If you’ve been thinking about buying a home in Singapore, here’s a heads-up: prices for Executive Condominiums (ECs) are on the rise, and you might want to get in before they go even higher. Let’s dive into why now is the right time to make your move!
What’s Happening with EC Prices?
Recently, there was a heated bidding war for a plot of land in Tampines. Sim Lian Group Limited came out on top, paying a whopping $721 per square foot just for the land. They’re planning to build ECs that they’ll sell for about $1,500 per square foot. That’s a big jump, right? But why so high?
Breaking Down the Price Tag
Here’s the deal on how they get to that $1,500 per square foot:
1. Land Cost: That $721 per square foot is just the start, covering the empty land.
2. Building Costs: Then, they’ve got to actually build the place. Think architects, materials, and paying all those construction workers.
3. Other Expenses: On top of that, there are bank interest payments, marketing costs, and the fancy showflats they set up to attract buyers like you.
Why Prices Keep Going Up
This isn’t just a one-off. The last plot for an EC sold near $1,300 per square foot. And with Sim Lian betting big on this new plot, it shows they expect prices to keep climbing. They wouldn’t spend all that money if they weren’t pretty sure people would be willing to pay up when the condos are ready.
Why You Should Act Fast
ECs are kind of a sweet spot in Singapore’s housing market. They’re more affordable than private condos but offer a lot of the same perks. As prices in other areas like the Central Region have gone up, ECs have become even more attractive. Just five years ago, $1,500 per square foot could get you a condo in a nicer part of town. Now? Not so much. It’s like what’s happening in places like Hong Kong where your money buys less and less space over time.
Conclusion
Thinking about a three-bedroom condo? My advice: don’t wait. The way prices are moving, waiting even a little could mean paying a lot more for a lot less. Buying an EC now is a smart move that could save you money and get you a better home. So why not start looking? Your future self will thank you!
