The maintenance fees for Dairy Farm Residences are a “bit” higher than the original quote.
Quoted maintenance fees are only an estimate, I get that. But when the difference is off by 150 to 200 per cent, it makes you wonder if the buyers are just being milked, which is a bad but appropriate pun for this condo.
Allegedly, some people would be paying $720 a month for a two-bedder. That’s insane.
$720 a month is the kind of maintenance I expect from an Orchard condo, with fewer units than the number of years it would take for HDB prices to reach $2 million. It’s definitely not what I expect from a mass market District 23 condo.
All this has caused some buyers to object and start a petition, which is a much calmer response than I’d expect.
What’s frustrating is that I see no real way for the buyers to have prevented this. How were they supposed to know it was going to happen? No amount of “research” or “doing their homework” would have revealed this.
That said, it’s not like the management has not tried to do anything at all. Apparently, maintenance fees have now been reduced, but only to around $600+ per month. That’s still not chump change. And I’d say it’s a financial migraine for the people who sought rental assets here, because a maintenance fee that high is going to crush the net rental yield.
I don't even want to think about resale, because when future buyers see those maintenance fees… well, it’s most certainly going to be a big dealbreaker, let’s put it that way.
It’s probably time for the authorities to consider some form of regulation here. I understand the routine argument that it’s between the buyer and seller etc, and it is a private property… but it’s not right that this kind of bait-and-switch can be used for property sales.
It’s not the first time either
Parc Komo also saw a hike in maintenance fees, beyond the initial quoted amount; and the common factor between the 2 developments seems to be that it’s a mixed-use development. One of our readers have told us that the response given was that the maintenance fee was based on an estimation at that point in time in 2018/19, and that because of reasons like the pandemic, war, and inflation (among others), that it has impacted operating costs.
This is something that needs at least a small amount of regulation. Otherwise, what’s to stop someone from disguising $600-a-month maintenance fees as $200-a-month “estimates” to push sales in the future if there’s no recourse for buyers here?
In any case, let me be clear that I don’t think that developers were purposely trying to mislead buyers here. But if this has only happened to a select number of developments (and not all developments), it makes it harder for these buyers to swallow such reasons that were given.
Especially in mass market condos, the new maintenance fees that are being pushed today would have been the cause for serious push backs from buyers. I don’t see many buyers agreeing to go ahead with such purchases, if they knew that maintenance fees were that high to begin with.
My other interesting links of the week
The challenge for many buyers today isn't access to information.
It's interpreting that information in a way that makes sense for their finances, goals, and stage of life.
Over time, that's also why we decided to work with agents who shared the same data-driven and advisory-led approach behind our editorial, consultants who could help readers think through decisions more objectively, rather than simply push transactions.
Today, the team has worked with more than 2,000 clients across over $5B in property transactions.
- This may be the most expensive house in the world
Citadel’s billionaire CEO, Ken Griffin, is planning on building the most expensive house in the world - a $1 billion mega estate. He has been buying up more acres of prime Palm Beach real estate, and is looking to spend between $150 to $400 million in construction (including a 50,000 sq. ft. beachfront mansion).
His purchasing spree started in 2012, with purchases totaling $129.6 million for this oceanfront land. Notably, in 2019 alone, he invested nearly $200 million buying up even more land in the area.
He certainly has grand visions for his home (you can see more here).
- How babies used to get fresh air in 1922
We’ve certainly come a long way from those early days - just check out how families living in apartments used to let their toddlers get fresh air. Can you imagine the ruckus it would create today if anyone were to do this in Singapore!
In other property news:
- Spacious 5-room flats for under $590,000: they exist, and we found some.
- Who can’t wait for HDB flats to reach $2 million? Awesome amirite? Can you imagine: we’ll all be so close, living under bridges with each other. Here’s when it may happen.
- Look, I get that old landed properties have that appeal of being jaw-dropping huge and also (comparatively) cheap. But maybe think it through before you drop that cheque.
- Check out the cheapest dual-key two-bedroom units! This is totally not a sneaky way of showing you how you can get rental income without paying ABSD!
