Higher price benchmark for city fringe condos; more exceeding $2,500 psf
Higher price benchmark for city fringe condos; more exceeding $2,500 psf. Prices for new city fringe condominiums are rising, according to OrangeTee & Tie research. The median price of new condominiums in the Rest of Central Region (RCR) excluding executive condominiums (ECs) increased by 8.7 percent to $1,972 psf in 2021, according to the firm’s May Market Watcher Series report. Between January and April of this year, the median price per square foot increased to $2,086.
The trend is supported by an increase in higher-priced transactions, which Christine Sun, senior vice president of research and analytics at OrangeTee & Tie, believes may establish a new price benchmark for the RCR. In 2021, 1,009 new condos on the city outskirts sold for more than $2,500 psf, accounting for 19.1 percent of all units sold. In comparison, only 0.4 percent, or 14 units, were sold in that price range five years ago in 2017. In 2021, there were also 165 transactions priced above $3,000 psf.
Between January and April, 206 RCR condominiums sold for more than $2,500 per square foot, with 20 selling for more than $3,000 per square foot at Rivière, Canninghill Piers, and Sky Everton.
OrangeTee also observes that, as a result of the higher-priced transactions, an increasing number of city fringe condos are now selling at prices comparable to condos in the Core Central Region (CCR). Between January 2021 and April of this year, 543 new condos in the RCR sold for more than $2,800 psf. During that time, 963 new condos and 311 resale condos were sold at the same price level in the CCR.
“The price overlap suggests that some buyers were willing to pay top dollar for selected city fringe condos, similar to luxury condos,” Sun says.
Click the image to read the full details of report.
Discover Your Home Here
Come & Experience It Yourselves
Connect With Us