The sales transaction volume of private residential units (excluding executive condominiums (ECs)) in Singapore increased by 21% month on month to 1,631 units sold in September 2011, with the number of properties being launched also increasing by 39% to 1,919 units according to the Urban Development Authority.

Dr Chua Yang Liang, head of research, South East Asia, Jones Lang LaSalle, said: “The surprise upside in September monthly sales only confirms our earlier view of an underlying market need for more homes.”

The Outside Central Region (OCR) has remained the main driving force behind the increase in sales activity, recording a total of 1,321 units sold in September, while activity in the Core Central Region (CCR) staying subdued, with sales down 24% month on month. Despite an increase in sales activity, the island-wide take-up rate contracted, with only 85% of units launched securing sales in September.

Activity in this region picked up in the Rest of Central Region (RCR) as both sales and launches increased by 24% and 52% respectively. The RCR was also the only region to enjoy a month on month increase in take-up rate, reaching 88% overall for September compared with 69% in August.

Dr Chua continued: “The market remains price sensitive where projects in the CCR and RCR continue to have limited attraction (less than 50% sales rate) compared to those in the OCR which achieved above 70% such as Sim Lian’s A Treasure Trove at Punggol Walk, EuHabitat at Jln Eunos and Keppel’s The Luxurie.”