The Novo Place Executive Condominium (EC) in Tengah achieved a stellar 57% sales rate on its launch day, marking the strong appetite for ECs in Singapore. Developed by Hoi Hup Realty and Sunway Developments, the 504-unit project moved 286 units at an average price of $1,654 psf during its launch on November 16.
Strong Demand Despite Second-Timer Quota
According to Mark Yip, CEO of Huttons Asia, Novo Place's sales success underscores the "robust demand from buyers seeking an affordable private residential lifestyle." This performance could have been even higher if not for the government-mandated 30% quota for second-timers, which capped their purchases at 151 units on launch day. The quota for second-timers was quickly filled by 1 pm on launch day, highlighting the strong interest among HDB upgraders and repeat buyers.
Second-timers will have another opportunity to secure units once the quota is lifted on December 16, allowing them to book remaining units. This provision may further drive sales momentum in the coming months.
Deferred Payment Scheme a Key Driver
One of the key draws of ECs like Novo Place is the unique deferred payment scheme (DPS), which allows buyers to secure their preferred units first while delaying loan payments. As many as 76% of Novo Place’s buyers opted for the DPS, a financial advantage that appeals particularly to HDB upgraders who may still have outstanding loans on their current flats. Additionally, EC buyers benefit from upfront remission on the Additional Buyer’s Stamp Duty (ABSD), granting them flexibility to sell their existing flat within six months of receiving their new EC keys.
Prime Tengah Location & Unit Mix
Novo Place’s location in Tengah’s Plantation District adds to its appeal. The development is situated within walking distance of the upcoming Tengah Park MRT station, part of the future Jurong Regional Line expected to be operational by 2028. Its unit mix caters to growing families, offering three- to four-bedroom layouts, with the larger configurations almost fully sold on launch day.
Looking Ahead: A Favorable Market for EC Buyers
With rising land and construction costs, future EC launches are expected to be priced higher. Buyers who secure units at Novo Place and similar projects now are well-placed to benefit from capital appreciation. Eugene Lim, key executive officer of ERA Singapore, noted that buyers are already in an advantageous position compared to future price trends.
Lumina Grand, the year’s first EC launch, has already sold 84% of its 512 units at an average of $1,510 psf. Novo Place's performance suggests a sustained demand for ECs, especially among HDB upgraders seeking larger homes and an elevated lifestyle.
Summary: Key Highlights of Novo Place EC’s Launch Success
- Strong Sales: 57% of units sold (286 units) on launch day at $1,654 psf.
- Deferred Payment Scheme: Chosen by 76% of buyers, providing financial flexibility for HDB upgraders.
- Second-Timer Quota: Fully filled within hours, with more opportunities for second-timers starting December 16.
- Prime Location: Proximity to Tengah Park MRT station and key amenities boosts attractiveness.
- Unit Preferences: Larger units (3-bedroom + study and 4-bedroom layouts) are highly sought after.
Interpretation: What Does This Mean for Buyers?
Novo Place EC's launch success reflects the continued confidence of buyers in Singapore's real estate market. ECs remain a highly attractive option for HDB upgraders due to their affordability, flexible payment options, and strong potential for appreciation. Buyers are clearly leveraging the benefits of schemes like the deferred payment option and ABSD remission to secure homes amid rising property costs.
The high demand for Novo Place also highlights the limited supply of well-located EC projects, reinforcing the urgency for buyers to act promptly when such opportunities arise. With future launches likely to be priced higher, today's EC buyers are setting themselves up for better value and potential long-term gains.
Call to Action
The demand for Novo Place and other EC projects showcases the strength of Singapore’s property market, especially among HDB upgraders and second-time buyers. If you're considering upgrading or entering the EC market, now is the time to act. Don't miss out on prime opportunities like Novo Place—reach out to us today to stay updated on upcoming launches, market insights, and investment tips tailored to your needs.
Source: EdgeProp | Novo Place EC achieves 57% sales on launch day at an average price of $1,654 psf