Singapore April Home Sales Climb to Highest in 11 Months

Residential Property in Singapore
Singapore's government began introducing residential property curbs in 2009 as low interest rates and demand from foreign buyers raised concerns that the property market was overheating. Photographer: Nicky Loh/Bloomberg

Singapore home sales in April climbed to the highest in almost a year as developers offered more affordable projects.

Developers sold 1,124 units last month compared with 613 units in March, according to data released Friday by the Urban Redevelopment Authority. April’s sales were the highest since May 2014.

“We are entering into a a busy season; typically the first and fourth quarters are quiet,” said Donald Han, Singapore-based managing director at real estate broker Chesterton. “Developers are launching more projects and affordable ones,” he said, referring to homes less than S$1,500 ($1,135) per square foot.

Among companies that put up projects for sale in April was North Gem Development Pte, which sold 486 of 600 units in a northern suburb, according to data from the authority. UOL Development (Bartley) Pte sold 254 units of the 400 it offered in the island’s east, the data showed.

The government began introducing residential property curbs in 2009 as low interest rates and demand from foreign buyers raised concerns that the property market was overheating. They included a cap on debt repayment costs at 60 percent of a borrower’s monthly income, higher stamp duties on home purchases and an increase in real estate taxes.

Home sales dropped to a six-year low in 2014 as property policies hurt demand. They fell by half to 7,316 units last year from 2013, the lowest since 2008, according to data from the authority.

Prices surged 40 percent in the five years to 2013 to a record. They fell 4 percent in 2014, the URA figures showed.

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