Zero Presale Applications: What It Means for Buyers

In April of the year, Lands Department monthly report showed that the number of new applications for "Consent to Presell Uncompleted Residential Properties" in private buildings was zero, marking the first "zero application" since November 2024, after a five-month interval. What signal does this represent? How should one plan if they aim to purchase a property within the next six months? Below, we answer common questions in one go.

What does "Zero Applications" mean?

Presale Consent = License to sell uncompleted units
0 applications = No new projects currently in the pipeline
A signal that developers are "hitting the brakes" amid high inventory, high interest rates, and incomplete recovery in buyer sentiment
Approval to sales launch takes about 18–24 months. If "zero applications" continues for several months, new primary market choices in 2026 may shrink further

Why Did Developers Suddenly Hold Back?

Inventory pressure remains unsolved; slightly higher pricing makes it difficult to sell
Financing costs are still high: HIBOR cap remains around 4–4.125%, and construction loans are expensive, prompting cost-saving measures before launching new projects
Waiting to see post-cooling-measure digestion speed: Tax reductions have warmed up transactions, but prices are still consolidating

What should first-time homebuyers do if they want to buy or upgrade their property soon?

Prioritize ready-to-move-in or nearly completed properties, as developers still offer cash rebates and appliance vouchers to clear inventory.
Budget using an HIBOR-linked mortgage rate of 4% for stress testing to avoid cash flow strain before interest rates drop.

In the short term, the pace of new property launches may slow down, and inventory will continue to be cleared from existing stock. If the "zero sales" trend persists for several months, new property choices could shrink further in about two years. With primary market activity slowing down, some purchasing power may shift to the secondary market. Would you choose to buy a property now?

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