{"id":39044,"date":"2021-01-10T16:06:39","date_gmt":"2021-01-10T08:06:39","guid":{"rendered":"https:\/\/www.99.co\/blog\/singapore\/?p=39044"},"modified":"2022-09-13T13:17:48","modified_gmt":"2022-09-13T05:17:48","slug":"bungalow-yang-yin-scam-victim-buyer","status":"publish","type":"post","link":"https:\/\/www.99.co\/singapore\/insider\/bungalow-yang-yin-scam-victim-buyer\/","title":{"rendered":"Despite $10m price cut, bungalow in Yang Yin saga could struggle to find buyer"},"content":{"rendered":"<div id=\"bsf_rt_marker\"><\/div>\n<p>The high-profile bungalow of Madam Chung Khin Chun \u2014 the victim of convicted swindler Yang Yin \u2014 at 2F Gerald Crescent has been <a href=\"https:\/\/www.straitstimes.com\/singapore\/bungalow-of-rich-widow-in-yang-yin-saga-for-sale-again-at-25m\" target=\"_blank\" rel=\"noreferrer noopener\">put up for auction again<\/a> for S$25 million (about S$785 per square foot). This is S$10 million below the S$35 million asking price for the bungalow in <a href=\"https:\/\/www.straitstimes.com\/singapore\/courts-crime\/yang-yin-case-house-of-elderly-widow-goes-unsold-after-auction\" target=\"_blank\" rel=\"noreferrer noopener\">an unsuccessful first attempt in 2018<\/a>.<\/p>\n\n\n\n<p>Currently managed by Madam Hedy Mok, Mdm Chung&#8217;s niece and the appointed deputy public trustee for the administration of her estate, the single-storey bungalow sits on a sizeable 999-year leasehold land lot measuring 31,882 square foot \u2014 about half the size of a football field \u2014 in the Seletar Hills area of Yio Chu Kang in <a href=\"https:\/\/www.99.co\/singapore\/sale?listing_type=sale&amp;name=D28%20-%20Seletar%20%2F%20Yio%20Chu%20Kang&amp;query_coords=1.4042150905962454%2C103.87000515934886&amp;query_type=district&amp;query_ids=dtdistrict28&amp;zoom=14&amp;radius_max=1000&amp;query_limit=radius&amp;property_segments=residential\" target=\"_blank\" rel=\"noreferrer noopener\">District 28<\/a>. The property is being put up for sale by consulting firm Edmund Tie.<\/p>\n\n\n<div class=\"wp-block-image wp-image-39054 size-full\">\n<figure class=\"aligncenter is-resized\"><img decoding=\"async\" src=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/yang-yin-scam-victim-bungalow.jpg\" alt=\"yang yin scam victim bungalow\" class=\"wp-image-39054\" width=\"700\" srcset=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/yang-yin-scam-victim-bungalow.jpg 500w, https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/yang-yin-scam-victim-bungalow-150x100.jpg 150w\" sizes=\"(max-width: 500px) 100vw, 500px\" \/><figcaption>An aerial photo of the bungalow at 2F Gerald Crescent. Source: Savills<\/figcaption><\/figure><\/div>\n\n<div class=\"wp-block-image size-full wp-image-39055\">\n<figure class=\"aligncenter is-resized\"><img decoding=\"async\" src=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/yang-yin-scam-victim-bungalow-2.jpg\" alt=\"yang yin scam victim bungalow\" class=\"wp-image-39055\" width=\"700\" srcset=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/yang-yin-scam-victim-bungalow-2.jpg 500w, https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/yang-yin-scam-victim-bungalow-2-150x100.jpg 150w\" sizes=\"(max-width: 500px) 100vw, 500px\" \/><figcaption>The single-storey bungalow was at the centre of the <a href=\"https:\/\/www.straitstimes.com\/singapore\/courts-crime\/yang-yin-saga-a-full-recap-of-the-case\">Yang Yin saga<\/a> in the mid-2010s. Photo: Savills<\/figcaption><\/figure><\/div>\n\n\n<h2 class=\"wp-block-heading\" id=\"h-10-million-drop-in-asking-price-might-not-be-attractive-enough-for-individual-buyers\">$10 million drop in asking price might not be attractive enough for individual buyers<\/h2>\n\n\n\n<p>In the fourth quarter of 2009, when the price index for landed homes in Singapore was about 46% below current levels, an old 16,286 sq ft two-storey bungalow directly across the street from Mdm Chung&#8217;s was sold for S$7.5 million, or S$457 psf. That&#8217;s about S$10.9 million in today&#8217;s value.<\/p>\n\n\n\n<p>That bungalow, which was subsequently redeveloped by the buyer into a three-storey home, sits on land that&#8217;s about 51% the size of Mdm Chung&#8217;s estate. So, if we were to equate the sale price of that bungalow to Mdm Chung&#8217;s property in today&#8217;s value, it would come up to about S$21.4 million \u2014 S$3.6 million below the asking price of S$25 million.<\/p>\n\n\n\n<p><strong>Even if a buyer meets the asking price for Mdm Chung&#8217;s bungalow, the cost of demolishing it and rebuilding a new three-storey bungalow on the site, with amenities such as a swimming pool, will amount to an additional outlay of between S$4 to S$5 million, bringing total costs close to S$30 million.