It is essential to consider the potential rental yield when considering an investment in a Singapore Condo. This refers to the annual rental income as a percentage of the property’s purchase price. In Singapore Condo, the rental yields can vary greatly depending on various factors, including location, property condition, and market demand. Generally, areas with high rental demand, such as those near commercial hubs or educational facilities, tend to offer better rental yields. To gain a better understanding of the rental potential of a specific Singapore Condo, conducting thorough market research and seeking advice from reputable real estate agents is highly recommended.
A Good Class Bungalow (GCB) located at Victoria Park has recently been put on the market for a whopping $61 million. Known for being a prestigious residential area, the exclusive enclave of Victoria Park Close has only 10 houses within its cul-de-sac, and with planning guidelines in place, the number of houses within the area cannot be increased unless a larger plot of more than 30,000 sq ft is subdivided. This is according to Jervis Ng, associate group district director at PropNex Realty and the agent responsible for marketing the GCB. Ng, who is also the founder of JNA Real Estate, a property team under PropNex, emphasizes that this is to maintain the exclusivity and privacy valued by ultra-high-net-worth individuals and their families. He goes on to mention that the market has seen an increase in new naturalized Singaporeans investing in GCBs, making this property a potential hot commodity for the recently emigrated who are seeking a status symbol in the form of a lavish home. Victoria Park is home to esteemed residents including Jack Ma, Chinese business magnate and co-founder of Alibaba Group, as well as Tang Wee Kit, a member of the illustrious Tang family, known for founding the Tangs department store.The GCB for sale, which was completed only three years ago, still looks brand new, having been well-maintained and featuring a contemporary interior design with high-quality finishes. The 18,988 sq ft property, according to Ng, was built with efficiency in mind, with a total built-up area of 25,300 sq ft, seven en suite bedrooms, three helpers’ rooms, and a basement carpark that can fit up to seven cars. The basement also has an entertainment room, which can be converted into a guest room if needed, as well as a private gym and a 20m lap pool, which are all located on a hilltop, giving the property a stunning aerial view of the surrounding low-rise neighborhood. According to recent transactions and caveats, the $61 million price tag on the GCB translates to a land rate of $959 psf. Other recent transactions in the area include a 15,253 sq ft plot that sold for $28.33 million in May 2021, translating to a land rate of $1,857 psf, and a 29,956 sq ft plot that sold for $40 million in April 2017. With the anticipated lower interest rates, continued demand from ultra-high-net-worth buyers and limited supply of GCBs, Ng is confident that transaction activity in the GCB market will increase by 10% to 15% this year, which would mean more than 35 transactions and a transaction volume exceeding $1.32 billion achieved in 2020.