The CCR in Singapore has always been seen as a place of prestige and a dream home destination. But the misconception of CCR is that perhaps it's unreachable, prices are way higher than OCR and RCR.
Today I show you 3 factors you need to determine why CCR holds great potential and how you can spot great opportunities in this region.
3 Important Factors When Buying CCR:
1. Price Gap
Looking at the prices over a 10-year period from 2014 - 2024, we can see a huge change in terms of price gaps between CCR and the other two regions. OCR and CCR used to have an 82% gap but it has shrank down to 38%. And when comparing RCR to CCR, the price gap used to be 45%, but it has shrank down to 17%.
And when we dive into more specific examples like 99-year 3-bedroom units, we can see that the closing in of price gap is relatively shocking. Comparing 2014 to 2023, CCR vs OCR, price gap went from 120% to 34%. And for CCR vs RCR, price gap went from 73% to 11%.
WHAT DOES THIS SHOW?
It shows very clearly that, over the years while the prices in OCR and RCR have moved substantially, CCR's price increase has been moderate.
Does it mean that buying CCR properties will not reap a profit? Definitely not! Firstly, CCR prices are due for a correction, and when that happens before you take any action, I can only say "sorry the ship has sailed". Secondly, as we can see below, when you understand the importance of picking the right projects to enter, your profits can break a million !!
2. Affordability
Affordability is on everyone's mind when buying a house. Translate that into housing prices and we can get a very good picture of what the market is like now. Let's take a look at CCR freehold 3-bedroom as an example. Just about 10 years ago in 2014, selling your freehold 3-bedroom in the CCR can easily buy you two 99-year 3-bedroom units in the OCR.
Can you do that today? If you sold your freehold home in the CCR, how much would you have to top up if you wanted two homes in the OCR? Too much. And also if you noticed, prices for a freehold 3-bedroom in the CCR and a 99-year RCR is a mere $200,000 difference. A FREEHOLD IN THE CCR versus a 99-year in the RCR for such a small premium, I don't even need to ask you, I'm sure I know what your answer is.
3. Tenure Matters
I'm quite sure if I asked anyone today, if they rather had a 99-year or freehold home in the CCR, most people would choose the freehold home. And what do you think are the chances of landing a freehold or 999-year home in CCR?
Just by looking at the long list of unsuccessful en bloc of freehold and 999-year leaseholds, you know that it is not easy when an opportunity pops up.
An Opportunity?
Based on everything that we have discussed above, eventhough it might seem hard to find a new launch that has such attributes in the CCR, but it's not impossible.
I have found the right one just for you. Watch the video below to find out which project I am referring to. Let this opportunity slip you by and you may be blaming yourself in years to come!
Clive Foo (Mr Daikin)
CEA NO. : R007584E
Hi, I am Clive Foo, aka Mr Daikin. I started my real estate career in 2008 and have worked as a real estate consultant for 15 years. During this time, I have assisted many homeowners in taking their first step towards financial freedom by making sound property decisions based on careful financial calculations and effective home ownership strategies. With my previous experience in financial planning, I can translate what I have learned into property investments. With the right planning, owning the right property or even multiple properties can be a safe and effective way for most people to grow their wealth. Over the past 15 years, I have built a successful career in real estate and achieved several significant accomplishments that have contributed to my professional growth and success in the industry. My ability to negotiate effectively and pay attention to detail has helped me secure excellent deals for my clients, leading to repeat business and referrals. Another major accomplishment was developing a strong professional network. I have built relationships with other real estate agents, bankers, mortgage brokers, and various service providers, which have helped me stay informed about industry trends and emerging opportunities. In my free time, I like to immerse myself in abstract art painting. I am also a freelance actor and have played supporting roles in Mediacorp serials on Ch5, Ch8, and some TVCs. For example, I was the guy in the Daikin Smile Series aircon and Black Gold Black Garlic health food advertisement. In conclusion, my achievements in the real estate industry over the past 15 years have been numerous and diverse. Through hard work, dedication, and a commitment to excellence, I have built a successful career and earned the respect of my clients and peers. I look forward to continuing to serve my clients and contributing to the growth and success of the real estate industry for many years to come.
Disclaimer:
PropNex Realty Pte Ltd or its salespersons will not be responsible for any errors or omissions or for the results obtained from the use of this information. All information is provided with no guarantee of accuracy. If in doubt, kindly seek appropriate advice from your financial advisors or bankers before you make any property investment decision.
