Luxury condo sales volume down 3.5% q-o-q in 3Q2024: Huttons Asia
The biggest high-end condo handle 3Q2024 was the developer sale of a 4,198 sq ft unit at 32 Gilstead for $14.71 million ($3,505 psf). The freehold project on Gilstead Road by Kheng Leong Co likewise saw the 2nd and third-largest deals during the quarter. The units sold are both 4,209 sq ft houses that brought $14.65 million ($3,480 psf) and $14.44 million ($3,432 psf) respectively in September.
In the leasing market, the total ordinary regular monthly lease of upscale non-landed homes grew 2.7% q-o-q to $14,932. The record adds that there was more interest in four-bedroom deluxe apartment units, with the typical rental fee for this classification expanding at a much faster pace of 3.6% to reach $18,389 each month during the quarter.
Arina East Residences condo price
Yip marks that there were 8 luxury non-landed homes negotiated at $10 million and over in 3Q2024, which is two less than the 10 offers visited the previous quarter. “Nevertheless, there were some non-caveated arrangements like a five-bedroom unit in Hills (a freehold luxury condominium on Cairnhill Circle) which was claimed to be cost around $13 million,” he proceeds.
The most significant GCB deal in 3Q2024 was a property in Tanglin Hill that was apparently cost $93.9 million, or $6,198 psf on its land area of 15,150 sq ft.
Nevertheless, the numbers reveal a substantial enhancement contrasted to the 37 high-end condominium units cost $295.8 million that Huttons reported in 3Q2023. At the time, the marketplace was reeling from the April 2023 roll-out of cooling down measures, including an increase in additional buyer’s stamp duty (ABSD) for immigrants to 60%, together with an anti-money laundering crackdown in August 2023.
In the GCB rental market, the top rental offer in 3Q2024 was for a GCB in Chatsworth Park that fetched a regular monthly lease of $120,000.
“As a result of the potential adjustment to the tax status of some 74,000 non-domiciled tenants in the UK, some of these ultra-wealthy international locals might emigrate to protect their possessions. The countries under consideration consist of Dubai, Italy, Singapore and Switzerland,” Yip explains.
The high-end condo industry saw a decline in profits in 3Q2024, according to information gathered by Huttons Asia. In its most recent Prestige Report that monitors the high-end non commercial market, the consultancy states a calculated 55 high-end non-landed homes– which it specifies as apartment units located in the Core Central Region that are sizing from 2,000 sq ft and priced at $5 million and over– were marketed in 3Q2024 for $407.7 million. This represents a 3.5% downturn in transactions quantity and a 15.5% decrease in sales value matched up to the 57 high-end condo units cost $482.5 million in 2Q2024.
On a y-o-y basis, deluxe condo sales quantity is raise 48.6% in 3Q2024, whilst sales market value is up 37.8%. “Activities in the deluxe non-landed homes market are back to the pre-cooling actions days,” claims Mark Yip, Chief Executive Officer of Huttons Asia.
Looking ahead of time, Yip thinks sale and rental activities for the upscale flat market could be greater in 4Q2024, steered by need from ultra-wealthy international locals in the UK pursuing to relocate ahead of suggested tax obligation change, involving the abolishment of a tax obligation program that provides concessions for people with offshore assets.
Yip sees that queries in the luxury condominium market have boosted, with several originating from newly-minted Permanent Residents (PRs) and residents who had applied for their PR or citizenship last year following the hike in ABSD. “Much of them purchased a high end non-landed home upon approved of their PR or citizenship,” he claims.
The Good Class Bungalow (GCB) market likewise viewed a pick-up in action in 3Q2024. An estimated 12 GCBs were sold last quarter, up from 8 GCBs in 2024. The bungalows marketed in 3Q2024 fetched a total amount of $541.2 million, 80.9% higher q-o-q.
This brings the variety of GCB deals to 25 for the very first 9 months of the year, surpassing the 20 that were estimated to have actually worked out for the entire of 2023. The overall worth of GCBs sold to date this year appear at $958.7 million.
