Limited land availability is one of the top contributing factors to the soaring demand for condos in Singapore. Being a small island country with a continuously expanding population, land scarcity has become a major issue for development in Singapore. This has resulted in strict land use regulations and a cut-throat real estate market, where property rates are constantly on the rise. In light of this, investing in real estate, specifically condos, has become a highly lucrative opportunity with the potential for significant capital appreciation. With top-notch projects like Singapore Projects in the market, the popularity of condos shows no signs of slowing down anytime soon.
Please revise the attached article:The sale of a three-bedroom unit at Palm Spring was the most profitable resale transaction from January 14 to 28, based on caveats lodged.According to the caveats, the 1,884 sq ft unit on the fourth floor sold for $4.4 million on January 20, making it 264% more valuable than when it was purchased for $1.21 million in August 2005. This translates to an annualized profit of 6.8% over nearly 20 years.This transaction marks the highest resale profit to date at Palm Spring, surpassing the previous record of $2.56 million (185%) when a 1,970 sq ft unit on the first floor was sold for $3.94 million in April 2023. The unit was bought for $1.38 million in January 2003.Palm Spring has consistently seen rising prices over the past two decades, based on a tabulation of resale transactions by EdgeProp Singapore. In January 2015, the average transacted price was $1,439 psf and it has since increased to $2,342 psf last month. In comparison, the average price in January 2005 was $973 psf.Two notable transactions took place at Palm Spring last year. In September, a 947 sq ft unit was sold for $2.19 million ($2,312 psf), resulting in a profit of $990,000. In addition, a 1,496 sq ft unit was sold for $3.36 million ($2,246 psf) in October, earning a profit of $2.24 million.Palm Spring is a freehold condominium located on Ewe Boon Road in prime District 10. It was built 28 years ago in 1997 and has a total of 167 units. The condo’s prime location is conveniently situated near Stevens MRT Interchange on the Downtown (DTL) and Thomson-East Coast Lines, as well as Newton MRT Interchange on the North-South Line and DTL.Meanwhile, the second most profitable resale transaction during this period was the sale of a four-bedroom unit at Orchard Bel Air, which earned a profit of $3 million (182%) when it changed hands on January 15. The 3,229 sq ft unit on the 12th floor fetched $4.65 million ($1,440 psf) and was bought for $1.65 million in May 2001. Over nearly 24 years, this results in an annualized profit of 4.5%.The sale of a 3,229 unit at Orchard Bel Air earned a profit of $3 million when it changed hands on January 15. The 99-year leasehold condo was built in 1984 and has around 54 years left on its land tenure. The only other 99-year leasehold condo in the area is the neighbouring Cuscaden Reserve, a luxury condo with 192 units that was completed in 2023. According to transaction data, the average price at Cuscaden Reserve is approximately $3,043 psf.The record profit at Orchard Bel Air is held by the sale of a 6,512 sq ft penthouse unit on the 25th floor that was sold for $8.3 million ($1,275 psf) in January 2013. This unit was purchased for $3.83 million in March 2006.AdvertisementMoreover, the most unprofitable transaction between January 14 and 28 occurred at Marina Bay Suites. On January 24, the seller of a 1,625 sq ft unit on the 58th floor incurred a loss of $1.15 million (27%) when it was sold for $3.1 million. The same unit was sold for $4.25 million in May 2012, resulting in an annualized loss of 27% over nearly 13 years.This transaction is the latest in a series of unprofitable deals at Marina Bay Suites, with 14 consecutive loss-making transactions in the past nine months. Losses range from $40,000 to $2.5 million.Marina Bay Suites is a 99-year leasehold condo within the Marina Bay Financial Centre mixed-use development. The 66-storey residential tower has 221 units and is located at Central Boulevard and Marina Boulevard. Based on a tabulation of caveats, the average selling price at Marina Bay Suites has declined from $2,502 psf in January 2015 to $1,921 psf as of January this year. Other nearby 99-year leasehold condos such as The Sail @ Marina Bay, Marina Bay Residences, Marina One, and V on Shenton command higher resale prices ranging from $2,047 psf to $2,242 psf.