Should I Move to a Private Property?
TLDR When considering an upgrade from HDB to private property in Singapore, it's essential to understand the differences and implications....
Read More
TLDR
Older leasehold condos in Singapore may face skepticism but offer key benefits such as affordability, location, and flexibility. Three homeowners shared their experiences: CH and his wife, both self-employed, chose an older leasehold condo for its sea view and price under $1.2M, preserving future purchase options. SY bought Pearl Bank Apartment near Chinatown for convenience and profited significantly from its 2018 en bloc sale. GT needed space for a home-based business and found a leasehold unit near Jurong East that fit his budget and lifestyle. These stories show that older leasehold condos can be smart choices for affordability, en bloc potential, and unique needs. Whether to buy, sell, or wait depends on personal circumstances, and expert advice can help tailor a strategic plan based on market data and individual goals.
In the Singapore property market, older leasehold condos often face skepticism, with many buyers preferring the perceived permanence of freehold properties. However, for some, the practical advantages and unique opportunities offered by older leasehold developments outweigh the concerns about tenure. Here are the stories of three homeowners who chose this path and have no regrets:
1. Affordability and Flexibility for Self-Employed Couples
For CH, a Malaysian working in Singapore, and his self-employed Singaporean wife, affordability was a primary concern. As both are self-employed, their variable income is subject to a 30% reduction for Total Debt Servicing Ratio (TDSR) calculations, limiting their maximum loan amount and requiring a larger down payment. The inherent uncertainty of self-employment, including the fear of dry spells, added to their financial considerations.
After exploring various options, including properties in Malaysia, they found a unit in an older leasehold condo on the East Coast that met their size and budget requirements. Despite the condo’s age (dating back to 1986) and large size (over 1,000 units), the sea view and privacy won them over. The attractive price per square foot ($1,279 psf for a 937 sq. ft. unit) was a significant factor, as their agent highlighted the rarity of finding such a large unit with a sea view at that price, even for a leasehold property.
The total cost of under $1.2 million allowed them to purchase the condo entirely under CH’s wife’s name, preserving his eligibility to purchase another property in the future. With a remaining lease of 60 years, the couple, in their early forties, is not concerned about the long term and may hold the condo until the end of its lease.
2. Location, Convenience, and En Bloc Potential
SY’s experience with Pearl Bank Apartment (now redeveloped as One Pearl Bank) in Chinatown highlights the potential for older leasehold properties to offer both desirable locations and en bloc windfalls. Despite warnings from family and friends about the condo’s age (built in 1976) and reputation, SY and his spouse chose it for its proximity to their frequented temple and the vibrant Chinatown area, offering convenient access to amenities and public transport.
SY’s decision proved to be a wise one when CapitaLand acquired Pearl Bank Apartment in 2018 for $728 million. The en bloc sale resulted in significant gains for the owners, with units receiving between $1.8 million and $4.9 million. SY’s gains surpassed those of his siblings who had purchased newer properties. While he didn’t purchase a unit in the redeveloped One Pearl Bank due to changing living circumstances, he considers his decision to buy at Pearl Bank Apartment one of his best, with the sale proceeds covering the cost of his current resale condo.
3. Space and Versatility for Home-Based Business
GT, a product design and prototyping professional, sought a home that could also serve as his office and showroom. His need for ample space within a fixed budget led him to consider leasehold properties. When his agent showed him a 1,180+ sq. ft. unit in Lakeshore (lease from 2002), he immediately envisioned how he could adapt the space to his needs.
GT planned to merge two bedrooms to create a combined bedroom/office space and utilize the study area as a separate gallery. The unit’s price, approximately $1.6 million, was within his budget, making it a feasible option after selling his previous two-bedroom unit. GT does not consider the leasehold tenure of Lakeshore to be particularly old and is open to upgrading in the future. For now, he enjoys the convenience of living near Jurong East.
