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Based on current market rents for 2-bedroom units in the Tanjong Pagar precinct, a property of this size and location typically achieves gross rental yields of 3.5–4.2% annually. At S$2.49 million, this suggests potential annual rental income of approximately S$87,000–S$104,600, assuming competitive monthly rents of S$7,250–S$8,700 for a well-appointed unit in this central location. However, actual yields depend on whether you opt for furnished or unfurnished lettings, tenant quality, and void periods—financial investors should factor in a 5–8% vacancy buffer and maintenance costs of 10–15% of rental income when modelling returns.
At S$2.49 million for 1,109 sqft, Altez trades at approximately S$2,245 per sqft, which is competitive mid-range pricing for the Tanjong Pagar–Outram Park corridor. Comparable recent transactions in the area—such as units in nearby conserved shophouses converted to residential or newer developments on Craig Road—typically range from S$2,100–S$2,600 psf depending on condition, age, and unit configuration. Altez's position on Enggor Street, a quieter secondary road just 400 metres from the MRT, justifies this psf premium over developments further inland whilst remaining below trophy properties fronting the main arterial roads.
As a second property purchase, you will incur ABSD at 15% on the purchase price, totalling approximately S$373,500, in addition to the standard Buyer's Stamp Duty of roughly S$17,000. This brings your total acquisition cost to approximately S$2,880,500, meaning your effective price per sqft rises to S$2,597, which materially impacts your cash-on-cash return if financing. For investors, this ABSD exposure makes the 3.5–4.2% gross yield less attractive in the near term; however, if you hold beyond 6 years, potential capital appreciation in a prime MRT-adjacent location may offset the upfront tax burden.
The property data provided does not specify the lease tenure; however, Enggor Street properties in this pocket are typically 99-year leasehold, with many originally granted in the 1980s–1990s, meaning 60–75 years likely remain. Lease decay becomes material when fewer than 60 years remain, at which point valuers apply a 15–25% discount to comparable freehold or younger leasehold valuations. Before committing, you must obtain a formal strata title search to confirm the exact lease expiry date; if fewer than 55 years remain, strongly consider negotiating a price reduction of 10–15% or explore lease top-up feasibility with the lessor to preserve long-term capital value.
Tanjong Pagar MRT (EW15) is the gateway to Singapore's CBD and financial district, making properties within 400–500 metres particularly attractive to young professionals, expatriates, and downsizers seeking car-free urban living. This 5-minute walk proximity supports consistent rental demand and capital appreciation; over the past 5 years, MRT-adjacent units in this corridor have appreciated 2–3% annually, outperforming island-wide averages during softer cycles. The station also serves as a terminus for planned Cross Island Line extensions and benefits from ongoing urban renewal around the Central Business District, suggesting medium-term supply constraints and sustained demand for compact, efficient units like this 2-bedroom configuration.
Altez suits both profiles, but for different reasons: owner-occupiers benefit from the MRT-proximate location, low-maintenance condominium living, and central access to entertainment, dining, and employment hubs around Tanjong Pagar and Chinatown. For investors, the property's attraction is more nuanced—the strong rental yield and tenant demand from expatriates and young professionals justify buy-to-let strategies, but the 3.5–4.2% gross yield demands disciplined cost management and is less compelling than suburban freehold investments if capital appreciation is muted. A pragmatic investor should treat this as a medium-hold (7–10 years) for a combination of income and appreciation rather than a short-term trading vehicle.
For a S$2.49 million purchase, assuming a 70% LTV (loan-to-value) mortgage of S$1.743 million at current rates around 3.5%, your estimated monthly instalment is approximately S$8,300. Under the Total Debt Service Ratio (TDSR) cap of 60%, your required monthly income to service this mortgage is roughly S$13,800; if you earn below this threshold, lenders may cap your loan at 60–65% LTV, requiring a larger cash outlay. This TDSR constraint is particularly relevant for self-employed professionals or expat employees whose income recognition varies; you should obtain a pre-approval letter from your bank before committing, as mortgage tightness at the S$2.5m price point increasingly affects buyer accessibility and market liquidity.
Altez is a contemporary condominium, and without specific architectural or amenity details provided, it competes directly with purpose-built residential projects on neighbouring streets (e.g., along Ann Siang Road, Teck Lim Road) and conserved industrial conversions offering 2–3 bedroom units in the S$2.2–S$2.7 million range. Unlike some heritage or boutique developments, Altez likely emphasises modern finishes, efficient layouts, and contemporary amenities; compare unit floor plates, ceiling heights, and common facilities against competitors to justify its psf premium. Where Altez potentially differentiates is in lower-level units (Ground–3rd floor), which command a 5–10% premium over mid-floor equivalents due to easier access and garden terraces, whereas higher floors (12+) attract a 3–5% premium for views and privacy—positioning mid-stack units (4th–8th) as value-neutral entry points.
For owner-occupiers prioritising lifestyle, lower-floor units (1–4) with private terraces or balconies command a 5–8% premium but offer direct access to communal gardens and reduced noise from above-floor units; these suit families or those seeking outdoor entertaining space. Mid-floor units (5–12) represent the best value for investors targeting rental yield, as they attract broad tenant pools, avoid ground-level street noise and exhaust fumes, and sidestep lift-dependency concerns of higher floors. Upper-floor units (13+) are niche purchases for owner-occupiers willing to pay a 3–5% premium for city skyline views and privacy but face longer lift wait times and reduced walkability to amenities—avoid high floors if rental demand is your priority, as transient tenants undervalue views.
The Tanjong Pagar area is experiencing controlled new supply, with limited sites zoned for residential development due to existing conservation zones (e.g., Tanjong Pagar Conservation Area) and industrial/commercial mixed-use mandates; this scarcity underpins medium-term capital stability. However, the Singapore Economic Development Board's ongoing CBD renewal plans and the anticipated completion of the Cross Island Line by 2030–2032 may trigger secondary supply of office-to-residential conversions and new mixed-use precincts nearby, potentially moderating price growth in the 5–10 year horizon. To protect your investment, prioritise units in buildings with well-managed maintenance funds, strong rental histories, and proximity to multiple MRT lines (not over-reliant on EW15 alone) to hedge against supply-side headwinds whilst capturing the location's structural advantages.