Superstitions in the Real Estate Market : How Does it Impact Resale Value?
TLDR When navigating the Singapore property market, it's crucial to consider various superstitious beliefs that can impact your decisions. From...
Read More
TLDR
When considering boutique condos, be mindful of potential drawbacks such as dominating families influencing rules, lack of privacy due to close quarters, high maintenance fees from exclusive management, vulnerability to en-bloc sales, and feelings of being cramped. These factors can impact your living experience and financial decisions. Understanding these nuances can help you make informed choices when deciding to buy, sell, or wait in the real estate market.
You know those small, fancy condos often called ’boutique condos’? Usually, they have 50 or less units and offer a good deal of privacy. But, there’s a flip side to them – less land, fewer amenities, and sometimes, management committees that can be a bit exclusive.
So, the question is, do they really justify their extra exclusivity?
We chatted with some boutique condo owners recently about what they don’t really like about these places. Here’s what you should keep in mind:
1. Project Occupied by a Big Family
Lila, who’s from overseas, lived in a District 15 boutique condo for about two years. There, she noticed that one big family owned more than half of the units in the building.
She shared, “This family acted like they owned the whole place. They’d always change the parking rules or tell us how we can use the common spaces.
One time, I had booked a room for a friend’s birthday. But the night before, they cancelled it, saying we were too many. When I asked where that rule came from, nobody could show me. Suddenly, the following week, there was a new rule in our mailboxes.
They also had plants on their balconies, but when others did the same, we were told to remove them because it was ‘unsafe’. So, the rules only seemed to apply to those outside their family.”
Lila rented her unit from a local Singaporean. The owner, who wanted to stay anonymous, told us, “My renters have complained about this, but at meetings, that family would always outvote us. I feel pretty helpless and I’m even thinking about selling. If it weren’t for the high ABSD, I would’ve sold it already.”
2. Lack of Privacy
Matt has a bone to pick with some of our pieces, particularly the ones where we talk up the privacy of boutique condos. He insists that it’s not been his experience:
“Imagine living in a place with only 40 apartments, but it’s so cramped! Just to paint you a picture, if I stand in my laundry area and my neighbour pops open their window, we could have a full-on conversation. When I lived in an HDB flat, there was more wiggle room between places.”
Then there’s Kim., who went from a spacious condo to a small boutique setup in Siglap. He believes that larger condos offer more privacy:
“The place is tiny and there aren’t many of us, so it doesn’t feel as private as you claim. In fact, I feel like I’m under a microscope. My neighbours are aware of my swimming schedule, gym timings, and even when I fetch groceries. Once, a neighbour asked why I didn’t have any deliveries for the week. They notice everything.
We’re all squished together, there aren’t many of us, so snooping becomes easy. Even if you don’t mean to, you’ll end up knowing about each other. My previous larger condo was more private. It might sound odd, but you’ve got to experience it to get it.”
3. Higher Than Expected Maintenance Fee
Monica, a six-year resident of a swanky condo, firmly believes that the maintenance costs are ridiculously high:
“I’ve been seeing our maintenance charges skyrocket. Just last year, it was around $590 a month. They justify it by saying we only have 18 units. I get it. But, honestly, it’s absurd. The condo isn’t massive; we don’t have many security guards. Plus, there’s no gym or clubhouse. So where’s all this maintenance money going? What exactly are they maintaining?”
Lucy, another boutique condo dweller on Killiney Road, points out the issue of a small number of units and an exclusive management group:
“I’ve stopped attending the meetings. Four guys own more than half the condo, so really, why bother? My gripe is their knack for unnecessary upgrades like faux-marble panels in the elevators, or decking out the lobby entrance with mirrors. It feels like they’re treating this place as their private mansion.
These needless expenses are shouldered by just a few units, making the maintenance charges sky-high. My two cents? Avoid living in a minuscule condo, especially if the spending is controlled by folks wealthier than you.”
Homebuyers often forget to factor in the cost of maintenance. With fewer units, these costs can be hefty, even if the facilities aren’t numerous. Similarly, if there aren’t enough reserve funds for major repairs (which become more likely as the condos age), the extra costs could also be significant.
4. Have to Flow with an En-Bloc Sale
Leo shared this scary story about a takeover attempt of his condo building some years ago:
He said, “You know, four guys together own more than half of our condo based on its worth. A few years back, there was this move to buy out the whole building – not sure if these guys or some developer started it. But that’s when it hit me that we were totally at their mercy. If they agreed, we’d be forced to find a new home and deal with all the hassles of moving.
To make matters worse, this all happened at the worst possible time. My wife was pregnant with our first baby, and she was often visiting the hospital due to a health concern.
In the end, the takeover didn’t happen, but the experience left us feeling bitter. You know, if our condo was bigger with many more families living here, it wouldn’t be so simple for a few wealthy owners to bring it down.”
5. Can Feel Abit Crammed
Boutique projects aren’t typically skyscrapers, though there are a few exceptions. Alex, a former resident of a boutique condo, shares his experience about the not-so-great view:
“My condo was just five floors high, and I lived on the fourth one. Even with detached houses around, my view was mostly other people’s rooms. I didn’t like how it felt so cramped, and I didn’t even enjoy spending time on the balcony.”
