Semi-detached Home in Bukit Timah Fetched Over $6 Million In Resale Gains in July

Landed homes sales moderated in July after uptick in June 2023
Based on URA Realis caveat data, about 116 landed homes were transacted on the resale market in July 2023; the combined transaction value came up to slightly below $580 million – moderating from the resale performance in June (138 deals valued at $685 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 Bedok and Bukit Timah. The top 10 landed transactions booked gains ranging from about $3.35 million to $6.05 million. Notably, seven out of the top 10 landed transactions are semi-detached homes.

Landed home prices had grown by a slower pace of 1.1% in Q2 2023, according to the latest figures released by the URA. The quarterly price growth of 1.1% was significantly slower compared to Q1 2023 which recorded a 5.9% QOQ growth. The residential market experienced a pullback in sales across segments, after the announcement of the latest property cooling measures at the end of April. The measures are aimed at curbing investment and foreigner demand with the higher additional buyer’s stamp duty (ABSD) tax rates. The measures worked swiftly and was effective in bringing down demand for high-value property purchases amongst foreigners and investors. In Q2 2023, overall residential home prices slipped by -0.2% QOQ, breaking the nearly 3-year growth streak since Q2 2020. As landed homes are mainly purchased by Singaporean buyers for own stay, the impact of the April 2023 measures was minimal compared to other segments such as high-end luxury properties and central region homes. That said, the landed homes segment is expected to experience slower sales, as homebuyers mull over increasing landed home prices amidst high interest rates and economic uncertainties.

Top 10 resale landed transactions in terms of estimated gains*

Top landed transaction with highest gains (overall)
The top landed transaction in the month was for a 2-storey semi-detached house located along Sian Tuan Avenue at the city fringe in Bukit Timah (District 21). It was sold for $10 million, with its last caveat being lodged in September 2006. The sale price is up by $6.05 million from the previous caveated price, marking an annualised profit of 5.7% over a span of 17 years. The property is a 10-minute walk from King Albert Park MRT station on the downtown Line which takes commuters to the city centre in 25 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.

Top landed transaction with highest gains (Core Central Region)
In July, three landed homes in the CCR made the top 10 rankings – all three CCR landed properties are located in the Bukit Timah planning area. Notably there were no Good-Class Bungalow (GCB) transactions which made the top 10 rankings in July. Bukit Timah is home to a number of GCB estates and the popular schools cluster consisting of Raffles Girls’ Primary School, Nanyang Girls’ Primary School, Hwa Chong Institution, and National Junior College. Residents are also minutes’ drive from Holland Village, Orchard Road shopping district, and the Singapore Botanic Gardens.

The best performing landed transaction in the CCR was a 3-storey semi-detached home along Jalan Istimewa in the Holland-Bukit Timah planning area in District 10. The property was sold for $10.38 million, with its last caveat being lodged in December 2020. The sale price is up by $5.08 million from the previous caveated price, with an annualised profit of 5.3% over a short span of less than 3 years. It was recently redeveloped by the previous owner in 2021. The property is located within close proximity of Henry Park Primary School as well as the lifestyle-commercial cluster at Holland Village.

The second most profitable deal in the CCR which made the top 10 rankings was for a 3-storey bungalow in Lim Tai See Walk within the Sixth Avenue landed enclave in Bukit Timah (District 10). The property was sold for $15 million, with its last caveat being lodged in May 2013. The sale price is up by $4 million from the previous caveated price, with an annualised profit of 3.1% over a span of 10 years. The freehold property sits on a large regular plot measuring more than 8,000 sq ft in size.

Top landed transaction with highest gains (Rest of Central Region)
There were only two city fringe or RCR landed transactions which made the top 10 rankings in July. The first was the overall top gainer of the month which was for the semi-detached home along Sian Tuan Avenue. The second most profitable deal in the city fringe in July was for a 2-storey terrace house located in Fulton Avenue at the edge of Bishan town (District 20). It was sold for $4.7 million, with its last caveat being lodged in June 2007. The sale price is up by $3.35 million from the previous caveated price – this marks an annualised profit of 8.1%, with a holding period of more than 16 years. It is located within walking distance to the recently completed Bright Hill MRT station on the Thomson-East Coast line (TEL) which takes commuters to the city within 30 minutes.

Top landed transaction with highest gains (Outside Central Region)
The most profitable deal in the suburbs in July was for a semi-detached house along Crowhurst Drive. The property was sold for $6.98 million, up by $5.18 million from the last caveat lodged in October 1995 – this reflects an annualised profit of 5% over a period of nearly 28 years. The 2-storey semi-detached house is situated in District 19 (Serangoon) within the quaint Serangoon Gardens Estate. It is located within close proximity to the commercial amenities of Serangoon Gardens such as Chomp Chomp Food Centre, Serangoon Garden Market, MyVillage at Serangoon Gardens, and various popular eateries housed in shophouses along Serangoon Garden Way and Kensington Park Road.

Another notable top 10 landed transaction in the suburbs was for the sale of a 2-storey terrace house in Jalan Selamat in District 14 (Bedok). The freehold property was sold for $8.2 million, up by nearly $3.9 million from the last caveat lodged in August 2022 – this reflects a gross profit nearly equivalent to its purchase price, after a short holding period of less than a year. It is located within 15 minutes’ walk to the Kembangan MRT station on the East-West line. It is also located within close proximity to the light industrial estate of Chai Chee and a short drive from the amenities at Bedok central including Bedok Mall, Bedok Library and Bedok Hawker Centre.

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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