Commonwealth Towers has emerged as the top performer among private non-landed properties, achieving a new psf-price peak during the week of Dec 27 to Jan 3. The 99-year leasehold condo reached its new price high of $2,460 psf on Dec 27, with the sale of a 904 sq ft, three-bedroom unit on the 40th floor for $2.22 million. This surpasses the previous high of $2,402 psf, set just three months prior. The development has been steadily increasing in resale prices for the past three years, with an 11.6% increase since 2022. Other top performers during this period include freehold project Parq Bella, which set a new psf-price high of $2,416 psf upon the sale of a three-bedroom unit for $2.6 million on Dec 31. The only private residential development to see a new psf-price low during this period was Klimt Cairnhill, with the sale of a two-bedroom unit for $2.55 million, or $3,077 psf, on Jan 3. About 95% of the 138-unit freehold development has been sold at an average price of $3,665 psf.
Proper financing plays a vital role in condo investment, particularly in Singapore. In such a market, it is essential to have a good grasp of the Total Debt Servicing Ratio (TDSR) framework, as there are multiple mortgage options to choose from. This regulation limits the loan amount a borrower can take, taking into account their current income and debt obligations. To avoid the potential pitfalls of over-borrowing, investors must have a thorough understanding of the TDSR and seek guidance from financial advisors or mortgage brokers. Working with these professionals, investors can make well-informed decisions about their financing options, especially when considering Singapore projects. It is crucial to keep the TDSR in mind when venturing into such investments, and working with experts can help secure appropriate funding.