Sales of private homes in Singapore dropped in September. Developers held off on big project launches during a usual quiet time.
Home sales fell in September. Developers waited to release major projects in this slow season. (Picture for illustration only) (Pexels)
Data from the Urban Redevelopment Authority, released Wednesday, shows developers sold around 255 units that month. This marks the year’s lowest number. It follows a huge surge in August.
People expected this slowdown. It lines up with the seventh month of the Chinese Lunar calendar. Property companies often pause launches then. They avoid scaring buyers who view the time as unlucky for buying homes.
One key project launched this month already outsold all of September. It moved nearly all 666 units last weekend. This hints the rush for homes will keep going. It persists even after government steps in recent years to cool hot demand.
Three more projects set for October should see strong sales too. Citigroup analyst Brandon Lee said so in a Monday note. He expects this to lift stock prices for developers. An index of Singapore real estate firms has jumped almost 40% this year.
Lower local loan rates and interest from rich foreign buyers who stay long-term have boosted demand. New units go on sale years before they’re built. Prices have climbed too. Homes rose about 1.2% in the third quarter compared to the one before.