Are There Still $1.5M Properties Left To Buy

Is there more 1.5 M Property Available to buy

As a Real Estate Agent -  I often get questions like:

"Is there a property available for under $1 million?" or

" I can't go beyond $1 million, can you help me scout for one?"

 

And my answer to that is both Yes and No.


Yes, because I am never the person to turn down someone who wants to invest in a private property.


The No -  comes into play when their budget range becomes too scarce.


As of the moment, there is an indirect relationship between the increase in prices and the average Joe's budget range.

So what we do is research and strategize - to give you a safety line for that dream unit.

It's not uncommon for me to meet would-be property investors who are - keen on purchasing  a unit  and yet get  held back by their budgets.


There are others who have been waiting for their luck in balloting for launches, yet no such fortune arises.


As prices keep increasing over the years, it's the truth that our budget gets smaller and smaller in comparison.


The best I could do is share opportunities to grab, given your budget.


After all, it's wise to work within a comfortable budget whenever we purchase a high-ticket item.


Let me introduce you to the Alps Residences.


If you look at the chart , you can see that the two-bedroom prices have stayed the same from January 2020 to May 2022.


Prices start at $868,000 at the opening of 2020, and its highest increase was recorded in March 2022 at $910,000, just a modest $60 PSF increase throughout the period.


If you look at the chart , you can see that the two-bedroom prices have not increased much from 2022 to 2023 even with the RED HOT market we have seen since 2021 record prices everywhere in Singapore.


Prices start at $868,000 at the opening of 2020, and its highest increase was recorded in April 2023 at $985,000, just a modest $187 PSF increase throughout the period.


2 Bedroom Alps Residences - 1
2 Bedroom Alps Residences

Notice  how the  3-bedroom units and above performed.

A 1,066 sq. ft. unit was bought in March 2020 at $1,139,000.

The owner sold it two years later at $1,460,000. That's $321,000 in profit!


If you were the homeowner, which unit would you pick?

The 1 & 2 bedroom or this 3 bedroom unit?


Notice  how the  3-bedroom units performed.

A 1,066 sq. ft. unit was bought in March 2020 at $1,139,000.

And now the prices have increased to $1.560,000
That's $421,000 in profit!

4 Bedroom Alps Residences

So why is this happening?


This is because there has been a large supply of 1-2 bedroom units for half a decade, and then came the onslaught of demand for 3-bedroom units during the pandemic.


However, note that smaller units will be decreasing soon since there is this new 85 sqm ruling.

Maximum Number of Dwelling Unit per Development

Image Courtesy of The Business Times

Wherein instead of our current Gross Floor Area of 70 sq.m , the maximum number of dwelling units per development will have a GFA of 85 sqm.


If you're looking to buy a property below $1 million today - YOU BETTER LISTEN. 


Now is your time to strike. There are still a handful of 1-2 bedroom units that make sense to purchase, and they are not even affected by the price increases.


In fact, many owners are trying to sell their subscale property units all at the same time!


Here's a tip when it comes to investing in properties:

It's beneficial to buy during a surplus.

The basic law of supply and demand - dictates that a surplus in supplies, decreases the prices. 


Our economy does not bank on wasting resources that are sensitive to a markdown. So, make sure there are no incoming properties to ensure a sizable price appreciation and Grab on to that chance!


When it comes to property, there are so many factors to consider right?


Which developments are affordable today and promise a good value increase in the coming years?


Well, the Singapore Real Estate Insider team is here to help you out.


Click here to book your 20-min complimentary call with us so we can guide you in making wise property decisions.


So, Invest wisely and stay tuned!


By Singapore Real Estate Insider

Transforming Ordinary Home Owners to Real Estate Winners and Grow, Accumulate, Preserve Wealth through the Home you Own in 90 Days with our Proven 3-Step Process, The R.E.I Method™

>