Semi-Detached Home In Tanglin Fetched $8.4 Million In Resale Gains In November

Muted resale activity in the landed resale market in November

Based on URA Realis caveat data, about 102 landed homes were transacted on the resale market in November 2023; the combined transaction value came up to $625 million – following the resale performance in October (108 deals valued at $576 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 in Bukit Timah, Serangoon, and Bishan. The top 10 landed home transactions in November booked gains ranging from about $3.6 million to $8.4 million.

Landed home sales have been relatively quiet in recent months with buyers mulling over firm asking prices in the light of elevated interest rates and economic uncertainties. In November, there was a slightly lower proportion of higher priced landed homes being sold compared with the previous month. Based on URA Realis caveats, about 31.3% of resale landed homes sold in November were priced at $5 million and above, compared with about 38.5% in October. Meanwhile, 68.8% of the resale landed transactions were priced at below $5 million in November – higher than the 61.5% proportion in the previous month. With news of impending interest rate cuts in 2024, landed homes sales could be poised for a rebound in 2024.

 Chart 1: Price range of private resale landed transactions in October 2023 vs November 2023

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 semi-detached house located near one of Singapore’s exclusive landed neighbourhoods in the CCR, in Cluny Park Road (District 10). The property was sold for $11.2 million in November and achieved a whopping $8.4 million gain from the last caveated price lodged in July 2006 - booking an annualised gain of 8.4%. This freehold property sits on a plot with a land area of nearly 4,000 sq ft, with the sale price reflecting a unit price of $2,855 psf on land area. The property is a short walk from the Botanic Gardens MRT interchange station, on the Circle Line and Downtown Line, which takes residents to the city in about 20 minutes. It is also located close to Singapore’s first UNESCO World Heritage site – the Singapore Botanic Gardens.

Top landed transaction with highest gains (Core Central Region)

The second best performing landed transaction in the CCR was for another semi-detached home along Greenleaf View in the Bukit Timah planning area (District 10). The property was sold for about $8.7 million, reflecting an estimated gain of nearly $6 million, representing an annualised gain of 6.9% per year from its last caveat lodged in May 2006 - with a holding period of more than 17 years. The property is located near the Henry Park Primary School as well as the Holland Village lifestyle-commercial cluster.

The third best performing landed transaction in the CCR was for a terrace house in the Bukit Timah planning area (District 11) along Greenwood Lane. The property was sold for about $6.7 million, with its last caveat being lodged in May 2005. The sale price is up by about $4.4 million from the previous caveated price, with an annualised profit of 5.9% over a span of 17 years. The property is a 10-minute walk from the Sixth Avenue MRT station on the Downtown Line, which takes residents to the city in less than 25 minutes. It is also 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 three city fringe or RCR landed transactions which made the top 10 rankings in November. The first was for the sale of a semi-detached house in Jalan Jambu Mawar in the Hock Seng Park landed housing estate in Bukit Timah (District 21). The property 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 the Sime Darby Centre, and the newly-completed railway corridor park connector. It was sold for nearly $8.9 million in November, with its last caveat being lodged in May 2009. The sale price is up by about $6.6 million from the previous caveated price, marking an annualised profit of 9.8% over 14 years.

The second city fringe transaction which made the top 10 rankings was for the sale of a detached house in the Bukit Timah planning area (District 21) in Upper Bukit Timah View. The property was sold for $5.2 million, with its last caveat being lodged in April 2003. The sale price is up by about $3.9 million from the previous caveated price, with an annualised profit of 5.7% over a span of more than 20 years. The property is located about a 10- to 15-minute walk from the Beauty World MRT station on the Downtown Line, which takes commuters to the city in less than 30 minutes. It is also near the Bukit Timah Nature Reserve – a popular spot amongst fitness and nature enthusiasts. The Beauty World commercial cluster is also located nearby, offering residents numerous dining and retail options.

Top landed transaction with highest gains (Outside Central Region)

The most profitable deal in the suburbs in November was the sale of a detached home in Brighton Crescent in Serangoon (District 19). The property was sold for $15.5 million, up by $6.5 million from the last caveat lodged in July 2016. This reflects an annualised profit of 7.7% over a relatively short period of 7 years. The two-storey detached house is situated in the Serangoon Gardens landed housing estate. It is located close to the commercial amenities in 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.

The second best performing suburban landed home transaction in the top 10 rankings was the sale of a semi-detached house in Jalan Labu Ayer, within the Bartley Rise landed estate in District 19 (Serangoon). The freehold property was sold for $7.5 million, up by $4 million from the last caveat lodged in April 2018 – this reflects an annualised profit of 14.6% after a short holding period of more than 5 years. The property is a 10-minute walk from Serangoon MRT station and bus interchange, as well as NEX shopping mall.

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