SINGAPORE (EDGEPROP) - The most lucrative second home transaction in the week of February 21 to 28 was a 2,121 sq ft unit at Faber Garden Condominium. This unit on the 18th floor was sold on 23 February for S$3.63 million (S$1,711 per square foot).

It had been purchased in July 1998 for approximately S$895,000 (S$422 per square foot). As a result, the seller made a profit of S$2.73 million (305%), which equates to an annualised profit margin of 5.8% over 24.5 years.

This makes it the most profitable resale transaction for Faber Garden Condominium to date. The previous record was a 2,766 sq ft unit on the ground floor sold in February 2013 for S$2.89 million (S$1,044 per sq ft). The unit was purchased in October 1998 for S$898,900 (S$325 per square foot). The seller earned S$1.99 million (220%), an annualised yield of 8.5% and a holding period of 14 years.

Faber Garden Condominium is a freehold residential development located off Upper Thomson Road in Postcode 20. This 233-unit residential development was built in 1984 and the units range in size from 1,572 to 2,766 square feet. It is close to Bright Hill MRT station on the Thomson - East Coast MRT line.

The condominium is also close to Bishan-Ang Mo Kio Park, as well as schools such as Pierce Middle School, Ai Tong Primary School and Unoia Junior College. It is located in an area consisting of low-rise detached houses.

This unit at Faber Garden Condominium was sold on 23 February for S$3.63 million (S$1,711 per square foot). (Photo credit: Samuel Isaac Chua/The Edge Singapore)

The area's location and spacious unit layouts have made Faber Garden Condominium a popular choice for buyers looking for nearby housing. As a result, its sales prices have been steadily increasing over the past few years. in February 2013, the average price was around S$850 per square foot, while last month it was around S$1,738 per square foot.

Faber Garden Condominium attempted its first collective sale in April 2018, listing a reserve price of S$1.18 billion (a land rate of approximately S$1,342 per square foot). However, neither this attempt nor the re-launch in October of the same year resulted in a successful sale.

The second most profitable transaction this week was a 1,755 sq ft three-bedroom unit on the third floor of Gallop Gables, a freehold development in a prime location in District 10, which changed hands on 23 February for S$3.69 million (S$2,103 per sq ft). The unit was sold in March 2004 for S$1.23 million (S$700 per square foot). The transaction therefore generated a profit of S$2.46 million (200%), which equates to an annualised profit margin of 6% over 19 years.

Located on Farrer Road, Gallop Gables is a 140-unit development completed in 1997. The flats are surrounded by several luxury villa areas and upmarket residential areas. Nearby luxury residential areas include Gallop Road / Woollerton Park and Cluny Hill, while prestigious condominiums include Spanish Village, d'Leedon and Leedon Green.

On 23 February, a 1,755 sq ft unit at Gallop Gables was sold for S$36.9 million (S$2,103 per sq ft), generating a profit of S$24.6 million.

Gallop Gables' most profitable sale was a 2,960 sq ft unit on the fourth floor sold in December 2020 for S$5.2 million (S$1,757 per sq ft). The unit was purchased in August 2005 for S$2.26 million (S$764 per square foot). This generated a record profit of S$2.94 million (138%) and an annualised profit of 5.8% over 15 years.

In the resale deeds submitted to URA in the past two months, the average price of Gallop Gables was approximately S$2,013 per square foot, according to the data. This is comparable to neighbouring freehold condominiums such as Gallop Green (S$2,101 per square foot), Sommerville Grandeur (S$2,011 per square foot), Spanish Village (S$1,982 per square foot) and The Levelz (S$1,934 per square foot).

Meanwhile, the least profitable sale of the week took place at OUE Twin Peaks when a 1,055 sq ft unit on the 20th floor was sold for S$2.45 million (S$2,323 per sq ft) on 24 February. The unit was purchased in October 2010 for S$3.06 million (S$2,899 per square foot). As a result, the seller suffered a loss of over S$607,000 (20%), which equates to an annualised loss rate of 1.8% over 12.5 years.

This transaction was the third largest loss-making re-sale transaction for OUE Twin Peaks. The largest loss-making transaction was a 1,604 sq ft unit on the 18th floor sold for S$3.5 million in August 2016 at S$2,182 per sq ft. The seller lost S$1 million (22%), which equates to an annualised loss rate of 6.2% over four years.

A 1,055 sq ft unit at OUE Twin Peaks was sold for S$2.45 million (S$2,323 per sq ft) on 24 February at a loss of over S$607,000. (Photo credit: Samuel Isaac Chua/The Edge Singapore)

OUE Twin Peaks is a 462-unit development located at Leelian Hill Road in Postcode 9. The 99-year ownership condominium was completed in 2015. The development is located close to the Orchard Road shopping area and is in an upscale residential area. Major residential developments in the area include Horizon Towers and New Futura on Lillian Hill Road, Grange Infinite on Grange Road and the soon-to-be-completed Irwell Hill Residences.

Transaction data for OUE Twin Peaks shows that there are currently some 37 unprofitable re-sales and only two profitable transactions. The condominium's losses range from the previously mentioned S$1 million to S$11,560 - i.e. a 570 sq ft unit sold for S$1.57 million (S$2,784 per sq ft) in April 2016.