5-Room HDB for Room Rent: 120 Bukit Merah View

The valuation of the HDB 5 Room property located in Bukit Merah, with a remaining lease of 45 years, stands at an estimated value of $86,816, translating to a price per square foot (PSF) of $579. This valuation reflects the current market dynamics, indicating a market price that is aligned with the baseline, showing a 0% difference. Such stability in pricing suggests a balanced supply-demand relationship within this segment of the HDB market, particularly in a desirable area such as Bukit Merah, which is known for its proximity to urban amenities and accessibility.

However, it is important to note that the model confidence for this valuation is categorized as low, indicating potential variability in the accuracy of the estimated value. The analysis is based on three recent HDB resale transactions in the vicinity, which provides a limited data set for drawing comprehensive conclusions. Buyers and investors should consider the implications of the remaining lease period, as properties with shorter leases may face challenges in securing financing and could experience depreciation as the lease diminishes. Ultimately, while the current valuation is stable, prospective buyers should remain vigilant and conduct further due diligence to navigate the nuances of the Bukit Merah property market.