this. The market may be unable to bear the higher costs, since the increased tax rates on stamps have already prevented foreign investors from investing.

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