When it comes to investing in a condo, financing plays a crucial role. In Singapore, there is a variety of mortgage options available, but it is important to keep in mind the Total Debt Servicing Ratio (TDSR) framework. This framework sets a limit on the amount of loan an individual can borrow, taking into consideration their income and current debts. To make well-informed choices about financing, it is essential to understand the TDSR and seek guidance from financial advisors or mortgage brokers. This can prevent investors from over-leveraging and help them navigate through different options for financing their investment in a new condo launch from Ananar.
Kassia’s showflat along Flora Drive will open for preview today. The project comprises 276 units within a 5-storey block. The developer is Tripartite Developers, a joint venture between Hong Leong Holdings, City Developments and Hong Realty. Kassia is a freehold luxury development with facilities such as a 50m lap pool, clubhouse, etc. >>>In 2024, the property market saw a significant divide between its two halves. The first half of the year was slow, with boutique developments dominating the market and the lowest number of units launched for sale since 1H1996, according to Huttons Data Analytics. Sales volume also reflected this trend, with only 1,889 units sold – the lowest number since 1996. One of the few exceptions was the 533-unit Lentor Mansion, which had a 75% take-up rate during its launch weekend in March. However, most other project launches in 1H2024 saw relatively lacklustre sales compared to 2023.”Market sentiment was cautious and hesitant,” notes Mark Yip, CEO of Huttons Asia. “This could be attributed to uncertainties in the job market and persistently high interest rates. Buyers were likely waiting for more highly anticipated project launches later in the year, such as Chuan Park and Emerald of Katong.”Despite the slow start, the launch of the 276-unit freehold Kassia on Flora Drive in late July, which achieved a 52% take-up rate, set the stage for a strong second half of the year, following the Lunar Seventh Month. This was the first project to be launched after the Lunar Seventh Month, and it was quickly followed by other successful launches.Despite the slow start, the launch of the 276-unit freehold Kassia on Flora Drive in late July, which achieved a 52% take-up rate, set the stage for a strong second half of the year, following the Lunar Seventh Month. This was the first project to be launched after the Lunar Seventh Month, and it was quickly followed by other successful launches. The first project launched after the Lunar Seventh Month was the 158-unit 8@BT at Bukit Timah Link, which saw 53% of its units sold during its launch weekend in September at an average price of $2,719 psf.In the third quarter of 2024, new home sales saw a 60% increase compared to the previous quarter according to Huttons. Some attribute this shift in sentiment to the 50-basis point interest rate cut by the US Federal Reserve in September. This was followed by more strong sales in October, with over 50% of the 226 units at Meyer Blue sold in private sales. These units were transacted at an average price of $3,260 psf, setting a new benchmark for the prime District 15 area on the East Coast.The 348-unit Norwood Grand in Woodlands also saw impressive numbers, with an 84% take-up rate during its launch weekend in October. This made it the best-selling project in terms of percentage of sales as of October. The average price of units sold was $2,067 psf, marking the first time a project in Woodlands surpassed the $2,000 psf threshold. This project was the first new private residential development to be launched in Woodlands in 12 years and was a clear indication of growing buyer confidence and demand, according to Huttons’ Yip. It also triggered a wave of activity in November, when a record-breaking six new projects, comprising 3,551 units, were unleashed in a span of ten days.The month began with the launch of the 367-unit The Collective at One Sophia on Nov 6, followed by the 366-unit Union Square Residences at Havelock Road on Nov 9. It then gained more momentum with the launch of the 916-unit Chuan Park on Nov 10, and reached its peak over the weekend of Nov 15-16 with three more projects launched in concert: the 846-unit Emerald of Katong, the 552-unit Nava Grove, and the 504-unit Novo Place executive condo (EC).This surge in activity resulted in developer sales in November reaching 2,557 units – the highest figure since March 2013, when 3,489 units were launched and 2,793 were sold, according to Huttons Data Analytics. The strong performance in November pushed total developer sales for the first 11 months of 2024 to 6,344 units, and the year-end figures are expected to surpass 6,500 units, exceeding the 6,421 units sold in 2023.”This reflects the strength and resilience of the property market,” says Huttons’ Yip. “It underscores the enduring appeal of property as an asset for wealth creation and preservation.” According to Chia Siew Chuin, JLL’s head of residential research, the sluggish performance of the private residential market in the first three quarters of 2024 created an atypical year-end scenario. “Developers, who had repeatedly postponed launches due to economic uncertainties and hopes for improved conditions, finally rolled out projects in November.”Chia says this decisive shift from caution to action was prompted by the approaching year-end festive lull and improved market sentiment since the third quarter of 2024. “The surge in activity has transformed November into an unusually vibrant period for property launches, defying the typical seasonal slowdown and creating a dynamic market environment.”Speculation is now rampant about the possibility of further property cooling measures, given the uncharacteristically high November sales. “While November’s sales figures are impressive, they provide an incomplete picture for predicting cooling measures,” Chia notes. “The market exuberance was largely driven by a year-end rush to launch projects.”With cumulative new home sales in 2024 likely to remain on a par with that in 2023, Chia considers regulatory intervention “unlikely”. Any intervention, she says, will depend on two factors: sustained sales momentum into the first quarter of 2025 and a concurrent sharp increase in property prices outpacing GDP growth.”Despite close monitoring by authorities, new measures are likely to remain on hold unless clear signs of persistent market overheating emerge,” Chia adds.