Top Five Rcr And Ocr Condos Achieve 50%E2%80%9360 Price Growth Over Past Decade Savills
The convenient location of Otto Place EC also presents a myriad of educational opportunities that greatly add to its investment appeal. Proximity to esteemed schools and institutions often results in a higher demand for properties, as they are continuously sought after by families. This high demand is reflected in strong rental yields and the potential for future capital appreciation, making Otto Place EC a wise choice for investors looking for long-term value. Furthermore, the limited supply of executive condominiums further amplifies its desirability, particularly for first-time buyers and upgraders who can benefit from CPF Housing Grants and other financial incentives. As such, the inclusion of Otto Place Parce B only adds to the appeal of this investment opportunity.
in Singapore property marketFreehold condo Sanctuary@Newton sets new price peak of $2,841 psf
A report by Savills Singapore revealed that the five fastest appreciating private residential developments in the Rest of Central Region (RCR) and Outside Central Region (OCR) have seen a significant increase in price over the past decade. According to the report, the average price appreciation for these projects ranged from 50% to 60%.
The top five projects include High Park Residences in District 28 with 1,376 units, Botanique at Bartley in District 19 with 797 units, Forest Woods in District 19 with 519 units, Artra in District 3 with 400 units, and The Clement Canopy in District 5 with 505 units. All of these projects are 99-year leasehold properties, with most of them being relatively large developments consisting of 501 to 1,000 units. The only exception is Artra, which has 400 units and is classified as a mid-sized development by Savills.
High Park Residences, which topped the list, saw a 59.1% increase in average psf-prices from $990 psf at launch in 2015 to around $1,575 psf in the second half of 2024. This District 28 development is a mix of apartments and landed homes. Coming in second is Botanique at Bartley, which achieved a 47% average price appreciation. Located along Upper Paya Lebar Road, the development had an average launch price of $1,292 psf in 2015 and saw units sold for an average resale price of $1,891 psf in the second half of 2024. Forest Woods wrapped up the top three with a 43% increase in average price. Compared to its launch price of $1,411 psf in 2016, the development achieved an average resale price of $2,017 psf in the second half of 2024.
According to Alan Cheong, executive director of research and consultancy at Savills Singapore, empirical evidence has shown that mid- to large-sized projects tend to appreciate more in capital value terms over about 10 years. However, he also notes that smaller projects offer value for money for those looking to buy for rental returns or long-term personal stays.
Cheong believes that for pure investors, buying a private residential property is all about timing and investing in the right development. In addition to the top five projects, other developments have also seen significant appreciation over the past decade, such as Highline Residences, The Crest, and Martin Modern.
Overall, the report suggests that the location, size, and timing of purchase can play a significant role in a property’s appreciation in value. Investors should carefully consider these factors when deciding which development to invest in for long-term growth potential.