RV Altitude CONDO PRICE – ACQUIRED PRICE BY ROXY PACIFIC
SUCCESSFUL ACQUIRED PRICE
PER SQ FT PER PLOT RATIO
GROSS PLOT RATIO
River Valley Road
$1,582 psf ppr
RV Altitude CONDO PRICE – NEARBY CONDO PRICES
NEARBY FREEHOLD CONDOS AROUND RV Altitude
AVERAGE SELLING PRICE (PSF) FOR PAST 12 MONTHS
IMPLIED RENTAL YIELD
RV Altitude CONDO PRICE – ESTIMATED LAUNCH AND GUIDE PRICE
“At a land price of $1,582 psf ppr, we estimate the breakeven price of this project could be as high as ~$2,200 psf ppr, and selling price could fetch circa $2,500v psf,” says analyst Tata Goeyardi. According to Edge.
Expenses and profit margin
Estimated launch price
A simple explanation/formulae on how developers priced their launch (subject to changes)
Land is considered the most expensive component, followed by the construction cost. The prices we are about to share are just the estimates which may vary as they are dependent on the market rates.
A case study
For example, a land that cost up to $755 per square foot (psf), followed by the construction cost which is $350 psf for a mass market condominium.
The remaining 30% of the base cost will be the other expenses and profit of the developer which includes Administrative expense like Staff cost, Office rents etc. Sales and marketing covers most of this portion because of the Show flat Building cost, Lawyer fees, Commission for Real Estate Agencies and Advertising etc. Finance paid to the finance institutions for financing the development and the percentage of profit given to the developer for development completes this important expense portion.
The estimate given above will work well in the current low price environment. Obviously the market is not constant, so if the Land prices are increased during the period between tender awards and launch date, the developers can revise the price taking in more profits. The developers will analyze their competitive market and set their price accordingly to sell their units.