{"id":124267,"date":"2022-01-17T08:57:57","date_gmt":"2022-01-17T01:57:57","guid":{"rendered":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/gcb-sales-volume-to-ease-in-2022-increase-in-property-auction-listings-and-more\/"},"modified":"2022-01-17T17:22:43","modified_gmt":"2022-01-17T10:22:43","slug":"gcb-sales-volume-to-ease-in-2022-increase-in-property-auction-listings-and-more","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/gcb-sales-volume-to-ease-in-2022-increase-in-property-auction-listings-and-more\/","title":{"rendered":"GCB sales volume to ease in 2022, increase in property auction listings and more"},"content":{"rendered":"


\n11th January\u00a0to 17th January
\nAfter a robust performance in 2021, the Good Class Bungalow (GCB) market is expected to see a drop in sales volume this year. On the other hand, the property auction market is forecasted to register a hike in listings, although the success rate is expected to decline.
\n\u00a0
\n1. GCB sales volume to ease in 2022, but prices expected to remain firm
\nMarket watchers expect the sales volume for Good Class Bungalows (GCBs) to ease this year as much of the supply has been taken off the market after the strong sales momentum registered between Q4 2020 and Q3 2021, reported The Business Times (BT).
\nNonetheless, GCB prices are still expected to increase, albeit at a slower pace, amid the strong demand for such properties. Newsman Realty Managing Director KH Tan sees GCB prices rising by at least 10% in the next 12 months.
\n\u201cMost sellers have strong holding power and are not in a rush to sell. They will consider selling only if they receive offers at current pricing levels or higher,\u201d said List Sotheby\u2019s International Realty\u2019s Senior Associate Vice-President Steve Tay, as quoted by BT.
\n2021 was a year where we saw an uptick in the number of GCBs that changed hands, with a string of high-profile transactions made by several tech CEOs and their families \u2013most purchase GCBs to live in them. With the limited GCB supply and the likelihood of growing prices, those who intend to buy GCBs are likely to make a purchase should they find a suitable property, keeping demand strong.
\n2. Auction listings to increase amid rising interest rates
\nMore properties are expected to be listed for auction this year as the extended credit support measures by the government end, and interest rates creep up.
\nHowever, the auction success rate could ease from the 4.8% success rate registered in 2021, with properties taking longer to sell, reported The Business Times citing Lee Nai Jia, Deputy Director of the Institute of Real Estate and Urban Studies at the National University of Singapore.
\nKnight Frank data showed that auction listings, including repeat listings but excluding properties sold outside of auction, rose 35.4% year-on-year to 670 in 2021.
\nInterest rates are likely to rise in 2022 gradually. Amid increasing mortgage rates, MAS has warned Singapore households about growing mortgage debt. This may dampen interest among potential buyers looking to purchase investment property as they look to exercise financial prudence.<\/p>\n

3. Non-landed private home sales jump 57.4% in 2021
\nSingapore saw transaction volume for non-landed private homes, excluding executive condominiums (ECs), increase 57.4% to 28,795 units in 2021, despite recurring flareups of COVID-19 variants and changing restrictions, revealed Knight Frank in a report.
\nThe hike comes even as transaction volume for Q4 2021 declined 20.1% to 6,375 units from the previous quarter.
\nMeanwhile, Cushman & Wakefield revealed that Singapore\u2019s real estate market attracted almost $26.2 billion of investment sales in 2021, up 10.4% from the previous year, reported Singapore Business Review. On a quarterly basis, investment volume moderated to about $7.4 billion in Q4 2021, with the private residential market accounting for 38% of total investment sales.
\nLast year, more than 20,000 HDB flats fulfilled their Minimum Occupation Period (MOP). Consequently, a significant number of HDB upgraders sold their homes, buying either larger HDB flats non-landed private properties. With more than 31,000 HDB flats set to fulfil their MOP in 2022, demand is likely to persist, especially for entry-level, new launch projects.
\n4. Waiting times of 3 to 5 years for BTO projects launched in past two years
\nBuild-to-Order (BTO) projects that were launched over the past two years will have waiting times of between three to five years, similar to BTO projects launched during pre-pandemic times, said the Ministry of National Development in a written reply to Parliament.
\nFor ongoing projects, it expects flat buyers to be able to move into their new homes within four to five years after booking their flats. This comes after the ministry has taken into account the six to 12 months delays brought about by the pandemic and barring any further unforeseen circumstances.
\nBTO construction delays have affected young couples and families, pushing many into the HDB resale and rental markets. With the ongoing manpower crunch and increasing material costs, we can only hope that those affected will receive their keys sooner, rather than later.
\nRiver Peaks I &II, the Rochor BTO project launched in Nov 2021. Source: HDB
\n5. No defined boundaries for new prime location HDB flats
\nThe Prime Location Public Housing (PLH) model currently has no defined boundaries, revealed the Ministry of National Development (MND) in a written reply to Parliament.
\nThis comes as HDB and MND will have to consider various factors, such as the project\u2019s market values and locational attributes, \u201cbefore deciding whether to apply the PLH model to a particular site\u201d.
