Chief Editor July 16 2022

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New private home sales plunge in June amid rising interest rates and volatile stock markets

Property developers in Singapore sold only 488 new private homes in June after a record 1,355 units in May. The Urban Redevelopment Authority (URA ) figures exclude executive condominiums (ECs).

The June sales figure also represent a 44% drop from the same period last year, where 872 new homes were sold. 

June 2022 has the lowest monthly sales transactions since May 2020 when property developers sold 487 new launch units.

Property analysts said that the lower sales figure did not come as a surprise since there was no new project launches in June. The full year sales projection is expected to be 9,000 units.

Upcoming launch of AMO Residence in Ang Mo Kio will boost July's new home sales. AMO Residence has 372 units and it is the first major non-landed project launch in the OCR this year and the first in AMK in eight years. The selling price for AMO Residence is expected to be from $1.5 million for a two-bedrooms unit. 

Lentor Modern at Lentor Central is another highly anticipated new launch in July with 605 units altogether.

There is strong demand for new launch projects at good locations and priced affordably. 

"UOB and OCBC two years fixed rate home loans have rose to 2.98%," said Mr Chia, Managing Director of Property For Sale Pte Ltd. 

Chia cautioned that rising interest rates and volatile stock markets will adversely affect buyers' sentiment in the second half of 2022.

Property buyers are strongly advised to do due diligence by utilizing free property research analysis tools