Absolutely. There’s a chance it will go up in tandem but… if you noticed the benchmark for a terrace hasn’t changed since 2021 yet the rest of the mass market condos are hitting higher numbers. The same might not happen for sure but if there is, then a 3 cycle approach would be more necessary than a 2. 🫡
Hello Victor! You are right. When the market moves, the landed market moves in tandem. Let’s talk about a terrace about 15 years back, it should cost around $2.7-2.8m and today it has risen to an approx $1million higher which means close to another $300k in downpayment is required for the excess and the stamp duty payable. 3 proper cycles would sort this out realistically even if our benchmark of $4m climbs to $5m. It’s almost likely that 3 cycles are required for a household that purchases a BTO right at the start though. 👍
When resale increase from 2.05M to 2.55M, how to expect landed remain at 4M?
Absolutely. There’s a chance it will go up in tandem but… if you noticed the benchmark for a terrace hasn’t changed since 2021 yet the rest of the mass market condos are hitting higher numbers.
The same might not happen for sure but if there is, then a 3 cycle approach would be more necessary than a 2. 🫡
You have not consider that, after 2-3 cycles would have appreciated by another $700k to even more than $1 million
Hello Victor!
You are right. When the market moves, the landed market moves in tandem.
Let’s talk about a terrace about 15 years back, it should cost around $2.7-2.8m and today it has risen to an approx $1million higher which means close to another $300k in downpayment is required for the excess and the stamp duty payable. 3 proper cycles would sort this out realistically even if our benchmark of $4m climbs to $5m.
It’s almost likely that 3 cycles are required for a household that purchases a BTO right at the start though. 👍