Good-Class Bungalow In Novena Fetched $11.5 Million In Resale Gains In October

Muted resale activity in the landed resale market in October

Based on URA Realis caveat data, less than 100 landed homes were transacted on the resale market in October 2023; the combined transaction value came up to $508 million – easing further from the resale performance in September (114 deals valued at $608 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 across the island, including areas in Bukit Timah, Novena, and Bedok. The top 10 landed home transactions booked gains ranging from about $4.3 million to $11.5 million.

Amidst high interest rates and economic uncertainties, homebuyers continue to mull over rising landed home prices, and sellers keeping their asking prices firm had inevitably led to slower sales. We continue to observe an increasing proportion of higher priced landed homes being sold in October compared with the previous month. Based on URA Realis caveats, about 38.5% of resale landed homes sold in October were priced at $5 million and above, while it was about 36% in September. Meanwhile, 60.4% of resale landed sales were priced below $5 million in October – lower than the 64% proportion in the previous month.

Source: PropNex Research, URA Realis

Top 10 resale landed transactions in terms of estimated gains*

Source: PropNex Research, URA Realis

*Gains are derived from the resale transaction for each unit against the unit’s last caveated transaction. The gains reflected is gross – it has not accounted for the applicable seller’s stamp duties, interest payable, taxes and other relevant divestment costs.

**Annualised gain is the compounded annual rate of return which shows the rate of return over the time period between the point of resale and the property’s last caveated transaction, expressed in annual percentage terms. The formula for determining this is simply: [(current resale price) / (purchase price)] ^{time period in years}-1

Top landed transaction with highest gains (overall)

The top landed transaction in the month was for a Good-class Bungalow (GCB) in the CCR, located in one of Singapore’s GCB estates, Capitol Park along Chee Hoon Avenue (District 11). The property was sold for $18.5 million, with its last caveat being lodged in January 2010. The sale price is up by a whopping $11.5 million from the previous caveated price, booking an annualised gain of 7.4%. This GCB property sits on a large plot of more than 11,000 sq ft, with the purchase price reflecting a unit price of $1,678 psf on land area. The property is a short walk from the Botanic Gardens MRT interchange, on the Circle line and Downtown Line, which takes residents to the city in less than 20 minutes. It is located within close proximity to the Singapore Botanic Gardens.

Top landed transaction with highest gains (Core Central Region)

The second best performing landed transaction in the CCR was for a corner detached home along Robin Lane in the Tanglin planning area (District 10). The property was sold for $13.6 million, reflecting an estimated gain of $10.9 million, representing an annualised gain of 8.8% per year from its last caveat lodged in June 2004; with a holding period of nearly 20 years. The property is a short walk from the Stevens MRT station on the Downtown Line, which takes residents to the city in less than 15 minutes. It is located within close proximity to the Raffles Town Club, the Singapore Botanic Gardens and Orchard Road shopping belt. It is also located within walking distance to St Joseph’s Institution, and Singapore Chinese Girls’ School.

The third best performing landed transaction in the CCR was for a semi-detached house in the Novena planning area (District 11) along Dunearn Road. The property was sold for slightly more than $9 million, with its last caveat being lodged in July 2005. The sale price is up by $7.26 million from the previous caveated price, with an annualised profit of 9.2% over a span of 18 years. The property is just a short walk from the Tan Kah Kee MRT station on the Downtown Line, which takes residents to the city in less than 25 minutes. It is also located a short walk from Hwa Chong Institution and is near to the National Junior College, Raffles Girls’ School, and Nanyang Girls’ School.

Top landed transaction with highest gains (Rest of Central Region)

There were two city fringe or RCR landed transactions which made the top 10 rankings in October. The first was for the sale of a detached house along Jalan Pemimpin in Thomson Rise landed estate within Bishan town (District 20). It is located within walking distance to the Bishan transport hub consisting of the Bishan MRT interchange on the North-South line and Circle Line as well as the Bishan Bus Interchange. It was sold for $10.7 million, with its last caveat being lodged in October 2007. The sale price is up by $6.97 million from the previous caveated price, marking an annualised profit of 6.9% over 16 years.

Top landed transaction with highest gains (Outside Central Region)

The most profitable deal in the suburbs in October was the sale of a corner detached home in Frankel Avenue in Bedok (district 15). The property was sold for $10.3 million, up by $7.5 million from the last caveat lodged in March 2007 – this reflects an annualised profit of 8.2% over a period of more than 16 years. The 2-storey detached house is situated within Frankel landed estate. It is located within 10 minutes’ walk to the Kembangan MRT station on the East-West Line. It is also a short drive from the amenities in Bedok town, including the Bedok Mall, the integrated transport hub, hawker centre, and polyclinic.

One other notable suburban landed transaction in the top 10 rankings was the sale of a semi-detached house in Burnfoot Terrace, also within the Frankel landed estate in District 15 (Bedok). The freehold property was sold for $8.8 million, up by $4.6 million from the last caveat lodged in June 2022 – this reflects an annualised profit of 80.7% after a short holding period of just over a year. The property is currently being redeveloped into a new 2-storey semi-detached property. Demand for properties in the East Coast-Bedok region has also been gaining traction amongst many buyers due to its increasing accessibility and myriad of commercial amenities and popular eateries along East Coast Road.

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

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Top 10 resale landed transactions in terms of estimated gains*

Source: PropNex Research, URA Realis