Penrose Condo at Sims Drive District 14 by Hong Leong & CDL | 6100 8833

Reasons Every Buyer Will Want to Know

 

Penrose Condominium For Own Stay & Investment

 

 

Penrose condo vs small condo

 

 

Condominium developments with more than 500 units, such as Penrose, are often referred to as big projects.

 

The number of units can affect your investment. Before you buy, here are 5 key factors to note:

1. Maintenance fees
2. Rental income
3. Extent of facilities
4. Noise and crowding
5. Resale gains

 

1. Maintenance fees

Smaller developments tend to have higher maintenance fees for two reasons: exclusivity and fewer owners. Boutique developments are usually billed as exclusive residences, with premium features such as concierge services or private lifts. These typically lead to higher maintenance costs. In addition, fewer units mean fewer owners sharing the overall cost of maintaining the condominium.

 

2. Rental income

A price war erupting within the same development would be one of the worst nightmares for a landlord. But there is naturally greater competition in a larger development. However, small developments don’t necessarily mean less competition either. In densely populated areas like Novena, you will still find intense competition given the wide spread of condominiums in the vicinity. The location matters.

 

3. Extent of facilities

Smaller developments typically sit on smaller land plots, which limit the number and spread of facilities that can be included. Conversely, big projects like Penrose can afford to offer extensive facilities such as multiple pools, pavilions and gyms.

 

4. Noise and crowding

It’s intuitive to think that more people means more noise and crowding, but in reality, it boils down to the profile of residents and the condominium layout. For example, residents at small developments can still face overcrowding if amenities such as gyms and BBQ pits are few and clustered together. On the other hand, big developments like Penrose have more facilities spread over expansive grounds.

 

5. Resale gains

Like in a rental scenario, owners of big projects may also face higher competition to sell the property. But frequent sale transactions can actually create price trends and better reflect the value of the property, helping you to sell your property. In contrast, small developments usually have a lower volume of transactions, some even hardly change hands in years. This can make it difficult to set a clear value on the property, as past transactions factor into the bank’s valuation as well.

 

 

So, how should you decide?

 

The guidelines shared here are based on general observations. The decision can differ, depending on your goals and budget. We are always happy to offer personal advice. Reach out to us at 6100 8833.

 

 

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