Penthouse $/PSF Calculation

[SinnU1]

Hi guys,

Just to check, we are looking for a 2br penthouse in D15 and would like to know how to calculate the $/PSF for penthouses.

E.g Based on 1500sqft = (a)Liveable space 1000sqft + (b)Terrace 500sqft

1. Asking $800/PSF =a+b = $1'200'00

or

2. Asking $800/PSF = a+b(1/2) = $1'00'000

or

3. Asking $800/PSF = a only = $800'00

What we like to know, is e.g 1 the usual practice when buying a penthouse here, as most ads are based on this calculation or has anyone bought one based on e.g 2

And as for e.g 3, heard from the missus colleague, who heard from her agent, that if we were to sell the penthouse later, our selling price will only be based on the liveable space and not the roof terrace. Which i think it is absolutely rubbish, as wouldn't this make penthouses sell like hotcakes and the ad will go like...(Buy 1000sqft @ $800/PSF, get free 500sqft roof terrace) . Is this another one of many half baked agent(s) who know nuts about his/her industry or i could be wrong

Thanks!

P.S Can anyone recommend a good agent who specialize in D15

[Property_Owner]

If i'm not wrong, roof terrace value @ half.

[xebay11]

Hi guys,

Just to check, we are looking for a 2br penthouse in D15 and would like to know how to calculate the $/PSF for penthouses.

E.g Based on 1500sqft = (a)Liveable space 1000sqft + (b)Terrace 500sqft

1. Asking $800/PSF =a+b = $1'200'00

or

2. Asking $800/PSF = a+b(1/2) = $1'00'000

or

3. Asking $800/PSF = a only = $800'00

What we like to know, is e.g 1 the usual practice when buying a penthouse here, as most ads are based on this calculation or has anyone bought one based on e.g 2

And as for e.g 3, heard from the missus colleague, who heard from her agent, that if we were to sell the penthouse later, our selling price will only be based on the liveable space and not the roof terrace. Which i think it is absolutely rubbish, as wouldn't this make penthouses sell like hotcakes and the ad will go like...(Buy 1000sqft @ $800/PSF, get free 500sqft roof terrace) . Is this another one of many half baked agent(s) who know nuts about his/her industry or i could be wrong

Thanks!

P.S Can anyone recommend a good agent who specialize in D15

Do a search and check what the previous owner paid to the developer and work the sums from there.

[august]

Willing buyer willing seller, no hard and fast rule imo ~

[SinnU1]

Thanks for the replies, but does this mean i can tell the agent/owner of a resale unit that i will only base my offer price on the nett liveable space, excluding the open roof terrace area. Or will they tell me and go fly kite.

[gfoo]

during the crisis, banks valued it at less than half of the going psf rate fyi

[Blue]

Willing buyer willing seller, no hard and fast rule imo ~

Agreed!

Perhaps for investment / speculative purposes, one might want to use #2 to gauge the value.

But however, if for own stay, the criterias to purchase a unit depends on many other factors other than purely comparing price & psf. For eg. age, facilities, design, layout, ceiling height, facing, blockage, surrounding and more...

And bec of that, different developments within the same area (street / road) fetches different psf for similar sized units.

Also, duplex / loft type penthouses are often more expensive in terms of psf versus normal units within the same development. These void areas are not liveable space at all but you get the air space (double volume ceiling) that provides the exclusivity and abundance inflow of natural light.

Penthouses under the westerners' perceptions are more exclusive and pricey, not just because of the additional air space / open terrace, but the prestigious status of being at the top among the others.

My two cents

[echotrain]

I typically use

actual livable floor space + 1/3(roof terrace/PES/air void) to calculate

[proud owner]

Agreed!

Perhaps for investment / speculative purposes, one might want to use #2 to gauge the value.

But however, if for own stay, the criterias to purchase a unit depends on many other factors other than purely comparing price & psf. For eg. age, facilities, design, layout, ceiling height, facing, blockage, surrounding and more...

And bec of that, different developments within the same area (street / road) fetches different psf for similar sized units.

Also, duplex / loft type penthouses are often more expensive in terms of psf versus normal units within the same development. These void areas are not liveable space at all but you get the air space (double volume ceiling) that provides the exclusivity and abundance inflow of natural light.

Penthouses under the westerners' perceptions are more exclusive and pricey, not just because of the additional air space / open terrace, but the prestigious status of being at the top among the others.

My two cents

method 2 is the correct calculation
i was told by someone in the construction industry

as for westerner .. they are used to having SPACE and privacy .. and PH tends to be bigger ..and on the top floor.. not so much the open terrace that they like ..

also in other countries (at least in USA) ..balcony + terrace are NOT counted in the actual psf .. in landed houses ...basement is counted in the sqft-age

so in HK and Spore ..buyers are truly being charged alot more ..

[kalumder]

method 2 is the correct calculation
i was told by someone in the construction industry

as for westerner .. they are used to having SPACE and privacy .. and PH tends to be bigger ..and on the top floor.. not so much the open terrace that they like ..

also in other countries (at least in USA) ..balcony + terrace are NOT counted in the actual psf .. in landed houses ...basement is counted in the sqft-age

so in HK and Spore ..buyers are truly being charged alot more ..

a lot of new buildings have strange PHs (penthouses), some are nothing more than glorified 4 bedroom apartments with 3-5 terraces (slight exaggeration) .... I can appreciate a nice large terrace. How ever some PHs have several large terraces, like a few phs in one amber. Nothing more than glorified 4 bedroom appartments...

[Lou]

Hi SinnU1,

Penthouse roof terrace is considered and termed as "recessed area", I'm not sure whether banks are bullish or no not, it is not far off to say that the valuation for such recessed area is 50% less than the liveable area.

Hence $psf for penthouse is always lower compared to the smaller units in the same development.

As for your example, the seller will asking price will be $1.2 million based on [email protected]$800psf, but the bank's loan valuation will be $1 million based on 50% less for the recessed area. So if you wish to take a loan, you have to pay $200k upfront first before you can get the bank to loan you.

If you are making an offer for that penthouse, you can't exclude the roof terrace area. Why? because nothing is FREE!

[proud owner]

Hi SinnU1,

Penthouse roof terrace is considered and termed as "recessed area", I'm not sure whether banks are bullish or no not, it is not far off to say that the valuation for such recessed area is 50% less than the liveable area.

Hence $psf for penthouse is always lower compared to the smaller units in the same development.

As for your example, the seller will asking price will be $1.2 million based on [email protected]$800psf, but the bank's loan valuation will be $1 million based on 50% less for the recessed area. So if you wish to take a loan, you have to pay $200k upfront first before you can get the bank to loan you.

If you are making an offer for that penthouse, you can't exclude the roof terrace area. Why? because nothing is FREE!

then have the agent explain to the seller that .. thats how the bank valuate the property ...
if they dont accept ... then WAIT for those who can fork out 400k cash to buy lor ...

[SinnU1]

Thanks guys, can anyone point to me which website,besides URA, shows you the past transacted price of a unit, with unit no. etc.

Saw it somewhere here, but can't remember the name of the website.

TIA and Merry X'mas and a Happy New Year

[eaurouge_spa]

Thanks guys, can anyone point to me which website,besides URA, shows you the past transacted price of a unit, with unit no. etc.

Saw it somewhere here, but can't remember the name of the website.

TIA and Merry X'mas and a Happy New Year

http://www.streetsine.com/main.html