Slower sales, but prices of prime homes still up in 1H2023: Knight Frank

Visitors are required to show their confirmation code to the guard at the entrance gates.

The Tengah Plantation EC is an exclusive condominium equipped with the latest cutting-edge technology. The digital gate is designed to protect the residents of the condominium with its facial recognition feature. This is implemented to guarantee the safety of the residents and their assets. Visitors are required to present their confirmation code to the guard at the entrance gates. Residents can experience secure and safe living at Tengah Plantation EC.

Despite cooling measures, luxury home sales remain firm

Luxury non-landed home sales had a tumultuous first half of 2023, clocking a 23% decline year-on-year to $1.1 billion. The decline can be attributed to the introduction of cooling measures in April, most notably the doubling of Additional Buyer’s Stamp Duty applicable to foreigners. Despite the dip in sales volume, the average unit price still increased to $2,580 psf, a 4.6% jump from the previous half of the year.

Demand for new build properties was still evident, with the biggest unit at Les Maisons Nassim in District 4 being sold for $45 million, illustrating the market for luxury non-landed homes remains hot.

In the landed residential market, prices increased 0.1% quarter-on-quarter to $2,996 psf in 1H2023. With a total transaction value of $2.7 billion, there was still a healthy demand for luxury landed properties despite economic volatility. Exclusive GCBs also sold well, with their average unit price setting a new land price benchmark.

Looking ahead, Knight Frank believes the cooling measures have caused some sellers to withdraw their properties from the market and there may be a reduction of foreign participation in the non-landed market for the rest of the year. In contrast, the landed segment is expected to continue growing in a steady fashion underpinned by more buyers than sellers.