The Wave of Development
Turning back the hands of time 10 years, ask anyone about Punggol and the common answers will be pig farm, reclaimed land, Ulu, no value.
Fast forward to the present, Punggol has become the nation’s digital hub and a desirable place for young couples/families, boasting extensive landscaping, units with sea-views, a self-sufficient community with multiple amenities within reach such as an integrated polyclinic/community center, SAFRA and even a university.
With these developments, property prices have adjusted accordingly (upwards) and definitely many first movers have stood to gain.
So how might one identify such similar developments?
The URA Master Plan
Singapore’s development is managed singularly and jointly by the government and other competent authorities and plans are forward-thinking for 10 – 15 years, reviewed every 5 years.
All government announcements will be summarized and detailed unto the Master plan.
As the time period is generally long, the Master plan allows citizens to have a condensed bird’s eye view of the nation’s development moving forward and the expected regions with potential Build-To-Order (BTO) launches or commercial zoning
BTO launches are a very good indication of the government’s intentions to enhance or transform a region, as to make a location desirable to young couples/families, the government has to ensure the supporting infrastructure is put in place to support the lifestyles and expectations of this demographic of citizens – which usually encompass community centres, mega malls, schools and improved mobility such as road expansions coupled with better MRT and bus connectivity.
Commercial land parcels generally bring about value-adding industries such as offices or shopping malls which in turn generate renewed interest and activities in the area.
Why It Matters
Enhancement of the region increases the resale value of its surrounding properties, which provide opportunities for residents to either enjoy better rental income or exit their existing property with higher cash proceeds for their next phase of family/financial planning.
On the flip side, not all residents may benefit from new supply for housing units in the region due to the induced competition from newer properties or new home buyers purchased a unit with an empty plot for the unblocked view, only to have a new high-rise built months or years later.
Also for residents whose properties are not within close proximity to an MRT station in the near future, may face a steep drop in demand due to the surrounding enhancements.
Click here for our recent review of an upcoming mega launch!
Hope this post has resonated with or provided some assistance in your next property search journey.
Either way, make a friend!