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View Full Version : The Tanamera/East Meadows/Stratford Court/Palmwoods



leftfield
16-10-12, 11:24
With all the hype around Tanah Merah these days, what are the views of the older developments in the area?

It seems like you can still get some of these older units at around 800-900 psf even though the newer Optima/Eco are hitting 1.3K psf easily.

Are these developments the best kept secrets in Tanah Merah? :p

carbuncle
16-10-12, 12:56
Better grab while owner still sleeping.

leftfield
16-10-12, 12:59
Better grab while owner still sleeping.

Either that or the Tanah Merah area is dangerously overpriced! :doh:

radha08
16-10-12, 13:39
looking along the eastern mrt line...kallang mrt...full house plus surrounded by geylang and its splendour...same goes for aljunied...

payalebar...surrounded by industry....

eunos...malay village

kembangan...super x price

bedok...hmm..no comment

so whats next...tanah merah...open spaces...nice surroundings...huat ahhh:D

leftfield
16-10-12, 13:40
looking along the eastern mrt line...kallang mrt...full house plus surrounded by geylang and its splendour...same goes for aljunied...

payalebar...surrounded by industry....

eunos...malay village

kembangan...super x price

bedok...hmm..no comment

so whats next...tanah merah...open spaces...nice surroundings...hust ahhh:D

Open spaces? Not for long with the new condos sprouting up like wild mushrooms!!!

leftfield
16-10-12, 18:53
Latest bid for the land parcel opposite Optima went for almost 800psf, are these bargains to be picked?

fiat500
16-10-12, 21:02
Either that or the Tanah Merah area is dangerously overpriced! :doh:
Yishun already hit 1300psf for skies miltonia...
Definitely tanah merah is worth more!

xtreme_46
16-10-12, 21:12
most of the older project are leasehold except eastwood regency..maybe that explains why they are selling below 1000 psf

leftfield
16-10-12, 21:20
most of the older project are leasehold except eastwood regency..maybe that explains why they are selling below 1000 psf

None of the new launches around there are FH anyway but that hasn't stop prices from going up!

bakasa2002
16-10-12, 21:43
Been observing the area the area and I concur w your analysis, they are selling below the pricing in the same area and my guess it largely due to them being older in age as well as larger in sizes, so maybe buyers are going for compact units w about the same quantum? :)

Clim1688
16-10-12, 22:41
Been observing the area the area and I concur w your analysis, they are selling below the pricing in the same area and my guess it largely due to them being older in age as well as larger in sizes, so maybe buyers are going for compact units w about the same quantum? :)

But the design of those older condos are really dated.. Chk out Stratford

leftfield
16-10-12, 22:57
But the design of those older condos are really dated.. Chk out Stratford

Well they all are, question is what is a reasonable discount over the new launch prices in the same area? At today's prices, that's easily a 40% discount, is there an opportunity to arbitrage given the heightened awareness in the area?

radha08
16-10-12, 23:02
actually i also find it strange why buyers rushing to new launch at a much higher premium to existing resale condos in the same area...:confused:...maybe buyers got just enough $$$ for downpayment and they feel in the next couple of years it takes to build the new launch they can save more $$$ since no need to start pay mortgage or maybe like some caring parents...:D..whose children not ready to settle down they buy ahead for their kids so in next few years when their kids ready and steady can take over...:D....or some feel they want brand new property instead of used property:rolleyes:

bakasa2002
16-10-12, 23:46
But the design of those older condos are really dated.. Chk out Stratford

I agree w u ... took a look at stratford and it wasn't really that appealing to me too. :)

bakasa2002
16-10-12, 23:52
actually i also find it strange why buyers rushing to new launch at a much higher premium to existing resale condos in the same area...:confused:...maybe buyers got just enough $$$ for downpayment and they feel in the next couple of years it takes to build the new launch they can save more $$$ since no need to start pay mortgage or maybe like some caring parents...:D..whose children not ready to settle down they buy ahead for their kids so in next few years when their kids ready and steady can take over...:D....or some feel they want brand new property instead of used property:rolleyes:

wah, this reminds me of insurance that parents used to buy first and later when the kids start working, they 'take over' ... :doh:

Secretariat
17-10-12, 07:48
It is not too difficult to understand the pricing difference.

The first part, in simplistic way of looking at it.

