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6,000 New DKI Condos: Recession-Proof?

Photo: Condominium illustration (Doc: Freepik)

Jakarta, CNBC Indonesia – There were an additional 6,222 new condominium units in Jakarta during the final semester of 2022. This number does not include new units that are lining up to enter the market this year (2023). 

On the other hand, there is a shift in the interest of buyers who are more selective in selecting their condominium units. Senior Research Advisor from Knight Frank Indonesia Syarifah Syaukat said that consumer choice is based on certainty.

Nevertheless, sales growth was reported to reach 95.7% in the second half of 2022.

“Condo units ready for occupancy are currently the top choice for consumers because of the certainty of units that are ready to be handed over to consumers. Meanwhile, the average sales of new stock reached 64.2%. We also note that South Jakarta is still the largest catchment area for the new condominium market. right now,” he said, Friday (24/2/2203).

The latest Jakarta Property Highlight report also notes that transactions in the condominium market mainly come from the middle class, reaching 40% in the second half of 2022.

On the other hand, almost half of the new condominium projects in Jakarta have increased their prices at the end of 2022, this condition was followed by a price increase of 0.9% (HoH/ semester to semester) for existing units.

Country Head Knight Frank Indonesia Willson Kalip said that in the Asia Pacific region, Jakarta is one of the cities with positive property growth in 2022, along with Tokyo, Mumbai, Bangkok and Singapore.

“Although the growth of the condominium market is still slow, this sector has quite high resilience. Middle segment transactions have continued to dominate in the last 2-3 years. Going forward, this market niche needs to be better anticipated with a digital marketing strategy and an accessible payment system accompanied by encouragement incentives,” he said.

Source: CNBC