Weekly Sales Roundup (23 October - 29 October)
Top 5 Most Expensive New Sales (By Project)
| PROJECT NAME | PRICE S$ | AREA (SQFT) | $PSF | TENURE |
| GRAND DUNMAN | $4,339,000 | 1690 | $2,568 | 99 yrs (2022) |
| THE RESERVE RESIDENCES | $4,272,059 | 1625 | $2,628 | 99 yrs (2021) |
| LENTOR MODERN | $3,141,000 | 1528 | $2,055 | 99 yrs (2021) |
| KLIMT CAIRNHILL | $3,138,000 | 893 | $3,512 | FH |
| LIV @ MB | $3,050,000 | 1302 | $2,342 | 99 yrs (2021) |
Top 5 Cheapest New Sales (By Project)
| PROJECT NAME | PRICE S$ | AREA (SQFT) | $PSF | TENURE |
| THE ARDEN | $1,221,000 | 657 | $1,860 | 99 yrs (1969) |
| THE LAKEGARDEN RESIDENCES | $1,278,700 | 592 | $2,160 | 99 yrs (2023) |
| PINETREE HILL | $1,343,000 | 538 | $2,495 | 99 yrs (2022) |
| LENTOR HILLS RESIDENCES | $1,359,000 | 581 | $2,338 | 99 yrs (2022) |
| THE LANDMARK | $1,463,490 | 517 | $2,833 | 99 yrs (2020) |
Top 5 Most Expensive Resale
| PROJECT NAME | PRICE S$ | AREA (SQFT) | $PSF | TENURE |
| AMBER SKYE | $7,400,000 | 5177 | $1,429 | FH |
| MEIER SUITES | $6,700,000 | 4166 | $1,608 | FH |
| RIVERGATE | $4,300,000 | 1539 | $2,794 | FH |
| THE LINCOLN RESIDENCES | $4,100,000 | 1841 | $2,227 | FH |
| STEVEN'S COURT | $4,000,000 | 2863 | $1,397 | FH |
Top 5 Cheapest Resale
| PROJECT NAME | PRICE S$ | AREA (SQFT) | $PSF | TENURE |
| THE MILTONIA RESIDENCES | $710,000 | 517 | $1,374 | 99 yrs (2010) |
| SEASTRAND | $750,000 | 581 | $1,290 | 99 yrs (2011) |
| KINGSFORD . HILLVIEW PEAK | $760,000 | 549 | $1,384 | 99 yrs (2012) |
| THE GLADES | $773,000 | 452 | $1,710 | 99 yrs (2013) |
| LOFT @ NATHAN | $812,000 | 388 | $2,095 | FH |
Top 5 Biggest Winners
| PROJECT NAME | PRICE S$ | AREA (SQFT) | $PSF | RETURNS | HOLDING PERIOD |
| HILLVIEW HEIGHTS | $2,800,000 | 1668 | $1,678 | $1,790,000 | 28 Years |
| THE LINCOLN RESIDENCES | $4,100,000 | 1841 | $2,227 | $1,640,000 | 14 Years |
| THE ANCHORAGE | $2,750,000 | 1421 | $1,935 | $1,432,000 | 14 Years |
| ORION | $3,600,000 | 1507 | $2,389 | $1,393,095 | 18 Years |
| THE STELLAR | $2,000,000 | 1281 | $1,561 | $1,264,000 | 17 Years |
Top 5 Biggest Losers
| PROJECT NAME | PRICE S$ | AREA (SQFT) | $PSF | RETURNS | HOLDING PERIOD |
| ONE SHENTON | $1,880,000 | 1098 | $1,712 | -$436,780 | 1 Year |
| THE CLIFT | $1,050,000 | 527 | $1,991 | -$200,000 | 10 Years |
| REFLECTIONS AT KEPPEL BAY | $1,830,000 | 893 | $2,048 | -$120,000 | 12 Years |
| RHAPSODY ON MOUNT ELIZABETH | $3,500,000 | 1561 | $2,242 | -$90,300 | 12 Years |
| JARDIN | $3,315,000 | 1701 | $1,949 | -$84,000 | 11 Years |
Transaction Breakdown
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5 Comments
If cnt afford condo conservancy charges, then dun buy condo, stay HDB better. newly TOP condo with mall like dairy farm bought in 2019 surely profit alr, why nvr mention abt that?
I think the first thing to understand is why is the maintenance fees so high? There is definitely a reason. What is it? Too many facilities per headcount? The developer used too high maintenance materials? Finding out the reason will help buyers avoid buying into similar type of condos