PLB MOAT Recommended Projects Report Q4 2023

We have previously talked about the MRT Effect – one of the 10 factors that we use in our PLB MOAT Analysis to evaluate a property’s value and desirability, assisting buyers in making well-informed decisions beyond just the basic metrics of location, price, and size. The MRT Effect essentially measures the walkability of a property to existing or upcoming MRT stations in Singapore, and this can be a significant consideration when measuring a property’s desirability for buyers who commute by MRT or for investors who wish to assess its potential to attract tenants.

With the new classification framework for HDB flats coming into play in 2024, it is clear that the government is placing a lot of spotlight on projects that are near MRT stations. The Plus and Prime models, set to have stricter restrictions such as a 10-year Minimum Occupation Period (MOP), will soon change the landscape of public housing. Because of this change, HDB flats that are not affected retrospectively by the reclassification and private properties that are near MRT stations will likely see a higher demand once the framework is active – or even now as market participants start to take preemptive measures in anticipation of the ripple effects.    

In this article, we will be providing a preview of our inaugural PLB MOAT Recommended Projects Report for Q4 2023 using data retrieved for the East-West Line. This report aims to capture a broad outlook of the profitability of projects near an MRT station for current owners who are thinking of selling their property, and provide a snapshot of areas and projects near MRT stations that potential buyers can look into.

Disclaimer: The prices postulated in the report are estimated based on past transactions in the vicinity, internal pricing projection tools, and a thorough analysis of future development and market trends. Our research is based on our own opinions. Buying or investing in property is a financial commitment that requires individual analysis and discernment. We recommend that buyers and sellers exercise diligence and prudence before proceeding with property transactions.

East-West Line

This report contains 3 segments: 

• Projects near MRT stations
• MRT Profit Analysis
• Project Profit Analysis

Projects Near East-West Line

This first segment provides a comprehensive overview of the appeal of projects near the East-West Line that have been transacted over the past 6 months. The data provided for this segment comes from SquareFoot Market Watch and PLB MOAT Analysis. SquareFoot Market Watch contains lists of property projects that were transacted within the past 6 months and are located within 500m of an MRT station, and PLB MOAT Analysis contains a desirability score of each project based on 10 factors.

At a glance, you will be able to find the projects’ tenure, completion date, distance from MRT, PSF values over the past 6 months, number of transactions, as well as the final score from our MOAT Analysis.

MRT Profit Analysis

The second segment provides a projection of the potential profit current property owners could realise if they sell their property near MRT stations. The data provided for this segment comes from 99.co Prospector. 99.co Prospector contains information about projects that are situated within 500m of an MRT station and estimated gains or losses based on the most recent 10 transactions for each project. The segment also offers an overview of the average quantum profit of non-landed private projects near each MRT station along the East-West Line. 

At a glance, you will be able to find the number of profitable owners, the total sample size, average estimated profit, and the average profit percentage across the different MRT stations.

Project Profit Analysis

The third and last segment outlines an estimated profit analysis for current property owners, should they decide to sell, aggregated by project. The data provided for this segment comes from 99.co Prospector. 99.co Prospector contains information about projects that are situated within 500m of an MRT station and estimated gains or losses based on the most recent 10 transactions for each project.

At a glance, you will be able to find the top 5 most profitable projects for each MRT station, number of profitable owners, total sample size, average estimated profit, and the average profit percentage across the different MRT stations.

Sign up for a complimentary consultation

Like what you’ve just read? Want to know what we think about properties along the other MRT lines? Sign up for a complimentary consultation with our PLB Inside Sales Team if you are hunting for your next home this season and we’ll be more than happy to provide data-driven advice for your property journey!