A total of 22 good class bungalows (GCB) collectively worth S$463.91 million changed hands in 1H 2017, up from 14 GCBs with a combined value of S$298.36 million in the same period a year ago, according to a report from CBRE.
“The largest deal was that of a Queen Astrid Park bungalow, which went for S$46 million or S$1,548 psf to a local businessman,” noted the property consultancy.
However, the most recent figures were lower than the 23 GCBs sold for S$490.17 million in 2H 2016, while average prices dropped by 6.9 percent to S$1,242 psf based on land area on a six-month basis.
At Sentosa Cove, eight bungalows were transacted during the first half of the year from four in 2H 2016 and zero in the same period last year. Overall sales for the most recent period stood at S$116.65 million or S$1,541 psf based on land area, down from S$1,881 psf in last year’s second half.
Looking ahead, CBRE expects sales of bungalows in the posh enclave to hit 15 to 20 units for the whole of 2017, with prices likely to remain at around present figures. Overall, 35 to 40 GCBs are projected to change hands this year from 37 in 2016, while prices are predicted to be unchanged or post a marginal correction.
Meanwhile, sales of luxury apartments in Singapore’s Core Central Region (CCR) worth S$5 million and above increased by 38 units in 1H 2017 despite the absence of new launches in the area for the said period. In fact, 170 caveats were submitted for such transactions in the first half versus 132 in 1H 2016.
Although average prices rose to S$2,446 psf in the first half of 2017 from S$2,396 psf six months ago, this is lower than the S$2,519 psf recorded in 1H 2016.
“The 2.9 percent year-on-year decline in average price was likely due to the fact that the best-selling luxury project during the period was Leedon Residence, which sold 44 units at an average price of S$1,993 psf. In contrast, in H1 2016, the top-selling luxury project was Ardmore Three with 35 such caveats lodged at an average price of S$3,217 psf,” said CBRE.
Despite the annual dip in prices, the property consultancy thinks that overall luxury prices would remain relatively stable for the rest of 2017, while transaction volume is anticipated to “gradually rise” from 2016, amidst the strong holding power of developers given the limited new supply of upscale homes in Singapore.
This article was edited by Denise Djong.