As you ponder over the idea of investing in a condo, it is crucial to also evaluate the potential rental yield it can offer. Rental yield refers to the yearly rental income generated from the property as a percentage of its purchase price. In Singapore, the rental yields for condos can vary significantly depending on factors such as location, property condition, and market demand. Generally, areas with high demand for rentals, such as those near business districts or educational institutions, tend to provide better rental yields. To gain a better understanding of a specific condo’s rental potential, it is essential to conduct thorough market research and seek advice from real estate agents. You can also visit Condo for additional information.
During the week of Dec 27 to Jan 3, Commonwealth Towers emerged as the top private non-landed property to achieve a new price per square foot (psf) peak. This 99-year leasehold development set a new psf-high of $2,460 on Dec 27 when it sold a 904 sq ft, three-bedroom unit on the 40th floor for $2.22 million.
This record surpasses the previous high of $2,402 psf, set just three months ago in September 2024 when a 689 sq ft, two-bedroom unit on the 42nd floor was sold for approximately $1.65 million.
Over the past three years, the average resale price of units at Commonwealth Towers has been on the rise. In 2022, there were 53 transactions at an average price of $1,971 psf. The following year, the average price went up to $2,097 psf over 51 resale transactions. Last year, there were 37 resale transactions with an average price of $2,200 psf. This is an 11.6% increase in average resale prices since 2022.
The most expensive unit to be sold at Commonwealth Towers by absolute price was a 1,302 sq ft, four-bedroom unit on the 39th floor for $2.96 million, or $2,273 psf. This transaction occurred in November 2024.
Commonwealth Towers was completed in 2017 and has a remaining lease of about 87 years. Located along Commonwealth Avenue, it comprises two 43-storey residential blocks with a total of 845 units ranging from one to four bedrooms and sizes from 441 sq ft to 1,302 sq ft.
Second on the list is freehold project Parq Bella, which saw a new psf-peak of $2,416 when the developer sold a 1,076 sq ft, three-bedroom unit on the fourth floor for about $2.6 million on Dec 31. This was also the first unit to hit above $2,400 psf at this development.
This beats the previous psf price record of $2,385 set in August 2023 when a 926 sq ft, two-bedroom unit on the fourth floor was sold for about $2.2 million.
Parq Bella comprises 20 freehold units ranging from two to four bedrooms, with sizes ranging from 926 sq ft to 1,787 sq ft. It is expected to be completed by December 2026. Last year, the boutique project saw five new sales transactions with an average price of $2,347 psf. Since its launch in 3Q2023, Parq Bella has sold 19 out of its 20 units (95%) at an average price of $2,244 psf based on caveats lodged as of Jan 14.
The only private residential development to see a new psf-price low during the period in review is freehold luxury project Klimt Cairnhill. The new psf-price floor came from the developer’s sale of an 829 sq ft, two-bedroom unit on the 24th floor for $2.55 million on Jan 3. This translates to $3,077 psf.
The 829 sq ft, two-bedroom unit on the 24th floor was the final unit to be sold at Klimt Cairnhill, a 138-unit freehold development that achieved 100% sales at an average price of $3,665 psf, based on caveats lodged. The project was previewed in August 2021 and officially launched in January 2023.
Klimt Cairnhill is located along Cairnhill Road in Prime District 9 and has a mix of two- to four-bedroom apartments ranging from 829 sq ft to 2,368 sq ft. There are also two penthouses of 4,898 sq ft and 5,920 sq ft. It is expected to obtain its Temporary Occupation Permit in April this year.