The older units are about 12-years old, and the new one is not ready until 5-years later. So, for an investor taking a 30-years financing:

If he buys the older unit, then at the end of 30-years, the unit will have ran through 42 years of the 99-years leasehold. If he wants to sell then, the buyer cannot take a 30-years financing using CPF.

On the other hand, if he buys the new unit there you can see that new buyer still can do so.

As I mentioned before, in investing, one has to be conscious of the pool of buyers who are going to buy the unit you are investing at a high price than you paid.

The second part.

In today's cheap funding scenario, it is an attraction to structure the financing of a property investment as close to be like an option. Which is why MAS has been increasing the cost of this option pricing.

leftfield
17-10-12, 08:06
Been observing the area the area and I concur w your analysis, they are selling below the pricing in the same area and my guess it largely due to them being older in age as well as larger in sizes, so maybe buyers are going for compact units w about the same quantum? :)

I tend to agree with you. So for a 1.2mio outlay, people would rather buy a new 900 sq ft unit rather than a 1400 sq ft older unit.

The newer developments also seemed to have a much more efficient use of space, I have seen 3 bedders under 1000 sq ft and it looks quite decent!

Laguna
17-10-12, 12:13
Before picking up eCO, I did consider the nearby projects and set a target price for me to pick up at eCO, is not more than $1,250.

Perhaps, I shared my reasonings :

1. rental yield and particularly rentability : old projects will be a real challenge is the difference in rental is not significant

2. marketability : I think, when eCO TOP or four years later, I will have a better capital gain as compared to the older projects

DC33_2008
17-10-12, 12:34
But every new condo will become old some day and lease reduces with time.
Before picking up eCO, I did consider the nearby projects and set a target price for me to pick up at eCO, is not more than $1,250.

Perhaps, I shared my reasonings :

1. rental yield and particularly rentability : old projects will be a real challenge is the difference in rental is not significant

2. marketability : I think, when eCO TOP or four years later, I will have a better capital gain as compared to the older projects

minority
17-10-12, 12:39
I prefer riveria residence which is FH not so cramp,

hovivi
17-10-12, 13:43
[QUOTE=minority]I prefer riveria residence which is FH not so cramp,[/QUOTE

It's a very nice serene and well maintained condo
The maintenance fees is high and no amenities nearby
Potentially ERL but really it's like many many years later

carbuncle
17-10-12, 13:55
[QUOTE=minority]I prefer riveria residence which is FH not so cramp,[/QUOTE

It's a very nice serene and well maintained condo
The maintenance fees is high and no amenities nearby
Potentially ERL but really it's like many many years later

love it too for the look and beautiful view

upper east coast way more atas than tm any day man

Laguna
17-10-12, 14:31
But every new condo will become old some day and lease reduces with time.

fully agreed. I have an exit strategy.
There are properties meant for hold long long, and there are meant for hold short short.

bakasa2002
17-10-12, 22:19
I tend to agree with you. So for a 1.2mio outlay, people would rather buy a new 900 sq ft unit rather than a 1400 sq ft older unit.

The newer developments also seemed to have a much more efficient use of space, I have seen 3 bedders under 1000 sq ft and it looks quite decent!
Cos no BW and planter mah ... older one take up space and I think buyers mentality is more like if I am paying for each psf, why shd i buy the BW, planter and excessive balcony space.

After BW taken out of equation and the ever rising psf, developers can only 'waste' space on balcony and ac ledges.:)

bakasa2002
17-10-12, 22:34
Before picking up eCO, I did consider the nearby projects and set a target price for me to pick up at eCO, is not more than $1,250.

Perhaps, I shared my reasonings :

1. rental yield and particularly rentability : old projects will be a real challenge is the difference in rental is not significant

2. marketability : I think, when eCO TOP or four years later, I will have a better capital gain as compared to the older projects

V true.

As a example, I think typically people might just rent a smaller but newer 2br of 850sqf as compare to an older 2br of 1000sqf assuming the rent is similar or close, cos' the new proj facilities is more enticing? Agree? :)

zeamybro
17-10-12, 22:45
V true.

As a example, I think typically people might just rent a smaller but newer 2br of 850sqf as compare to an older 2br of 1000sqf assuming the rent is similar or close, cos' the new proj facilities is more enticing? Agree? :)

Not quite agree.

To some foreigners, they may not regard a 10-15yr old project as old, and some are very space conscious. I have seen some bringing along measuring tapes or measure the dimensions of kitchen, storerooms and yards using their footsteps. And older projects are less cramped and may offer more privacy