Another person, Kelvin, has issues with his boutique project nestled between detached homes – a typical setup for such projects in residential areas:
“The idea is to have a sense of privacy, but instead, it feels packed especially in common areas. If I swing open the side gate, it nearly grazes the wall of the neighboring house. The noise levels are high too – the neighbor has three dogs, and I bet everyone living on my side of the condo can tell which dog is barking.”
So, if you’re thinking of investing in a boutique project, consider finding one that isn’t crammed between other properties or houses.
Should You Buy, Sell or Wait?
If you’re reading this, you must be trying to figure out the best course of action right now: is it the right time to buy or sell?
It’s difficult to give an exact answer since everyone’s situation is unique and what works for one person may not necessarily work for you.
I can bring you a wealth of on-the-ground experience and a data-driven approach to provide clarity and direction. From beginners to experienced investors, our top-down, objective approach will help you on your real estate journey.
I can help you by:
- Offering Strategic Real Estate Advice – I can help create a comprehensive plan to guide you through your property journey.
- Connecting Your Home with the Perfect Buyers – Through stunning visuals, an effective communication strategy, and an in-depth knowledge of the market, we’ll ensure your home is presented in the best possible way to fulfill your goals.
You May Also Like …
Powering The Lion City: The Top 5 Industries Driving Singapore’s Economy
Powering The Lion City: The Top 5 Industries Driving Singapore's Economy Singapore is widely recognized as one of the most...
Read More
Buying a Mega Development Condo? Here are 5 Overlooked Issues You Should Know
TLDR In the world of mega-developments, living in a large condo with over 700 units can bring challenges like ongoing...
Read More
Property Market: Buyer’s Paradise or Seller’s Dreamland?
TLDR The property market in Singapore post-Covid has seen a surge in HDB and private property prices, with a noticeable...
Read More
A Executive Summary Guide to the Singapore Real Estate Market 2023 and Beyond …
TLDR The Singapore real estate market is vibrant, driven by a strong economy, stable business climate, and attractive investment opportunities....
Read More
2024 Residential Property Market Outlook
TLDR The market outlook for 2024 suggests continued uncertainties affecting housing demand and risk appetite due to geopolitical tensions, macroeconomic...
Read More
6 Compelling Reasons Why 3-Bedroom Condos Might Shrink Further
TLDR Three-bedroom units in Singapore have significantly downsized from 1,700-1,800 sq. ft. in the 1980s to around 1,000 sq. ft....
Read More
Discover the 3 Top Factors Impacting HDB Resale Valuation in Singapore: What Every Buyer Must Know!
TLDR The blog post discusses the increased demand for HDB resale flats and the impact on prices. It emphasizes the...
Read More
Singapore’s Property Insights : Where to Find 5 Hidden Gems?
Singapore's Property Insights : Where to Find 5 Hidden Gems? With its booming economy, vibrant culture and attractive regulations, Singapore...
Read More
Thinking About Investing In An Old Landed Property In Singapore? 7 Crucial Tips To Keep In Mind Before You Make Your Move
TLDR Older properties come with unique challenges due to outdated design elements, potential roofing issues, odd land shapes, basement drawbacks,...
Read More
Top 5 Tips for First-Time Chinese Buyers Looking to Invest in Singapore Today
Top 5 Tips for First-Time Chinese Buyers Looking to Invest in Singapore Today Here are the top 5 tips for...
Read More
Larger Living Spaces: The New Demand Surge Post-Pandemic
TLDR We explore the significant impact of digital marketing strategies on business growth in today's competitive landscape. It highlights the...
Read More
The Emergence of Million-Dollar HDB Flats in Singapore: Could This Become the Standard Moving Forward?
TLDR Understanding the nuances of the HDB property market in Singapore, especially the trend of million-dollar flats, requires a deep...
Read More
Unseen Dangers of Putting Your Money in Upscale Freehold Properties in Singapore
TLDR Luxury freehold properties in Singapore may not always be the lucrative investment opportunities they appear to be. High-end properties...
Read More
Why Can’t We Buy Low, Sell High?
Madam Tan voiced that approximately two years ago, when her apartment hit its minimum occupation period, she and her spouse...
Read More
6 Reasons to Think Twice Before Hiring a Friend or Family Member as Your Agent
TLDR In Singapore, hiring a friend or family member as your property agent can be risky. Disclosing sensitive financial details...
Read More
Neighbourhood Estate Guide: Is Holland Village the Most Charming and Relaxed of HDB Estates?
According to the 2014 master plan, Holland Village was given the prestigious title of an "identity node," confirming its status...
Read More
Top 5 Places to Try Durian in Singapore
Durian, often referred to as the "King of Fruits," is a unique and polarizing delicacy in Southeast Asia. With its...
Read More
The Advantages and Disadvantages of Purchasing an Auction Property in Singapore
TLDR When considering purchasing a property through auction in Singapore, remember that you can potentially get a great deal below...
Read More
Top 5 Seafood Restaurants in Singapore
Singapore, a melting pot of cultures and culinary delights, is well-known for its diverse food scene. With its strategic location...
Read More
