Purchasing a condominium is a significant financial decision that requires thorough planning, especially when it comes to financing. In Singapore, there are several mortgage options available, but it is crucial to be familiar with the Total Debt Servicing Ratio (TDSR) framework. This framework sets a limit on the amount of loan a borrower can take based on their income and existing debt obligations. To ensure wise and informed financing decisions, it is vital for potential investors to understand the TDSR and seek guidance from financial advisors or mortgage brokers. Doing so can prevent them from becoming over-extended and maximize their investment in Singapore projects. Visit Singapore Projects for more information.
During the week of November 12 to 19, the sale of a three-bedroom unit at Maple Woods stood out as the most profitable condo resale transaction. The 1,539 square feet unit, located on the first floor, was sold for $3.3 million, which translates to $2,144 per square foot (psf) on November 15. The seller purchased the unit for $1.28 million in April 2009 at a rate of $830 psf, making a remarkable profit of $2.02 million. This reflects a 158% capital gain or an annualised profit of 10.6% over a holding period of approximately 15 and a half years.
Maple Woods is a freehold condo situated in the prime District 10 along Bukit Timah Road. It was built in 1997 and comprises 697 units ranging from two to four bedrooms, with sizes ranging from 850 square feet to 3,003 square feet. The condo is a five-minute walk from King Albert Park MRT Station on the Downtown Line and is in close proximity to Methodist Girls’ School and the Rail Corridor.
This year, there have been 10 other resale transactions at Maple Woods, all of which have been profitable deals for the sellers. The available caveats show that the sellers made gains of at least $425,000, with three units selling for over $2 million. One of the units was a 1,787 square feet, three-bedroom unit on the eighth floor, which was sold for $3.75 million ($2,099 psf) on July 1997. The seller profited $2.15 million after purchasing the unit in July 1997 for $1.6 million ($895 psf).
Another unit, also measuring 1,787 square feet and located on the eighth floor, was sold for $3.82 million ($2,138 psf) on September 10. The seller, who bought the unit in March 2007 for $1.35 million ($756 psf), made a profit of $2.47 million. The third unit, a 3,003 square feet, four-bedroom unit on the eighth floor, was sold on the same date for $5 million ($1,665 psf). The seller, who purchased the unit in September 1998 for $2.4 million ($798 psf), made a gain of $2.6 million.
The second most profitable condo resale deal during the week took place at UE Square, where a three-bedroom unit measuring 1,528 square feet on the seventh floor was sold for $2.95 million ($1,930 psf) on November 14. The seller had acquired the unit through a sub-sale in December 1997 for $1.3 million ($850 psf), making a profit of $1.65 million (127%) after owning the unit for nearly 27 years.
This sale is the fourth most profitable resale transaction registered at UE Square, with the record belonging to a four-bedroom penthouse spanning 3,089 square feet, which sold for $6.27 million ($2,031 psf) on October 6, 2023. The seller, who bought the unit for $4.1 million ($1,327 psf) in December 2009, made a profit of $2.17 million.
UE Square is located on Clemenceau Avenue in District 9, close to Clarke Quay, and is part of the UE BizHub City mixed-use development. The condo comprises an 18-storey office building with a four-storey shopping podium and two residential blocks of 18 storeys each, housing 345 units. The development is divided by a service road, with the commercial tower separated from the two residential towers.
UE Square consists of 345 residences, ranging from one to five bedrooms, with sizes ranging from 506 square feet to 2,379 square feet. There are also penthouses measuring 3,089 square feet. The condo is within walking distance of Fort Canning MRT Station on the Downtown Line.
On the other hand, the most unprofitable condo resale transaction during the week was the sale of a three-bedroom unit at Tomlinson Heights. The 2,745 square feet unit, located on the 19th floor, was sold for $8.25 million ($3,006 psf) on November 19. The seller had purchased the unit from the developer in February 2011 for $8.85 million ($3,225 psf), incurring a loss of about $601,000 (6.8%) after owning the unit for almost 14 years.
Tomlinson Heights is a luxury condo situated off Orchard Boulevard, comprising a 36-storey tower with a mix of three- and five-bedroom units measuring 2,551 square feet to 6,738 square feet. Completed in 2014, the freehold development is in close proximity to shopping malls along Orchard Road.
The unit sold on November 19 is the first caveated transaction at Tomlinson Heights since January 5, 2023, when another 2,745 square feet unit was sold for $10.5 million ($3,825 psf). The seller, who bought the unit from the developer in May 2011 for $8.38 million ($3,053 psf), made a gain of $2.12 million.