Why Cash Over Valuation (COV) Doesn’t Matter Anymore
TLDR HDB’s old strategy of hiding Cash Over Valuation (COV) data isn’t cooling Singapore’s resale flat market anymore. Prices keep...
Read More
TLDR
A recent sub-sale transaction in Midtown Modern set a new record with a 2-bedroom home selling at $3,150 psf. Selling before TOP can lead to substantial profits, even after paying the Seller Stamp Duty. Avoid paying 25% in the progressive payment plan by selling your Option to Purchase before TOP. Properties like Sky Everton, Treasure at Tampines, and The Florence Residences have seen significant increases in their psf prices for resale transactions. The demand for condos near TOP is high due to newer units in better condition, reducing the need for renovations. Consider collaborating with a real estate expert like Jayson Ang to market your sub-sale property effectively. Buyers should weigh their options carefully and seek expert advice before making decisions in the current real estate market landscape.
A new record for the highest price per square foot for a 2-bedroom home in Midtown Modern was set at $3,150 psf.
The property was sold for $2,000,000, even though it only measures 635 sq ft.
This sale is considered a sub-sale, which means that the condo unit was bought from the developer and sold to another buyer before completion.
The seller purchased the property originally for $1.744 million in 2021 and had to pay a 4% Seller Stamp Duty (SSD) due to buying it between 2-3 years ago.
The SSD rate is 12% in the first year, 8% in the second year, and 4% in the third year after the purchase date.
Despite paying the tax, the seller still made a profit of over $170k.
If you bought a condo unit with the intention of selling it when the development is completed, then you should definitely consider doing the same thing.
Additionally, if you received an early bird discount when purchasing the unit, it may be enough to cover the 4% SSD. This way, you can use your gains for your next home purchase.
Avoid paying 25% in the progressive payment plan before TOP
Developers offer appealing payment plans that require an additional 25% payment upon completion of a property, known as TOP.
To avoid this payment, buyers can sell their Option to Purchase before the TOP deadline.
To identify condos that are suitable for selling before TOP, we will focus on fully sold out properties that are expected to be ready in 2023.
- Sky Everton
- Treasure at Tampines
- The Florence Residences
- View at Kismis
- Jervois Prive
- Cairnhill 16
- Urban Treasures
- Parc Clematis
- The Verandah Residences
Prospective buyers who missed out on the opportunity to reserve a unit in any of these recent property launches will now have the chance to acquire their desired condominium.
However, since there are no more untaken units available directly from the developer, they can purchase from current homeowners.
Sell at a Increased Higher PSF Pricing
These properties have experienced notable increases in their per square foot (psf) prices for resale transactions.
For instance, Treasure at Tampines was initially sold at approximately $1,400 psf but has been selling at an average of approximately $1,600 psf over the last three months.
Please note that the recorded transactions for Sky Everton were limited to only 2-3 and do not provide a comprehensive reflection of the overall market’s price growth.
Huge Demand For Condos Nearer To TOP
This is a positive sign that there is a high demand for newly-built condos that are ready for occupancy and located near the top of the building.
Buyers are willing to pay more for these types of units. Sub-sale units are generally newer and in better condition than resale condos, requiring less renovation or upgrades.
This means that buyers can move in immediately without having to spend extra money on renovations.
Those who do not want to wait for a new condo to be completed or spend money on renovations with a resale unit may be more interested in purchasing a sub-sale unit, even if it comes at a higher price.
Collaborate With Me To Market Your Sub-Sale Property At An Unprecedented Value!
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 …
Exciting News: Affordable Housing in Singapore by 2024?
TLDR The real estate market in Singapore is experiencing shifts in housing supply and demand, influenced by factors like mortgage...
Read More
The Changing Faces of Orchard Road
Should You Buy, Sell or Wait? If you're reading this, you must be trying to figure out the best course...
Read More
3 Errors to Steer Clear of When Transitioning from Private Property to an HDB Flat
TLDR Homeowners may downsize from private properties to HDB flats for various reasons, such as financial benefits and lower maintenance...
Read More
Increase in ABSD April 2023
TLDR The impending rise in ABSD (Additional Buyer's Stamp Duty) is expected to suppress investment demand, allowing local homebuyers to...
Read More
3 Steps to Prevent Rental Scams
TLDR: Prevent Rental Scams in Real Estate Scammers are targeting prospective tenants by impersonating Real Estate Salespersons (RES) to deceive...
Read More
Top 5 Cocktail Bars in Singapore for a Night Out
Singapore, the vibrant city-state known for its impressive skyline and diverse culture, is also home to an exceptional cocktail scene....
Read More
Why Selling Your Own HDB Flat May Be More Challenging Than You Anticipate: 7 Hidden Challenges to Prepare For
TLDR Selling your flat can be a daunting task, not because of the paperwork but due to challenges in marketing...
Read More
5 Unexpected Factors That Make Some New Launch Condos Sell Like Hotcakes
TLDR The Singapore property market for new condo launches in 2023 saw varying degrees of success. Factors like limited competition,...
Read More
Are Cluster Landed Homes Still a Good Investment? Analyzing Their Performance Over the Past Decade
TLDR When it comes to cluster housing, freehold properties like Bishopsgate Residences command top prices, whereas bargains can be found...
Read More
Top 5 Factors : Location More Important Than Freehold Status?
When it comes to purchasing a property, there are numerous factors that potential buyers need to consider. While the debate...
Read More
Expert Tips : Top Property Investment Strategies in Singapore
TLDR Singapore offers lucrative property investment opportunities with its stable economy and political climate. To succeed, investors should conduct thorough...
Read More
Top 5 Reasons : Why Jayson Ang is the Best Property Agent in Singapore. And Why You Should Engage Him Today
In the bustling city-state of Singapore, the real estate market is highly competitive and constantly evolving. Finding the perfect property...
Read More
Top 5 Secrets : Foreign Investors Are Rarely Told About Singapore’s Real Estate Market
Singapore's real estate market has been a popular choice for foreign investors due to its stable economy, strategic location, and...
Read More
Top 5 Tips : How Does One Choose Good Property In Singapore?
Singapore, a thriving city-state known for its impressive skyline and robust economy, has always been an attractive destination for property...
Read More
Top 5 Factors : What Is Considered “Luxury” In The Singapore Property Market?
The Singapore property market is known for its high-quality residential properties, attracting both local and international buyers. Luxury real estate...
Read More
What Type of Properties Can a Permanent Resident PR Buy in Singapore?
TLDR When it comes to purchasing property in Singapore as a Permanent Resident or Foreign National, there are specific restrictions...
Read More
Property Unpacked: Is GLS Impacting Property Values?
TLDR The Government Land Sales (GLS) program in Singapore is critical for developers to obtain development land, with sites released...
Read More
Is It Better To Purchase A Larger HDB Or A Smaller Condo For $1 Million In 2025?
TLDR When comparing a large, centrally located resale flat (e.g., 5-room HDB) with a small condo around the $1 million...
Read More
Navigating the 2025 Singapore Property Market: Why Informed Buyers Can Stay Confident
TLDR Despite global economic uncertainties, Singapore’s property market remains resilient due to robust financial regulations, conservative loan assessments, and effective...
Read More