<\/strong><\/p>\n\n\n\n<p><strong>Now, for this massive outlay, there are plenty of alternative landed homes in Singapore in the market right now that the buyer can consider. So. Mdm Chung&#8217;s property faces a lot of competition, despite the S$10 million reduction in asking price from S$35 million in 2018.<\/strong><\/p>\n\n\n\n<p>The competition is mainly from bungalows situated in prime district <a href=\"https:\/\/www.99.co\/singapore\/insider\/good-class-bungalows-gcb-singapore\/\" target=\"_blank\" rel=\"noreferrer noopener\">Good Class Bungalow Areas (GCBAs)<\/a>. Potential buyers of bungalows in this price bracket, made up of high-net-worth individuals (HNWI), might feel that a Good Class Bungalow within the <a href=\"https:\/\/www.99.co\/singapore\/insider\/property-jargon-of-the-day-core-central-region-ccr\/\" target=\"_blank\" rel=\"noreferrer noopener\">Core Central Region<\/a> (CCR) with a smaller land area might be a better long-term asset and connote a much higher level of prestige compared to a larger, non-GCB bungalow site in the suburbs (i.e. Mdm Chung&#8217;s home) at the same price.<\/p>\n\n\n\n<p>We also believe that the supply of landed properties <a href=\"https:\/\/www.99.co\/singapore\/sale?listing_type=sale&amp;main_category=landed&amp;map_bounds=1.006841%2C103.452549%2C1.592515%2C104.241623&amp;page_num=1&amp;page_size=35&amp;price_max=30000000&amp;price_min=20000000&amp;property_segments=residential&amp;query_coords=1.3039947%2C103.8298507&amp;query_limit=radius&amp;query_type=city&amp;radius_max=1000&amp;rental_type=unit&amp;show_cluster_preview=true&amp;show_future_mrts=true&amp;tenure=999%2Cfreehold&amp;zoom=11\" target=\"_blank\" rel=\"noreferrer noopener\">in the S$20 and S$30 million price range<\/a> currently outstrips demand among individual high-net-worth buyers that Mdm Chung&#8217;s bungalow is targeted at, which explains why landed homes in Singapore hasn&#8217;t experienced the price growth that condos have since 2013, when the government introduced its first robust round of cooling measures.<\/p>\n\n\n<div class=\"wp-block-image wp-image-39052\">\n<figure class=\"aligncenter is-resized\"><a href=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/singapore-landed-property-transaction-chart-2006-2020.png\" class=\"img-link media-img img-link media-img\"><img decoding=\"async\" src=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/singapore-landed-property-transaction-chart-2006-2020.png\" alt=\"singapore landed property transaction chart 2006 2020\" class=\"wp-image-39052\" width=\"700\" srcset=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/singapore-landed-property-transaction-chart-2006-2020.png 852w, https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/singapore-landed-property-transaction-chart-2006-2020-150x80.png 150w\" sizes=\"(max-width: 852px) 100vw, 852px\" \/><\/a><figcaption>The volume of landed homes that are transacted on an annual basis pales dropped off after 2013. Chart: <a href=\"https:\/\/www.99.co\/researcher\/dashboard?id=7pI4r51arR6IB436uEikAr53TMI%3D&amp;time_interval=3m\">99.co\/URA Realis data<\/a><\/figcaption><\/figure><\/div>\n\n<div class=\"wp-block-image wp-image-39053\">\n<figure class=\"aligncenter is-resized\"><a href=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/singapore-landed-condo-property-transaction-chart-2006-2020.png\" class=\"img-link media-img img-link media-img\"><img decoding=\"async\" src=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/singapore-landed-condo-property-transaction-chart-2006-2020.png\" alt=\"\" class=\"wp-image-39053\" width=\"700\" srcset=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/singapore-landed-condo-property-transaction-chart-2006-2020.png 835w, https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2021\/01\/singapore-landed-condo-property-transaction-chart-2006-2020-150x84.png 150w\" sizes=\"(max-width: 835px) 100vw, 835px\" \/><\/a><figcaption>A comparison between landed home and condo prices pre- and post-2013. Chart: 99.co Researcher\/URA Realis<\/figcaption><\/figure><\/div>\n\n\n<p><strong>In addition, the Covid-19 situation might also put off buyers from landed real estate purchases that require redevelopment, given the current uncertainty regarding construction timelines owing to a shortage of manpower. Construction costs could also run higher.<\/strong><\/p>\n\n\n\n<p>These concerns could dissuade potential buyers from purchasing ageing landed properties like Mdm Chung&#8217;s in favour of landed homes that are in a move-in or near-move-in condition with minimum alteration and building works required.