Viewers email Sean asking whether particular projects are good. Instead of answering each one, he explains his research process, which ends with checking what nearby properties have actually sold for.
How should I research a project's price before booking?
“make that informed decision and take calculated risk”
Research in three parts: the project and its sales gallery, the site and its surroundings, and then transacted prices nearby. Establish the median price and psf around the project, understand any outlier, and treat a location with few recent transactions as a warning.
Why
Galleries are sales funnels
Everything in a gallery is curated: a scale model can show a sewage plant as greenery. Learn the current packages there, which change with sales, but hold off booking until you've seen about 20 properties and the site.
The site shows who lives there
Clinics and paediatricians, nurseries and tuition centres suggest families; pubs and snooker halls a different crowd. Ask where you or your tenants would eat, shop and catch a train.
Medians beat asking prices
Owners list high and buyers bid low, so check recorded transactions. Like comparing kailan prices at a supermarket, find the median, then ask why a project sits well above or below it.
Transaction pace shows demand
Many sales at rising prices in six months mean an area is heating up. If the last transaction was three years ago, prices are too high or demand is weak.
What to do
- Gather the project's details from its website, forums or reviews.
- Visit the sales gallery to learn the current packages, but don't book yet.
- Visit the site and its surroundings, and look at nearby competitors.
- Check the median transacted price and psf for nearby projects.
- Count how many units sold recently, and investigate any outliers.
Editorial Note: Summarised from Sean Tan's full episode. The quoted answer is in his own words; the rest is our paraphrase. Figures reflect the recording date, so check current rates and rules before acting on them.
GET ACCURATE MARKET DATA USING BRICKZ REPORT
Sources & Verification Data
Summarised from Sean's full English captions for this May 2024 video, which was sponsored by PropertyGuru to introduce its Brickz transaction report. The quoted line is verbatim; everything else is paraphrased.