These stories demonstrate that while “old and leasehold” may not be the preferred combination for many, older leasehold condos can offer compelling advantages, including affordability, desirable locations, en bloc potential, and the flexibility to accommodate unique needs and lifestyles.
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 …
Top 5 Historical Landmarks in Singapore
Singapore, a bustling cosmopolitan city-state, is known for its rich history and diverse cultural heritage. This small yet vibrant nation...
Read More
Top 5 Shopping Malls in Singapore for Luxury Shopping
Singapore, a bustling city-state known for its stunning architecture and diverse culture, is also a paradise for luxury shopping enthusiasts....
Read More
Top 5 Romantic Date Spots in Singapore
Singapore, known for its stunning skyline and diverse culture, is a melting pot of romantic opportunities just waiting to be...
Read More
Ready To Make The Jump From HDB To Condo? This Guide Has All The Answers!
TLDR When upgrading from an HDB flat to a condo, consider factors like location proximity, amenities, and regulations. Decide whether...
Read More
Why Aren’t Spacious, Wallet-Friendly Homes Our Reality Yet?
TLDR The article discusses the current housing market in Singapore, focusing on the challenges faced by individuals like Sherlyn Tan...
Read More
Top 5 : Most Profitable Neighborhoods To Invest In For Singapore Property Investment 2025
As the global economy continues to recover, the real estate market in Singapore remains a promising investment opportunity for savvy...
Read More
Will New Launch Condos See a Drop in Prices Soon?
TLDR The real estate market in Singapore is experiencing a trend of lackluster bids for prime properties in various locations....
Read More
5 Factors : The Benefits Of Investing In A Property With Good Access To Green Spaces In Singapore
Real estate investment has always been considered a sound investment decision, as it offers long-term growth potential and a reliable...
Read More
Top 5 Sushi Restaurants in Singapore
Singapore, a melting pot of cultures and culinary delights, is known for its diverse and vibrant food scene. Among the...
Read More
5 Reasons : Why Investing In Singapore’s Property Market Can Be A Good Retirement Plan
Investing in Singapore's property market can be a good retirement plan for several reasons. Here are five key factors that...
Read More
Top 5 Trends And Developments That Will Shape Singapore’s Property Market In The Next 5 Years
TLDR Singapore’s property market is set for significant transformation over the next five years, driven by rapid proptech adoption, growing...
Read More
5 Amazingly Fun Things to Explore in Singapore!
Singapore, a vibrant city-state located at the southern tip of the Malay Peninsula, is a melting pot of cultures and...
Read More
Rise In Private Home Ownership Among Those Under 35
TLDR Youth homeownership in Singapore’s private housing sector is rising, with residents under 35 living in private properties hitting 380,459...
Read More
Why More First-Time Buyers Are Picking Condos Over BTO Flats in 2025
TLDR In 2025, more first-time Singapore buyers are choosing condos over BTO flats. Key reasons include faster move-in times, better...
Read More
Discovering the Response of Private Property Owners towards the 15-Month Wait-Out Phase
TLDR The blog post discusses the impact of the 15-month wait-out period cooling measure on private property owners in Singapore....
Read More
Can You Skip the 15-Month Wait When Selling Private and Buying Resale HDB?
TLDR The 15-month wait-out rule requires private homeowners to sell their property and wait 15 months before buying a resale...
Read More
Singapore’s En Bloc Landscape in 2025: Four Potential Residential Sites to Monitor
TLDR Developer confidence in Singapore’s property market is rising in 2025 despite global uncertainties, supported by strong sales in new...
Read More
5 Homeowners Share Their Biggest Regrets Delaying Their Property Purchase in Singapore
In the fast-paced and ever-evolving property market of Singapore, making a timely decision to purchase a property can make all...
Read More
4 Fresh Trends among Young Homebuyers Could Shake Things up in Singapore’s Real Estate Scene
TLDR Younger generation in Singapore is reshaping house hunting by showing a preference for quality of life over location. Millennials...
Read More
