But the question to be answered (agents for Lake Grande will not be telling you) is "Are there other investment options better than Lake Grande".
For comparison purposes, we shall look at developments near to Lakeside and Chinese Garden MRT stations which are not more than 10 years old.
Let's take a look at where Lake Grande is located. Just beside Lake Grande is The Lakeshore, a 848-unit development completed in 2007. Further West lies The Lakefront Residences, a 629-unit development completed in 2014; Caspian, a 712-unit development completed in 2013; and Lakeholmz, a 369-unit development completed in 2005. There is no development which fits the 10 years criteria around Chinese Garden MRT.
Below is the unit size and estimated price for Lake Grande. On a per sq ft basis, it is between $1,300 and $1,400 psf.
|
Type
|
Size
(sq ft)
|
Price
(from)
|
|
1 bedroom
|
409 to 517
|
$580k
|
|
2 bedroom
|
614 to 861
|
$810k
|
|
3 bedroom
|
904 to 980
|
$1.18m
|
|
4 bedroom
|
1,152 to 1,173
|
$1.5m
|
|
5 bedroom
|
1,302
|
$1.69m
|
Source: Marketing agents
Is this price reasonable? What are the recent transacted prices in the area? The table below is organised in order of the "newness" of the development - uncompleted first, followed by most recent completion and so on.
Transacted Prices of Residential Units near Lake Grande (January to July 2016)
|
|
Lakeville
|
The
Lakefront Residences
|
Caspian
|
The
Lakeshore
|
Lakeholmz
|
|
Price (psf)
|
$1,133 to $1,397
|
$1,265 to $1,363
|
$949 to $1,119
|
$961 to $1,068
|
$715 to $1,103
|
|
Unit Size
|
936 to 1,324
|
710 to 1,012
|
872 to 1,593
|
861 to 1,270
|
1,249 to 1,706
|
Note that there are fewer than 10 transactions for all developments except for Lakeville
Source: URA
It appears that Lake Grande is priced higher than its next door development, Lakeville, both which are from the same developer. A "premium" for newness?
The Lakeshore which is beside Lake Grande, is almost ten years old but priced by around 25% cheaper than Lake Grande. Certain units in blk 29 and 31 have an unblocked view of Jurong Lake. Also current asking prices are very close to transacted prices which means these are serious sellers.
The Lakefront Residences is priced very close to Lake Grande. I will not recommend unless the unit comes with a committed tenancy. Current asking rent for The Lakefront Residences is around $3,000 to $3,500 per month for a 2 bedroom unit.
If you do not mind buying a resale condominium unit, I dare say there are good buys out there. Just keep an open mind, do some research and not rely fully on what the agent says.