\nMND explained that the current intent \u201cis to apply the new model to selected public housing projects in central locations such as the city centre and surrounding areas, including the Greater Southern Waterfront, that have very high market values and would require significant additional subsidies to keep flats affordable\u201d.
\nThe topic of where and when a BTO project under the PLH model will be launched remains a topic of great interest. With details remaining vague, we can only keep guessing where the next PLH flat will be. Perhaps, this will push demand to the city fringe BTO launches and older resale flats as some consider PLH flat alternatives.
\n6. New, resale HDB flats remain affordable
\nThe Ministry of National Development (MND) has revealed that all new Housing and Development Board (HDB) flats are priced below the market.
\nIn a written reply to Parliament, the ministry explained that in pricing new flats, HDB first establishes their market value by \u201cconsidering the prices of comparable resale flats nearby as well as the individual attributes of the flats, and prevailing market conditions\u201d.
\nRelated article: HDB Flats in Singapore: BTO Price vs HDB MOP Resale Price 5 Years Later (2021)
\nHDB then applies a significant subsidy to the assessed market values to ensure that new flats are affordable for first-time buyers. Moreover, eligible first-time buyers can also enjoy up to $80,000 in Enhanced CPF Housing Grant (EHG). The government provides up to $160,000 in housing grants to ensure such flats remain affordable for first-timer families for resale flats. For resale flats, the Government provides up to $160,000 in housing grants to ensure such flats remain affordable for first-timer families.
\n\u201cWith these generous subsidies and grants, both new and resale flats have remained affordable,\u201d said MND.
\nHousing affordability remains a big worry, particularly among young Singaporeans. As HDB resale prices climb for seven consecutive quarters, and demand for BTO flats continue to grow (as seen by the high application rates), it is certain the Singapore government is keeping a close eye on housing supply and prices.
\n7. Construction works for Serangoon North, Tavistock stations to start in Q2 2022
\nConstruction of the Serangoon North and Tavistock MRT stations on the upcoming Cross Island Line (CRL) is set to start in the second quarter of this year, revealed the Land Transport Authority (LTA).
\nThis comes after the LTA awarded two civil contracts worth a combined value of $861 million. Hock Lian Seng Infrastructure clinched the contract for the design and construction of Serangoon North station and tunnels, while Sato Kogyo (S) bagged the contract for the design and construction of Tavistock station and tunnels.
\nThe CRL is the eighth MRT line of Singapore, with its first phase expected to commence passenger service in 2030.
\nStage 1 of the CRL will see 12 stations built, servicing over 100,000 households in the Loyang, Pasir Ris, Tampines, Ang Mo Kio and Serangoon North area by 2030. In the near future, it would not be a surprise if properties in those areas see considerable price growth, thanks to the convenience of being nearby an MRT station.<\/p>\n

8. Woman jailed for buying properties on behalf of three foreigners
\nA Singaporean woman was sentenced to two weeks\u2019 imprisonment for purchasing three semi-detached properties for three foreigners, with the intent of transferring ownership once they secured Singapore citizenship, reported Channel News Asia.
\nSong Fanrong was handed the jail term for one count under the Residential Property Act of acquiring a restricted residential property on behalf of a foreigner. Notably, Song had offered to acquire a residential unit at Belgravia Villas for China national Wang Chen.
\nTwo similar charges for the two other properties were considered in the sentencing. This comes as she also acquired two more units at Belgravia Villas for two other foreigners.
\nRelated article: What You Need to Know if You\u2019re Buying Property in Singapore as a Foreigner (2021)
\n9. Edmund Tie cautiously optimistic of real estate in 2022
\nEdmund Tie has taken a cautiously optimistic stance on the prospect of the investment, office, industrial, retail and residential real estate markets for this year, with the office segment expected to register a positive net absorption and rental growth.
\nIt noted that prospects for the industrial sector also remain robust and intact, particularly for high-specification logistics and factory spaces. And while businesses become cautious with their space requirements, Edmund Tie expects firm expansions from certain sectors such as electronics, pharmaceuticals, precision engineering and logistics.
\nWith COVID-19 gaining acceptance as an endemic in the community, retail sentiment is predicted to further improve, with the retail sector likely to stabilise this year. Edmund Tie expects price growth to moderate on the residential market following the introduction of the new cooling measures.
\n10. CBD Grade A office demand increased by more than 8x in 2021
\nDemand for CBD Grade A office space increased by more than eight times to hit 0.8 million sq ft in 2021, reported Singapore Business Review, citing Cushman & Wakefield.
\nThe hike in demand was attributed to a move towards quality office space, led by the financial and technology sectors. Cushman & Wakefield data showed that these branches accounted for at least 72% of new leases in the CBD last year.
\n\u201cResurgent office demand and tight supply are expected to propel CBD Grade A office rents by 4.6% in 2022 alongside expected tightening vacancy rates,\u201d said Wong Xian Yang, Cushman & Wakefield\u2019s Research Head for Singapore.
