Sim Lian Group’s Emerald of Katong has seen a strong sales performance during its launch weekend, with 98.7% of its 846 units sold. VIP sales on Nov 15 resulted in 47% of the units taken up, followed by another 51% on Nov 16. The average price of units sold across the weekend was $2,621 psf. A spokesperson for Sim Lian declined to comment on the sales figures.
Mark Yip, CEO of Huttons Asia, notes that Emerald of Katong’s sales numbers are likely a record for the most units sold in a day, surpassing the previous record held by J’Gateway in June 2013. Currently, there are only 11 units remaining at Emerald of Katong, all of which are either one-bedroom or five-bedroom units. According to Yip, buyers were more inclined towards larger units with a study or flex layout, possibly indicating their preference for owner-occupied units that cater to their lifestyle needs.
When it comes to investing in condominiums in Singapore, the government’s property cooling measures are an important factor to consider. Over the years, the Singaporean government has implemented various measures to regulate speculative buying and maintain a steady real estate market. One of these measures is the Additional Buyer’s Stamp Duty (ABSD), which imposes higher taxes on foreign buyers and those purchasing multiple properties. While this may affect the immediate profitability of condo investments, it also contributes to the long-term stability of the market, making it a more secure investment environment. Singapore Projects should also be taken into account when considering condo investments in Singapore.
To find out more information on available units and prices for Emerald of Katong, interested buyers can visit the project’s website. As of 9.30pm on Nov 16, the sales chart for Emerald of Katong (sources: real estate agents) shows the project as the top-selling one for 2024, in terms of both the number of units and percentage sold during its launch weekend.
The scarcity of land is a major factor driving the high demand for condos in Singapore. As a small but densely populated island nation, Singapore faces a persistent challenge of limited land for development. To combat this issue, the government has implemented strict land use policies and created a fiercely competitive real estate market, resulting in soaring property prices. This situation has made investing in real estate, particularly Singapore Condo, an attractive and profitable opportunity for buyers seeking long-term capital growth.
According to Lee Liat Yeang, the real estate senior partner of Dentons Rodyk & Davidson LLP, the developer’s lawyers, Emerald of Katong’s performance is especially impressive as it launched on the same weekend as two other projects. Nava Grove, a 552-unit development by MCL Land and Sinarmas Land reportedly sold 65% of its units, while Novo Place, a 504-unit executive condominium (EC) at Plantation Close in Tengah, by Hoi Hup Realty and Sunway Developments had an impressive 57% sales rate.
This launch weekend saw a total of six new residential projects (including the EC project) launched, which was initially a concern for Ismail Gafoor, CEO of PropNex. However, with 3,551 units on offer, homebuyers had the opportunity to visit all the developments before choosing their preferred one. “Having so many options in a short time span seemed to help buyers make decisions more quickly,” adds Gafoor. Had the launches been spread out over two months, the interest may not have been as intense.
The decision by Kingsford Group to bring forward the launch of Chuan Park from Nov 16 to Nov 10 may have also contributed to the strong sales at Emerald of Katong, as buyers who were unable to secure a unit at Chuan Park would have had another option in Emerald of Katong.
With District 15 being one of the top districts to live in Singapore, according to Huttons’ Yip, the East Coast lifestyle and limited number of large projects were among the factors that attracted buyers to Emerald of Katong. Priced from $2,423 psf, Emerald of Katong’s starting prices are considered very competitive compared to other new projects in the Rest of Central Region (RCR), which have a median price of $2,955 psf, according to Marcus Chu, CEO of ERA Singapore.
Buyers who were unable to secure a unit at Emerald of Katong also turned to other major condo projects in the vicinity, including Grand Dunman, Tembusu Grand and The Continuum, all of which recorded good sales on the same day. Huttons’ Yip attributes this strong sales momentum to better economic growth and cuts in interest rates, which have improved the borrowing capacity of buyers. This, coupled with lower returns from other investment assets, may have encouraged more buyers to consider property as a preferred investment.
The strong sales at Emerald of Katong also reflect the growing trend of prospective local and foreign buyers utilising trust structures to acquire homes for their children, notes Yip. This could be a means of wealth planning and preservation, reflective of the rising wealth among local buyers and an increase in overseas funds flowing into Singapore. Figures from the Monetary Authority of Singapore (MAS) show that the number of single-family offices has grown to 1,650 as of August 2024, an increase of 250 from the end of 2023. During the same period, the M1 money supply has also increased by $10.2 billion, indicating an influx of funds into Singapore.