<\/p>\n\n\n<div class=\"wp-block-image wp-image-19259\">\n<figure class=\"aligncenter is-resized\"><img decoding=\"async\" src=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2018\/08\/crazy-rich-asian-landed-homes-caldecott-1.jpeg\" alt=\"crazy rich asian landed home caldecott pool\" class=\"wp-image-19259\" width=\"700\" srcset=\"https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2018\/08\/crazy-rich-asian-landed-homes-caldecott-1.jpeg 800w, https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2018\/08\/crazy-rich-asian-landed-homes-caldecott-1-600x400.jpeg 600w, https:\/\/www.99.co\/singapore\/insider\/wp-content\/uploads\/2018\/08\/crazy-rich-asian-landed-homes-caldecott-1-440x294.jpeg 440w\" sizes=\"(max-width: 800px) 100vw, 800px\" \/><figcaption>There are plenty of move-in condition Good Class Bungalows in Singapore that are within the $20 to $30 million price range.<\/figcaption><\/figure><\/div>\n\n\n<h2 class=\"wp-block-heading\" id=\"h-mdm-chung-s-best-bet-boutique-developers-to-sub-divide-the-land\">Mdm Chung&#8217;s best bet: Boutique developers to sub-divide the land<\/h2>\n\n\n\n<p>The buyer who is likely to meet the Mdm Mok&#8217;s asking price of S$25 million is likely to be a boutique property developer with intention to subdivide the sprawling site into smaller plots of multiple homes, rather than an individual buyer who wants to retain the land lot as-is for a single bungalow redevelopment.<\/p>\n\n\n\n<p>According to Savills, the auction house for the attempted sale in 2018, Mdm Chung&#8217;s property can be developed into 11 three-storey houses consisting of two bungalows, a pair of semi-detached houses and seven terraced houses. This is on condition that 10% to 15% of the land is allocated for an access road.<\/p>\n\n\n\n<p><strong>Once the land is subdivided, a three-storey, new-build terrace house in the neighbourhood can potentially fetch a psf price in excess of S$1,600 psf. A three-storey, new-build semi-detached house can potentially fetch a price in excess of S$1,300 psf. (This is based on transactions in the neighbourhood in 2009 and 2020.)<\/strong><\/p>\n\n\n\n<p><strong>Crunching the numbers, a developer subdividing the site in the prescribed manner can break-even on the sale of the seven terraced houses and two semi-Ds, and earn a tidy profit on the remaining pair of bungalows.<\/strong><\/p>\n\n\n\n<p>Moreover, the scarcity of landed property development opportunities in the Outside Central Region (OCR) could encourage a number of bids as the market bounces back from Covid-19.<\/p>\n\n\n\n<p><em>The tender for Mdm Chung&#8217;s estate at 2F Gerald Crescent will close at 3pm on 9 February 2021.<\/em><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-would-you-pay-25-million-for-this-bungalow-let-us-know-in-the-comments-below\">Would you pay $25 million for this bungalow? Let us know in the comments below!<\/h2>\n\n\n\n<p>Check out related articles such as\u00a0<a href=\"https:\/\/www.99.co\/singapore\/insider\/want-to-build-your-own-landed-property-heres-what-you-need-to-know\/\">Want to Build-Your-Own Landed Property? Here&#8217;s What You Need to Know:<\/a> and\u00a0<a href=\"https:\/\/www.99.co\/singapore\/insider\/homegrown-condo-developers-are-snapping-up-old-landed-properties-heres-why\/\">Homegrown condo developers are snapping up old landed properties. Here&#8217;s why<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The high-profile bungalow of Madam Chung Khin Chun \u2014 the victim of convicted swindler Yang Yin \u2014 at 2F Gerald Crescent has been put up for auction again for S$25 million (about S$785 per square foot). This is S$10 million below the S$35 million asking price for the bungalow in an unsuccessful first attempt in&hellip;<\/p>\n","protected":false},"author":59,"featured_media":39056,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"36790,41435,45157,19439,42010,40100","_relevanssi_noindex_reason":"","_lmt_disableupdate":"no","_lmt_disable":"","_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[53589,53912,57131],"tags":[53773,53935,56008,56224,54347,57191],"persona":[57126],"class_list":{"2":"type-post","17":"entry","18":"has-post-thumbnail"},"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v25.7.1 (Yoast SEO v25.7) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Despite $10m price cut, bungalow in Yang Yin saga could struggle to find buyer - 99.co<\/title>\n<meta name=\"description\" content=\"The bungalow at the centre of the Yang Yin saga, which is on sale for a cut-price of $25 million, might not find a buyer. 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