Price per square foot, or PSF, is one of the most commonly used ways to compare Singapore properties. It is useful because it converts properties of different sizes into a common measure.
But PSF should be a starting point, not the conclusion.
A lower PSF does not automatically mean better value. One property may have a less efficient layout, undesirable facing or considerable space that is difficult to use. Another with a higher PSF may offer a more functional floor plan.
Floor level and orientation can also affect value. Views, afternoon sun, road exposure, privacy and surrounding buildings can create meaningful differences between units within the same development.
Tenure and age should be considered, particularly when comparing developments from different periods.
Location requires more than measuring the distance to an MRT station. Consider accessibility, amenities, schools, employment nodes and how the surrounding area may develop.
Future supply is another important factor. Buyers should understand what competing developments or units may enter the market before they eventually sell.
And for new launches, compare more than the headline PSF. Examine the actual unit price, layout efficiency and premium between different stacks, floors and unit types.
Our View
PSF is useful for identifying questions. It should not answer them.
Ultimately, you are buying a particular unit, not an average square foot.
Look at the total price, layout, attributes, location, competing supply and future buyer appeal before deciding whether the property represents value.