\n11. Singapore REITs to continue to recover despite Omicron
\nDespite the threat of the Omicron variant, UOB KayHian expects Singapore\u2019s real estate investment trusts (REITs) to continue with their recovery, on the back of the city-state\u2019s high vaccination rates and opening of borders, reported Singapore Business Review.
\nSingapore currently has vaccinated travel lanes (VTL) agreements with 24 countries and the border between Singapore and Malaysia also remains open.
\nUOB KayHian\u2019s CFA Jonathan Koh expects the reopening of borders and extension of capacity for existing VTLs as well as the introduction of new agreements to resume in 2H 2022. This will also push the hospitality industry\u2019s recovery to 2H 2022.
\n\u00a0
\nLooking for a property in Singapore? Visit PropertyGuru\u2019s\u00a0Listings,\u00a0Project Reviews\u00a0and\u00a0Guides.
\nCheryl Chiew, Digital Content Specialist at PropertyGuru, edited this story. To contact her about this story, email:\u00a0cheryl@propertyguru.com.sg.
\n
\nSource : proppertyguru.com.sg\/Property Market
\nRead more…GCB sales volume to ease in 2022, increase in property auction listings and more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

11th January\u00a0to 17th January After a robust performance in 2021, the Good Class Bungalow (GCB)...<\/p>\n","protected":false},"author":1,"featured_media":124268,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-124267","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-property-news"],"jetpack_featured_media_url":"https:\/\/i1.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2022\/01\/singapore-landscape-1.jpg?fit=770%2C433&ssl=1","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-wkj","jetpack-related-posts":[{"id":112627,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/total-volume-and-value-for-gcb-deals-dip-in-2019\/","url_meta":{"origin":124267,"position":0},"title":"Total volume and value for GCB deals dip in 2019","date":"November 25, 2019","format":false,"excerpt":"\r Analysts say it\u2019s not surprising to see lower GCBs sales compared to 2018, given the uncertain economic climate.\u00a0 While 2019 has seen a high number of Good Class Bungalow (GCB) transactions, the overall volume and value of deals closed seem to be falling behind the exceptionally high base of\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":109079,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/belmont-road-gcb-to-go-under-the-hammer\/","url_meta":{"origin":124267,"position":1},"title":"Belmont Road GCB to go under the hammer","date":"July 17, 2019","format":false,"excerpt":"\r A Good Class Bungalow (GCB) at 80 Belmont Road is set to be auctioned on 23 July (Tuesday), carrying a guide price of $42 million or around $1,557 per sq ft (psf), reported The Straits Times citing Knight Frank Singapore. Situated near the Holland Village enclave, Sixth Avenue as\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":120012,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/singapore-residential-investment-volume-doubles-in-q4-2020\/","url_meta":{"origin":124267,"position":2},"title":"Singapore residential investment volume doubles in Q4 2020","date":"January 15, 2021","format":false,"excerpt":"\r Singapore residential investment volume doubles in Q4 2020Singapore\u2019s full-year property investment\u00a0tally stood at $23.7 billion in 2020, revealed a Cushman & Wakefield report. Singapore saw total property investment volume for the fourth quarter of 2020 hit $3.33 billion, while the full-year investment tally stood at $23.7 billion, revealed a\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2021\/01\/singapore-prime-districts-1.jpg?fit=810%2C421&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":23341,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/30m-gcb-put-up-for-auction\/","url_meta":{"origin":124267,"position":3},"title":"$30m GCB put up for auction","date":"August 19, 2016","format":false,"excerpt":"\r The 15,211 sq ft property in Dalvey Estate is currently being rented out at $26,000 per month. (Photo: Edmund Tie & Company) A freehold good class bungalow (GCB) in the exclusive Dalvey Estate GCB area will be put up for auction by owner\u2019s sale at the end of this\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":113823,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/sino-group-chairmans-son-acquires-gcb-for-37m\/","url_meta":{"origin":124267,"position":4},"title":"Sino Group chairman\u2019s son acquires GCB for $37m","date":"January 23, 2020","format":false,"excerpt":"\r The East Sussex Lane GCB is acquired by Alexander Ng \u2013 the son of Hong Kong-based Sino Group chairman Robert Ng. Image:\u00a0ntfcf.org.hk The sale of two good class bungalows (GCB) in District 10 for over $30 million last month boosted the total tally of GCB deals for 2019, reported\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":78941,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/sentosa-cove-penthouse-up-for-auction\/","url_meta":{"origin":124267,"position":5},"title":"Sentosa Cove penthouse up for auction","date":"February 5, 2018","format":false,"excerpt":"\r The last owner paid $5.64 million, or $1,919 psf for the four-bedroom unit in 2011. (Photo: Edmund Tie and Co) A two-level penthouse on the sixth storey of The Berth by the Cove will be placed under the hammer on 28 February at The Amara Hotel Singapore, revealed Edmund\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/124267"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=124267"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/124267\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media\/124268"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=124267"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=124267"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=124267"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}