One Bernam Price Analysis will help readers to understand the current situations, future trends, causing factors, growth, its potentials of investment. In case you have not read the previous chapter about One Bernam location & analysis we suggested that you should read. In order to update yourself about the changes that coming to this district. Moreover you will be able to see the potential of this site & future trends, as it is one of important factors. Please click to read One Bernam Location & Analysis.
Property Market during Pandemic
Before starting our One Bernam price analysis process. Let’s refresh our memories about the situations that we are in. In 2019. Singapore facing the pandemic like any other countries in the world. It is so unprecedented situation that shocked the world economy. Singapore real estate seem lost it charms.
However, with the experiences of Singapore government in handling earlier pandemics. It business still able to move forward. After first fews months of uncertainties, we saw real estate industry started it recovery. Please refer to following charts. It might give you sensation of that moment.
In summary: Residential units transaction volume in Mar & Apr 2019 reduced by 32% & 58% respectively. After then it started picking up. Resulting sales volume increased though out the years. Finally, it end up 2019 volume in positive territory.
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Mortgage Loan & Interest Rate
In order to soften the impact of pandemic, Monetary Authority of Singapore (MAS) sent signal to mortgage banks for some relief. As a result, banks offering mortgagee a deferment of mortgage loan repayments. On top of that June 2020, MAS offer the “Additional Loan and Cashflow Support for Landlords and Businesses Affected by COVID-19” .
However, during the Circuit Breaker & thereafter banks’ mortgage interest drop down further. After all the effects of pandemic to real estate market is not so strong as we predicted earlier.
On the other hand, the effect of pandemic to economy caused individual to shift their investments alternatively. Since the bank interest is so low. Many explored into other investments, such as stock market investment, etc. After all, with the uncertainty of economy outlook, property investment still a safer choice. Refer the following charts to see real estate performance during many crisis. 2021 Bank Interest & Mortgage Loan Package
Above: Graph on the left hand showing the movement of Bank Interest in Singapore. On the other hand, graph showing relations of bank interest & sale volume. Please also take note that after every crisis bank interest & sals volume going up significantly.
One Bernam Price Analysis
Disclaimers: First & foremost, One Bernam Price Analysis in this chapter are based on today market situations. The Future factors that come after this analysis may contribute or effect the market trends of the development. Nevertheless, as it is a sort of investment, it also come with risks.
Buyers shall use own judgment to the analysis before making any investments. The reports, facts & information presented here, are true at the time of making analysis. Any changes to investment atmosphere come after this may deter the result & trends. Therefore we are not able to guarantee any result effected by the later changes.
7 Factors Supporting One Bernam Price
There are many evidences fro the past that supporting these appoints of analysis. These gather of date done and presented by ERA Reserch Teams. Ultimately, these information may give you the trends repeating again & again through out the past tens years.
Summery Of Price Analysis
15 Years Transaction Records from 2005 showing that D02 Tanjong Pagar has total growth in price trend at 299% while comparing to CCR growth at 159%
Due to Low bank interest & government monetary injection to economy, the will be lot of fund in the market.
Historical Event
- SAR & US.-Iraq War (2002-2007) 156%,
- Global Financial Crisis & H1N1 pandemic (2007-2010) 255.4%
Due to the superb location next to Greater Southern Waterfront, there will be many catalysts to boost One Bernam price trend. It will continuously created new high for the residential properties in this location.
Prince Edward Road MRT Station (CC32) 150m. away from Site will be complete in 2025. The effect on One Bernam price trend is clear.
Singapore General Hospital will be good source for professional Tenant. As there will be much more multinational researcher & scientists working in these area.
Land cost of One Bernam is the loosest in this district. This will contribute to lower entry prices.
News Reports: Non-resident deposits in Singapore jump 44% to record S$62b in April..read more
Response from MAS “The strong growth in foreign currency deposits in Singapore this year has come from a variety of sources – domestic, regional, and beyond the region. No single region or country source dominates. There are some well-known global drivers of this deposit growth amid the current COVID-19 related economic slump, including central bank actions that increase liquidity in the financial system” read more
One Bernam Price Analysis in Details
1). District 02 Is Out Performed The Whole Region (CCR)
Notably, Central Core Area (CCR) performed very well comparing the the Singapore over property market. However, in the past 15 years, district 02 doing better than the CCR in overall. Refer to the following charts
15 Years Transaction Records from 2005 showing that D02 Tanjong Pagar has total growth in price trend at 299% while comparing to CCR growth at 159%.
These growth contributed by government focus in improving & maintain D01-D01 amenities. Also new launches of upscale sites for development in this districts. Obviously, a good growth supporting One Bernam price.
2). Transaction Volume Will Recover After Crisis
Our prediction based on the actual events in the past. According to URA 20 records of property transactions. They are showing that after every crisis there were increased transactions significantly. This due to many factors as following:
- Low bank interest
- Diversification from stock investments and bank deposits to real estate.
- Financial supports from state for boost up economy.
- etc.
The summaries: Recovery from SAR & US.-Iraq War (2002-2007) 156%, Recovery from Global Financial Crisis & H1N1 pandemic (2007-2010) 255.4%
Therefore we believed there will be the same fundamental supports for One Bernam Price trend after crisis too.
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3). Boost From GSW Project & CBD3.0
As presented in One bernam Location Analysis. One Bernam project located next to Great Southern Waterfront, Singapore CBD 3.0. Consequently, there will be many more new future developments coming continuously for a period more than 10 years. These new development certainly will be launching at higher prices. What a great supports for One Bernam price trend.
As Illustrated: On the left, location of One Bernam related to GSW. On the other side, Case Study of similar effect in the past in CBD 2.0 (Marina Bay) over 10 years.
4 ) Up Coming Prince Edward MRT Station
The development is just 150m away from one of the Prince Edward Road MRT Station (CC32) exit next to No.78 Shenton. LTA already started working on the construction of this MRT Station. It will be completed on 2025 the same time as completion of One Bernam. Price upside is very obviously foreseen.
5) Expansion of SGH Campus
6) One BernamHas Lowest Land Cost In The District
One Bernam has lowest land cost among new development in the district. Specially, while comparing to the neighbour plot, Realty Centre. News reporters has reported the land price & estimated *selling price possible for both development. One Bernam price is remarkably good entry for the current market.
*Estimation fro news interviewer, subject to changes.
7) Foreign Countries' Strong Confidence in Singapore Economy Outlook
Fund flowing from overseas might contribute to price trend during the period of Circuit Breaker & thereafter. In my opinion strong deposits contribute to strong confidence in handling pandemic of Singapore government. Also foreign countries has a strong faith in Singapore economy outlook after pandemic. That’s contributed to future One Bernam price trend too.
News Reports: Singapore saw a record jump in deposits in April as investors rushed to park funds here given its status as a safe haven amidst global market volatility, said analysts… Deposits from residents outside Singapore jumped 44 per cent to its highest level of S$62.14 billion, according to data by the Monetary Authority of Singapore. This includes deposits from persons with registered addresses outside Singapore such as overseas residents, Singaporeans working abroad and companies with a registered overseas address. .read more
Response from MAS “The strong growth in foreign currency deposits in Singapore this year has come from a variety of sources – domestic, regional, and beyond the region. No single region or country source dominates. There are some well-known global drivers of this deposit growth amid the current COVID-19 related economic slump, including central bank actions that increase liquidity in the financial system”.. read more
Keyword: Liquidity
in Singapore jump 44%
Reported Jun 3,2020
