Two new condos won't come cheap

Residential projects to be launched in Bishan and Paya Lebar this month will test the market's appetite for ever rising prices.

UOL Group's mixed-use Katong Regency in Tanjong Katong Road will be pushed out by the end of this month while buyers will be able to snap up units at CapitaLand's 509-unit Sky Habitat in Bishan Street 14 from April 14.

Both projects are in suburban or city fringe areas but experts said their benchmark prices, which are on a par with some city centre developments', are due to their good locations near MRT interchanges and the nature of the product.

Both developers also touched on the state of the market, and noted that with global sentiment improving with more clarity in Europe's situation and with interest rates remaining low, the market is likely to remain 'sustainable'.

UOL's Mr Liam said he does not think further cooling measures are needed despite the strong sales of new homes. While volumes are up, the measures have had their intended effect with prices showing signs of slowing, he added. He expects suburban prices to be stable while high-end home values might dip by 5 per cent to 10 per cent this year.

Source: The Straits Times – 6 April 2012