Finding that perfect home, whether for your own use or future investment, is everyone's dream. One of the most important aspects of hitting that property jackpot is finding the perfect property at the right location in Singapore!
It is no secret that one of the most significant deciding factors for a property's market value is its location. While it's true that this is relative to everyone's needs, such as the nearby facilities and transportation, it cannot be denied that some locations are more in demand than others. In Singapore, that place is the Core Central Region.
Core Central Region, or CCR, comprises Districts 9,10, and 11, and some parts of Districts 1, 2, 6 and 7. The CCR is Singapore's key metropolitan region where all the amenities, malls, high-end restaurants, and hotels are easily within reach. Due to that and the region's land scarcity, private residential units in the area are some of the most in-demand and expensive in Singapore.
If you are looking to buy a property in the CCR, do not worry! There is plenty of property in the area that you still can get your hands on, so not all hope is lost. However, that does not mean you should buy it immediately and recklessly. In fact, you should pick the right CCR property based on the following 3 key elements when making a purchase or a successful investment:
1. Strong Resale Demand
Whether you are buying a property for you to live in or for you to invest and generate a second income, it is crucial to have a clear exit strategy. Some things you should consider before making your property purchase are what you are planning to do with the property (rent out or sell the house), the market trend in the foreseeable future, and the risks involved.
The factors contribute to the liquidity of the property itself—a property with high liquidity means that it will sell easier and potentially lower the risk of you losing money. All of this can be quite confusing, especially to first-time buyers that have no prior experience in property. So, the best thing you can do in this situation is to consult a property agent to help you with your purchase.
2. Great Price Support
One thing you should be on the lookout when buying a property in CCR is price support. Do the location and amenities justify its price? Is the price per square foot acceptable in the region? Is the property price affordable for your future buyers? These are the questions you need to know the answer to because it determines whether you are getting your money's from your property.
A property with good price support will have a reasonable price range within the market value in the region. That means the price is within the expectation of people who house-hunts in the area. You will also need to know who are your future buyers, especially if you are using your property as an investment. Whether you want to sell it to families, first home buyers, or young couples, you need to be aware of your market for a successful investment.
3. High Upside Potential
One of the most important things you need to know about your property is its upside potential, or the likeliness of its market value to increase in the future. And one of the factors that determine this is the transformation projects in the region. Such transformations often bring economic growth and improvements in several aspects, such as accessibility, amenities, and job opportunities. With all these positive changes, you can expect an exponential increase in your property's value.
So, before you make your purchase, do your research and see if there are any plans for urban transformations in the area. If you are unsure or if you want to have more precise and up-to-date information, you can always consult your property agent and have them assist you.
Searching for the right home can be challenging, but if you follow the three key elements that we have listed here, we are sure your property journey will be much easier. If you find yourself needing more assistance, do contact Property Giant Singapore and our agents are more than happy to lend you a hand!
The above article is written with reference from SPS2020 webinars, organized by Mediacorp in collaboration with Propnex and 99co.
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