The recent sale of a unit at The Draycott was the most profitable condo resale transaction during the week of August 27 to September 3. The unit on the 15th floor, measuring 2,637 square feet, changed hands for $5.45 million, amounting to $2,067 per square feet, on August 30. According to records, the seller had acquired the unit in April 1996 for $3 million, or $1,138 square feet. This results in a gain of $2.45 million for the seller, reflecting a capital gain of 82%. The unit was owned by the seller for almost 28 and a half years.
This transaction is in a tie with another unit for the fourth-highest gain ever registered at The Draycott. In May 2021, another unit measuring 2,626 square feet, sold for $4.5 million or $1,713 per square foot, resulting in a profit of $2.45 million for the seller. The seller had purchased the unit for $2.05 million or $781 square feet in June 1999.
The highest gain made ever at The Draycott was in May 2007 when a unit measuring 2,637 square feet fetched $5.45 million or $2,067 per square foot. The seller, who had bought the unit in March 1998 for $2.1 million or $796 per square foot, made a profit of $3.35 million.
The second most profitable condo resale transaction during this week was the sale of a three-bedder unit at Pebble Bay. The unit, measuring 1,894 square feet on the 13th floor, sold for $3.59 million or $1,894 per square foot on August 30. It was acquired by the seller in December 2002 for $1.16 million or $612 per square foot, resulting in a profit of $2.43 million for the seller. This translates to a 209% capital gain after holding the unit for almost 22 years.
This marks the third-biggest gain ever made on a resale unit at Pebble Bay this year. So far, the condo has seen 18 units change hands, with records showing that 15 of these transactions were profitable. The largest profit was made from the sale of a three-bedroom unit measuring 1,894 square feet on May 9 for $3.67 million or $1,940 per square foot. The seller, who had bought the unit in September 2004 for $1.12 million or $591 per square foot, clocked a gain of $2.55 million. Other units sold at Pebble Bay this year have netted gains ranging from $620,000 to $2.48 million.
On the other hand, the sale of a one-bedroom unit measuring 474 square feet at 6 Derbyshire was deemed to be the most unprofitable resale deal during the week. The unit, on the 21st floor, fetched around $989,000 or $2,086 per square feet on August 27. The seller had bought the unit for approximately $1.19 million or $2,510 per square foot in August 2017. As a result, they incurred a loss of around $201,000 or 17% after owning the unit for approximately seven years.
This is the fifth most unprofitable transaction ever recorded at 6 Derbyshire. Another unit on the 28th floor, measuring 527 square feet, changed hands for $1.07 million or $2,029 per square feet on July 12. The seller, who had bought the unit for around $1.44 million or $2,740 per square feet, took a loss of about $375,000, the biggest loss incurred on a unit at 6 Derbyshire so far.
Located on Derbyshire Road, off Thomson Road in District 11, 6 Derbyshire is a freehold condo that was completed in 2017. Comprising a single 30-storey tower, the development has 168 residences consisting of one-bedders of 474 to 527 square feet, two-bedders of 732 to 829 square feet, and three-bedders of 1,012 to 1,130 square feet. There is also a duplex penthouse of 3,445 square feet.
Investing in a condo has various advantages, one of them being the opportunity to use the property’s value to leverage for further investments. Some investors utilize their condos as collateral to secure additional financing for new ventures, thereby broadening their condo investment portfolio. While this tactic can potentially increase returns, it also carries certain risks. It is important to have a solid financial plan in place and carefully consider the potential effects of market fluctuations.
The Draycott is a freehold development located on Draycott Park in prime District 10. It was completed in 1980 and comprises a 34-storey tower that houses three- and four-bedroom units measuring 2,637 square feet and a sole duplex penthouse measuring 5,339 square feet. There are also low-rise units housing two-bedroom units of 1,313 to 1,604 square feet and maisonettes of 2,626 to 2,788 square feet. The development is situated within the Draycott-Ardmore Park residential enclave, just off Orchard Road.
Pebble Bay is a 99-year leasehold waterfront condo located on Tanjong Rhu Road, along the Kallang Basin waterfront in District 15. It was completed in 2000 and has one- to four-bedroom units measuring 850 to 3,154 square feet. There are also four-bedroom penthouses measuring 6,114 to 6,469 square feet. The condo is a five-minute walk to Tanjong Rhu MRT Station on the Thomson-East Coast Line.