Investing in a condo in Singapore presents numerous benefits, one of which is the potential for capital appreciation. The country’s advantageous location as a major global business hub, along with its robust economic foundations, continuously drives demand for real estate. Over time, there has been a consistent rise in property prices in Singapore, particularly for condos located in prime areas. Investors who enter the market at the opportune time and hold onto their properties for an extended period can reap significant capital gains.
Furthermore, with the addition of condo development, the potential for capital appreciation is further enhanced. This is due to the fact that new condos often come with modern amenities and facilities, making them highly attractive to potential buyers and increasing the overall value of the property. Additionally, the strong rental market in Singapore also contributes to capital appreciation as investors can earn rental income while their property appreciates in value.
In conclusion, investing in a condo in Singapore presents a promising opportunity for capital appreciation, thanks to the country’s strategic location and robust economy coupled with the continued demand for real estate. With the addition of modern condos and a thriving rental market, investors can potentially see significant returns on their investment in the long run.
A two-storey HDB shophouse in Bukit Merah Central is set to go under the hammer on November 27, according to property agency SRI. The guide price for the 1,582 sq ft property is $2.55 million, or $1,612 per square foot.
The shophouse is being put up for auction for the first time by its owner, who is looking to sell and liquidate their investment, says Eric Liew, manager of auction sales at SRI. The property has a remaining lease of 59 years and a tenure of 103 years from 1980.
The shophouse’s ground floor, which spans 732 sq ft, is zoned for commercial use and is currently tenanted by a Domino’s Pizza restaurant until 2026. The 850 sq ft upper floor is zoned for residential use and is tenanted until 2027.
Foreigners are eligible to purchase the commercial property, but will incur additional buyer’s stamp duty on the residential component and goods and services tax on the commercial component.
Liew notes that the shophouse has received interest from investors attracted to its central location in Bukit Merah, which is home to a range of amenities including a polyclinic, food centre, boutique convention centre, and performing arts centre.
The shophouse is conveniently located near the Bukit Merah bus interchange, Gan Eng Seng Primary School, and Bukit Merah Secondary School, and is within walking distance of the Redhill MRT Station.
According to data from EdgeProp Research, the most recent commercial transaction in the area was for a 1,582 sq ft shophouse that sold for $1.5 million ($948 psf) in March 2021. The latest rental rates for commercial properties in Bukit Merah Central can be found on EP Buddy.