Private home sales slump in June with fewer property launches

Sales of new private homes slumped last month as fewer projects were launched during the June school holiday period.

Excluding executive condominiums (ECs), property developers sold 536 units in June, nearly half of the 1,058 units sold in May, data from the Urban Redevelopment Authority (URA) showed on Friday (Jul 15). Including ECs, 768 units were sold, down from May’s 1,392 units.

The lacklustre sales came as developers launched just 234 units, down more than 80 per cent from the 1,345 units launched in May.

“There are three reasons for the subdued buying sentiments; firstly, it coincided with the June school holidays – where families may be away for holidays. Secondly, there was a lack of mass market launches with developers preferring to launch their new projects at a later date. Furthermore, with loan curbs still in place, homebuyers remained selective on their purchase decisions,” said Mr Ismail Gafoor, CEO of real estate agency PropNex Realty.

Source : Channel NewsAsia – 15 Jul 2016