Your Property Agent Says: Eight Factors That Determine A Property’s Value

By Aaron De Silva / EdgeProp | November 28, 2017 2:30 PM SGT
If there’s one topic that never fails to get Singaporeans talking, it’s the subject of property prices. More so in the last few months because of the buzz surrounding en bloc sales. Recent reports have also hinted at a possible 5% rise in property prices in the next 2 years, with activity picking up in the luxury sector.
Now, if you’re a property owner looking to take advantage of this upcycle by offloading your property, what factors would affect its price? Similarly, if you’re on the prowl for your next piece of real estate – whether it’s a starter home or an investment property – what aspects of a property would influence its value?
We spoke to three real estate agents to find out their thoughts on this.
1. Fixed attributes
“Location is still an important factor,” says Georgette Lee, Assistant Marketing Manager of Huttons Asia Pte Ltd. “Buyers still look for properties near MRTs and amenities such as schools.”
Georgette Lee
Hiroshi Oh, Senior Marketing Director of Huttons Asia Pte Ltd, adds that “(Properties in) proximity to MRTs and other forms of transport, as well as supermarkets etc are more favourable.” In some cases, a property’s favourable location can even trump its tenure.
“A recent client bought a 99-year leasehold condo at a premium price over a neighbouring freehold one, the main factor being its proximity to an MRT station,” says Darryl Tan, who heads Knight Frank’s Realty Insight Team. “That fixed attribute of the MRT station was all it took for this home to sell at a premium.”
In recent years, Lee says that major infrastructure plans have had an increasing influence on property prices. The High-Speed Rail terminus in Jurong East, announced in July 2016, boosted the profile of a town that had already been elevated by a 2008 government initiative to transform Jurong into a Regional Centre.
News of the upcoming terminus was heavily publicised across various media. “All that chatter drove prices up,” she says, referring to properties in the Jurong Lake District.