Property Market Index Q3 2020: Top Performing Projects and Districts

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In the PropertyGuru Property Market Index report for Q3 2020, our analysis of the districts with greatest price growth and price declines has uncovered some interesting insights. Read more about the districts that are experiencing the highest growth and declines in their prices and the reasons why. 

 

 

Five Districts with The Highest Growth in Asking Price

In the top five districts category, the largest jump in median asking prices is in District 7 (Beach Road, Bugis, Rochor). This is largely due to the previous quarter's launch of The M, which entered the market during a period of high uncertainty, resulting in greater new launch discounts and hence, lower prices. The absence of early bird pricing in The M in this quarter has since brought prices in District 7 back to its usual trading price range. 

New condos are typically more expensive than resale ones. Hence, the presence of new launches  tend to push asking prices up. 

This can be seen in the rest of the top districts with the highest asking price growth, which all had a high proportion of new launch listings compared to total listings, hovering at above 20%.

Additionally, the circuit breaker measures which put a pause on physical viewings did not seem to affect new launches as much as it did resale condos. There was also interest on the investor front, as these projects are only slated for completion in 2022 to 2023, when the economy is expected to recover as well.  

 

Five Districts with The Highest Declines in Asking Price

The districts which saw the most significant asking price declines were generally those which did not have new launch condos to drive prices up. 

District 22 and 28 saw the most significant fall in asking prices at -4.46% and -5.97% respectively, as there were few or no new launch projects in the area. Likewise, District 8 had a relatively low proportion of new launch listings, causing in 0.9% dip in asking prices. 

The outlier is District 13, which was an extreme case with new launches making up 50% of the total listings in the district. Due to high competition among the various new projects, more discounts were given, resulting in a 0.66% decline in the median asking price.

 

The Stars: Top Selling Projects 

The top selling projects continue to be dominated by the very large developments exceeding 1,000 units that mainly come from the OCR and RCR regions. Only 1 CCR launch made it to the top selling list – Kopar at Newton.

 

On the ground, agents have also observed a preference for more spacious units, especially those with extra study rooms, balconies and larger private enclosed spaces (PES). This aligns with the findings of PropertyGuru's Consumer Sentiment Study H2 2020, where 33% of the respondents indicated a preference for bigger layouts. 

This is likely due to the expectation that most of Singapore will continue staying indoors and telecommuting for the foreseeable future.  

Again, as with the previous quarter, seven of the 10 bestselling projects are located within a 10-minute walk to the MRT station, suggesting that buyers continue to place a high emphasis on the transport- accessibility to a property. 

 

Districts in The Spot Light

Districts 5, 19 and 21 have seen good growth, and are likely to remain the darlings of local investors. Find out how they have performed, why they are popular districts and why prices are likely to remain resilient over the next few quarters.

 

District 19 (Hougang, Punggol, Sengkang) 

  • Quarter-on-quarter (QoQ) Supply Index Change: +50.6%
  • Listings Count (Supply): 20,172
  • Quarter-on-quarter (QoQ) median psf asking price change: +1.91%
  • Median psf asking price: $1,356psf

Prices in District 19, part of the Rest of Central Region, has increased to $1,356 psf despite the increase in supply of listings by 50.6%.

Popular projects in District 19:

The resulting PropertyGuru Supply Index increased from 240.8 to 362.6 or a jump of 50.6% with listings increasing from 13,396 to 20,172. 

With District 19 being one of the largest and most popular neighbourhoods in Singapore, we can expect to see strong demand continue for the rest of 2020 from young families and upgraders from the Punggol, Sengkang and Hougang estates.

 

District 21 (Clementi Park, Upper Bukit Timah) 

  • Quarter-on-quarter (QoQ) Supply Index Change: +72.1%
  • Listings Count (Supply): 4,304
  • Quarter-on-quarter (QoQ) median psf asking price change: +1.42%
  • Median psf asking price: $1,665psf

Prices in District 21, a popular neighbourhood on the fringe of Bukit Timah and in the Rest of Central Region, has increased to a median asking price of $1,665 psf despite an increase in supply of listings by 72.1%.

Popular projects in District 21:

The PropertyGuru Supply Index increased from 212.5 to 365.7 or a jump of 72.1% with listings increasing from 2,501 to 4,304. 

The convenient and popular location of District 21, with its good schools and upcoming URA Masterplan for the Beauty World Integrated Transport Hub bodes well for this district as it undergoes rejuvenation and an injection of vibrancy into the area.

 

District 5 (Buona Vista, West Coast, Clementi New Town) 

  • Quarter-on-quarter (QoQ) Supply Index Change: +56.4%
  • Listings Count (Supply): 7,993
  • Quarter-on-quarter (QoQ) median psf asking price change: +0.34%
  • Median psf asking price: $1,498psf

Prices in District 5, which covers Clementi, Pasir Panjang, West Coast, Dover and Buona Vista, has seen an increase to a median asking price of $1,498 psf despite an increase in listings supply by 56.4%.

Popular projects in District 5:

The PropertyGuru Supply Index increased from 286 to 447.3 or a jump of 56.4% with listings increasing from 5,112 to 7,993. 

District 5 is expected to remain resilient in the long and short term riding on the Greater Southern Waterfront growth plans of URA and the evergreen popularity of this neighbourhood among local families.

 

 

Read an overview of the PropertyGuru Property Market Index Report Q3 2020 here. Or, learn our key findings in the Price and Supply Index Q3 2020

 

With thanks to Stuart Chng for his contributions to this report - Stuart is the Senior Associate Executive Director of OrangeTee & Tie, a renowned leader in the real estate industry and co-founder of Navis Living Group.

 

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