Recently High Park Residents in Sengkang enjoyed record sales of their units. However, few will be leased out.
This is due to the fact in 2017 Distinct 19, which encompasses Sengkang, Punggol, and Hougang will see the completion of over 700 shoebox units in Fervale Road Condo.
Foreign investors may have difficulty in affording them and the prices havelockedmany overseas nationals from buying in on even a single unit. So, instead rent a room of such a unit. This means rent will be under pressure as well very soon.
High Park Residences Shoebox Units
District 19 has many other projects coming in as well in the first part of this year:
Bartley Residences in Lorong How Sun
Later this year and next:
Promenade@Pelike in Hougang
Parc Centros in Puggol Central
River Isles in Edgedale Plains
Following on and leading into to the future are:
Distinct 14 is not to be outdone as they have shoeboxes coming up at:
With about 527 units becoming available
District 12 will have an additional 383 units spread between:
Shoebox Units in District 19 Fernvale Road
Further out, in the suburbs in District 17 and holds Chanli,Loyanf, and Pasir Ris you will see 224 units coming in soon.
District 22 will bring online another 151 units in Boon Lay, Jurong, and Tuas.
All in all this will account for 18% of new sales in the second half of the year and the next according to SRX property High Park Residences.
Prices are around $1,350 per sq ft in 2013 and rose to $1,400 the following year and this one for new completions.
Rent has fallen however from $2,600 for a 41 sq m shoebox from 2013 to $2,000-$2,200 nowadays.
The owners don’t want to sell out just yet, as they will take a beating. However, District 14 rents are down to $2,500. The true value of the market in the suburbs is unknown but is expected to come in around 3% or even lower for Highpark Residences.
Since 2013 in August, prices have fallen 10% and this trend will continue as the supply will continue to rise.
Fernvale Road Condo High Park
These numbers are very important as these shoeboxes are usually rented by the young and boost the economic development of a given area. This is very important to newer areas like Bartley and also to areas undergoing renovation like Hillview and Lakeside.
Likewise for those on a budget or those with a low-income, suburban shoeboxes are not all that enticing as with as little as $2,000 a 3 room flat closer to the heart of things where salaries are higher as well. This would include Ang Mo Kio, Geylang, and Toa Payoh as noted by HDB 2nd Q housing information.
So many will continue to weather the storm and handle the TDSR and even the 50% loan to value ratio for a 2nd house and the possibility of rent collapse in Fervale Road Condo. They do this in spite of all these obstacles as many still feel property because it is tangible will continue to the investment of choice will continue to buy in on these High Park Condo properties and ignore yields over ownership as one analyst commented when asked.