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Oct 8, 2012 – PropertyGuru.com.sg
By Romesh Navaratnarajah:
Sales of bungalows at Sentosa Cove have picked up significantly in recent weeks, rebounding from the effects of the additional buyer’s stamp duty (ABSD), reported The Business Times.
Owners of around 12 bungalows issued options to potential buyers in the past two months, with interest coming mostly from foreigners, especially China nationals.
For instance, two homes on Pearl Island were reportedly sold for S$2,200-plus psf on land area. One bungalow at Paradise Island was said to have been sold for around S$22 million or just over S$2,380 psf on the 9,236 sq ft land area, while another property at Coral Island was sold for S$16.5 million or S$1,743 psf on the 9,464 sq ft land area.
In addition, a sea-fronting home at Cove Grove is said to have changed hands for around S$26 million or S$2,600 psf.
Over at Cove Drive, it was reported that two bungalows facing the waterway and Tanjong Golf Course were sold for over S$15 million. Another unit slightly further away on the same stretch was sold for about S$16.8 million or S$2,308 psf.
According to market watchers, renewed interest for Sentosa Cove homes is due to the stock market run-up, QE3, and a narrowing gap between bid and ask prices.
However, not many caveats were lodged for the recent bungalow deals, with most options yet to be exercised by buyers. Compared to 25 caveats for the whole of 2011, only six caveats were lodged in 1H2012 for Sentosa Cove bungalow purchases and two more thereafter.
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