Bungalow In Marine Parade Fetched Over $11.5 Million In Resale Gains in May

By Jean Choo

Demand for landed homes cooled in May 2023 after April 2023 property measures
Based on URA Realis caveat data, about 81 landed homes were transacted on the resale market in May 2023; the combined transaction value came up to slightly below $470 million – slowing significantly from the resale performance in April (117 deals valued at $611.7 million). Upon an analysis of each transaction and their respective gains, most deals have been profitable. In a ranking by gross profit garnered, the list of top 10 transactions consisted of landed homes located in suburban landed estates in Marine Parade, Bukit Timah, and Serangoon. The top 10 landed transactions booked gains ranging from about $3.2 million to $11.5 million. Notably, seven out of the top 10 landed transactions are semi-detached homes.

After observing a quarterly price growth of nearly 6% QOQ on the URA private residential landed index in Q1 2023, it would seem that liveliness in the landed home sales market has cooled a fair bit – likely an aftermath of the market taking stock of the latest cooling measures announced at the end of April. The measures have dampened demand for luxury city centre properties amongst investors and foreigners due to higher additional buyer’s stamp duty (ABSD) tax rates. While the buyers and sellers take time to digest the new measures, demand could stay muted in the near-term.

Top landed transaction with highest gains (overall)
The top landed transaction in the month was for a 3-storey bungalow located along Branksome Road in the city fringe at Marine Parade (District 15). It was sold for $15 million, with its last caveat being lodged in July 1999. The sale price is up by $11.45 million from the previous caveated price, marking an annualised profit of 5.7% over a span of 23 years. The property is built on a large freehold plot spanning over 6,600 sq ft. Homes in District 15 have been experiencing an uplift in their property values over the last few years due to the progressive gentrification of the area, as well as the development of the Thomson-East Coast Line. The project is a 15-minute walk from the Dakota MRT station on the Circle Line which takes commuters to the city centre in less than 10 minutes.

Top landed transaction with highest gains (Core Central Region)
In May, two landed homes in the CCR made the top 10 rankings – both properties are located in the Sixth Avenue neighbourhood – a prestigious landed home enclave within Bukit Timah, with a number of Good-Class Bungalow estates nearby. The best performing landed transaction was for a 2-storey semi-detached house along Namly Drive in the Bukit Timah planning area within District 10. The property was sold for slightly over $10 million, with its last caveat being lodged in April 2006. The sale price is up by $7.3 million from the previous caveated price, with an annualised profit of 7.9% over a span of more than 17 years. The property is a short walk from the Sixth Avenue MRT station on the Downtown Line, which takes residents to the city in less than 20 minutes. It is also a short drive away from Holland Village, Orchard Road shopping district, and the Singapore Botanic Gardens.

The other transaction in the CCR which made the top 10 rankings was for a semi-detached home in Lantana Avenue within the Sixth Avenue neighbourhood, in Bukit Timah (District 10). The property was sold for $9.3 million in May, with its last caveat being lodged in January 2019. The sale price is up by $3.2 million from the previous caveated price, with an annualised profit of 10.4% over a relatively short span of 4 years.

Top landed transaction with highest gains (Rest of Central Region)
The second top landed transaction in the city fringe in May was for the sale of a 2-storey semi-detached house in Hua Guan Crescent at Bukit Timah in District 21. The property was sold for $13.8 million, up by more than $7.8 million from the last caveat lodged in January 2020 – this reflects a healthy annualised profit of 29.2% with a short holding period of just 3 years. The property was recently completed after undergoing redevelopment in 2020. It is located a short walk from the King Albert Park MRT station on the Downtown Line, which takes commuters to the city in less than 30 minutes. The property is also located near Methodist Girls’ School as well as the Sime Darby Centre, which has numerous food options and the Cold Storage Supermarket. It is also a short walk from the newly-completed railway corridor park connector.

The third most profitable deal in the city fringe in May was for a corner terrace house located in Lorong Bunga in the quiet Sennett estate, within Potong Pasir (District 13). It was sold for $5.6 million, with its last caveat being lodged in December 2003. The sale price is up by $4.18 million from the previous caveated price – this marks an annualised profit of 7.3% with a holding period of nearly 20 years. The property is located a few minutes’ walk from the Potong Pasir MRT station on the North-East Line, which takes commuters to the city centre within 20 minutes. Residents can also reach the city via the Pan-Island Expressway (PIE) and Central Expressway (CTE). The property is also located close to a number of amenities, including the Poiz Centre, Woodleigh Mall, Cedar Girls Primary and Secondary School.

Top landed transaction with highest gains (Outside Central Region)
The most profitable deal in the suburbs in May was for a semi-detached house along Seletar Hills Drive. The property was sold for slightly more than $6 million, up by nearly $4.5 million from the last caveat lodged in July 2009 – this reflects an annualised profit of 10.2% over a period of close to 14 years. The 2-storey semi-detached house is tucked away in a tranquil corner of the Seletar Hills estate in the suburbs of Upper Serangoon (District 28), offering residents a quiet respite from the hustle and bustle of city living.

The second top landed transaction in the suburbs in May was for the sale of a 2-storey semi-detached house in Lorong G Telok Kurau in District 15 (Bedok). The property was sold for $5.8 million, up by more than $4.27 million from the last caveat lodged in July 1999 – this reflects an annualised profit of 5.8% with a holding period of nearly 24 years. It is located just a 5 to 10 minutes’ walk from the Kembangan MRT station on the East-West Line. The property is near to the Paya Lebar regional centre which has shaped up to be a major commercial hub. Demand for properties in the East Coast-Bedok region has also been gaining traction amongst many buyers due to its convenient accessibility and a myriad of commercial amenities and popular eateries along Changi Road and Joo Chiat.

If you are looking for high-end homes or good class bungalows in Singapore, contact PropNex’s GCB and Prestige Landed department today for buying opportunities and insights on the landed residential property market.

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