An apartment at Island View, a freehold condominium in Pasir Panjang, has made headlines for being the most profitable resale deal of the week from November 26 to December 3. The unit, measuring 3,498 sq ft, was sold for $4.8 million ($1,372 per sq ft) on November 27. The seller had purchased the unit in September 2005 for $1.3 million ($372 psf), and after owning it for almost 19 years, made a remarkable profit of $3.5 million, representing a capital gain of 269% or an annualised profit of 14.2%.
This sale at Island View has now surpassed the previous record profit of $3.19 million from the sale of another 3,498 sq ft unit at the condo for $5.09 million ($1,455 psf) in February 2022. The seller of that unit had bought it in February 2007 for $1.9 million ($543 psf).
Island View, located on Jalan Mat Jambol in District 5, is a boutique development with 72 units of apartments measuring between 3,056 sq ft to 3,538 sq ft. Completed in 1984, this freehold condo consists of low-rise blocks and is within walking distance of the Pasir Panjang MRT station on the Circle Line.
In September of 2023, the owners of Island View attempted a collective sale by launching a tender with a guide price of $575 million. However, there were no bids and the condo was relisted for sale in March of this year at the same price but still failed to attract a buyer.
The second most profitable condo resale deal during the week took place at Cavenagh Court, where a unit measuring 1,862 sq ft on the sixth floor was sold for $3.65 million ($1,960 psf) on December 2. The owner of this unit had purchased it in April 2006 for $1.02 million ($548 psf) and made a gain of $2.63 million (258%) after owning it for almost 19 years.
This sale at Cavenagh Court has set a new record for the highest profit at the condo, surpassing the previous top gain of $2.15 million from the sale of another 1,862 sq ft unit on the fourth floor for $3.28 million ($1,761 psf) in April 2022. The seller of that unit had bought it in October 2007 for $1.13 million ($607 psf).
Cavenagh Court, a freehold condo on Cavenagh Road in the Newton area of District 9, was completed in 1971 and comprises 68 units ranging from 1,819 sq ft to 1,862 sq ft. It is conveniently located near the Orchard Road shopping belt.
Apart from the unit sold on December 2, there has been only one other resale transaction at Cavenagh Court this year, where a 1,840 sq ft unit on the sixth floor changed hands for $3.82 million ($2,074 psf). The seller had bought the unit for $2.88 million ($1,565 psf) in August 2019, making a gain of about $938,000.
In contrast, the sale of a duplex penthouse at The Berth By The Cove was the least profitable condo resale deal of the week. The four-bedroom apartment measuring 3,089 sq ft was sold for $3.6 million ($1,165 psf) on November 29. The previous owner had bought it for $5.53 million ($1,790 psf) in August 2007, resulting in a loss of $1.93 million (35%) after owning it for around 17 years.
This sale at The Berth By The Cove is the second most unprofitable transaction recorded at the condo. The biggest loss belongs to a 2,939 sq ft, four-bedroom unit that sold for $3.25 million ($1,106 psf) in February 2018, resulting in a loss of $2.39 million for the seller who had bought it in October 2011 for $5.64 million ($1,919 psf).
When making the decision to invest in a condominium, it is important to consider the cost of maintenance and management in addition to the initial purchase price. This is because condominiums often require a monthly maintenance fee to cover the upkeep of shared areas and amenities. While this may add to the overall cost of owning a condo, it also ensures that the property remains well-maintained and increases in value. To make condo ownership more manageable and less time-consuming, investors can enlist the help of a reliable property management company such as Singapore Projects Singapore Projects. They can assist with day-to-day tasks, making the investment a more effortless and passive one.
The Berth by the Cove, located on Ocean Drive in the Sentosa Cove residential enclave on Sentosa Island, is a freehold condo completed in 2006. It comprises 15 low-rise blocks with 200 units, and apartments range from two to four bedrooms between 1,012 sq ft to 2,325 sq ft. There are also four- and five-bedroom penthouses measuring 2,939 to 6,028 sq ft. There have been seven other resale transactions at this condo this year, with the units selling at prices ranging from $1,237 psf to $1,535 psf. Out of these, four were unprofitable with losses between $40,000 and $780,000, while the remaining three deals were profitable with gains of $200,000 to $430,000.…