SINGAPORE (EDGEPROP) - A freehold bungalow on Tamarind Road, just off Yio Chu Kang Road in District 28, is on the market for $8.8 million. The house sits on a 9,599 sq ft plot and the guide price translates to $916 psf on the land area. The property is being sold in a mortgagee sale and will be made available through private treaty.
The bungalow is in a two-storey landed housing estate in Seletar Hills, and is easily accessible by three major expressways: Central Expressway, Seletar Expressway, and Tampines Expressway. The house is also close to Seletar Aerospace Park, a hub for the aerospace industry in Singapore and where Seletar Airport is located.
The proximity to Seletar Aerospace Park ensures that the serenity of the low-rise housing area is maintained, since development plans keep the density of the area low, says Bruce Lye, managing partner of SRI, which is appointed to manage the sale of the property. “This makes the bungalow ideal for a buyer who wants to live in an area that is more laid-back, rather than a more cluttered area,” he says.
The 9,599 sq ft site is large enough that the private porch and driveway can fit a fleet of 10 cars. The compound also has space for a garden, a basketball court, and a pool. The house has a built-up area of 4,100 sq ft and features five bedrooms. However, it will likely require renovation as most of the fittings and furniture have not been adequately maintained.
Lye says: “The house would generally require a cosmetic overhaul to modernise the look. But the space is great and would appeal to a homeowner who values spending time with family and friends.” He reckons that it would cost about $600,000 to renovate a property like this, barring specific renovation plans.
According to URA Realis, a 4,004 sq ft house at nearby 20 Begonia Drive transacted at $3.5 million ($873 psf) on Jan 30 this year. “Recent transactions for smaller plots of land [in this area] for reconstruction command around $850 psf. [In this area] larger plots are rare and are a niche find for buyers who appreciate space,” says Lye.
He adds: “The profile of buyers in Seletar looking at properties within this price range are generally industrialists who have their businesses located in the north, between Ang Mo Kio and Woodlands. They are looking for a home where their family can get quickly into the city via well-connected transportation routes yet be near their area of work.”
Landed homes in the Seletar Hills area are in high demand among local owner-occupiers, which likely contributed to the successful sales last month at nearby Luxus Hills, which achieved prices as high as $2,049 psf, says Lye.
Developed by Bukit Sembawang Estates, the final 39 houses at the 999-year leasehold Luxus Hills landed development were all sold within two weeks of the first private previews which started on Feb 14.
The uncertainty as a result of the Covid-19 pandemic has resulted in more bargain hunters emerging in the local property market. In addition, more home buyers tend to be beneficiaries from the recent en bloc cycle, who have been living on short-term leases and are now looking for new homes to settle down in, says Lye.
Prior to the current outbreak, sellers were generally bullish and hoped to achieve higher prices when considering a sale, while buyers were hoping to purchase at “fair market prices”, he says. But the current situation has given buyers a slight advantage in price negotiations, and many sellers are more open to consider deals at “fair market prices”, he adds.
“The outlook for the next three to six months really depends on the situation but if the all-clear is given, I believe there would be a surge in demand caused by pent-up demand from many local and foreign home buyers and investors affected by the current Covid-19 restrictions,” says Lye.
In the meantime, he expects there will be more property mortgagee sales this year as some owners liquidate assets to support businesses affected by the economic slowdown. But, he adds, there are also opportunistic, cash-rich investors waiting in the wings to pick up quality, value buys that appear on the market.