Discover
Discover
Which is better, a cluster house or a terraced house?
33 views
The decision between a cluster house and a terraced house depends on your lifestyle preferences, investment objectives, and desired amenities in Singapore.
Cluster House:
- Offers landed living with shared facilities like pools, gyms, and security, similar to a condominium.
- Maintained typically under strata title management, so exterior maintenance and common areas are taken care of.
- Rental yields for cluster homes are competitive, averaging between 2% to 4%, with some developments achieving higher returns.
- Prices are generally lower than pure landed properties, making them more accessible for those seeking larger living space with facilities.
- Price trends for cluster houses have been more volatile and less predictable compared to pure landed properties, partly due to lower transaction volumes.
- Best suited for buyers who want landed space with the added benefits of shared amenities and managed facilities.
- Offers landed living with shared facilities like pools, gyms, and security, similar to a condominium.
- Maintained typically under strata title management, so exterior maintenance and common areas are taken care of.
- Rental yields for cluster homes are competitive, averaging between 2% to 4%, with some developments achieving higher returns.
- Prices are generally lower than pure landed properties, making them more accessible for those seeking larger living space with facilities.
- Price trends for cluster houses have been more volatile and less predictable compared to pure landed properties, partly due to lower transaction volumes.
- Best suited for buyers who want landed space with the added benefits of shared amenities and managed facilities.
Terraced House:
- Pure landed property; owner has full control over the land and house, with no shared common facilities or management fees.
- Offers more privacy and control but comes with the responsibility of all maintenance.
- Historically, pure landed (including terraced houses) have shown more stable capital appreciation and less price volatility.
- Usually commands higher prices and is prized for the land ownership component.
- Pure landed property; owner has full control over the land and house, with no shared common facilities or management fees.
- Offers more privacy and control but comes with the responsibility of all maintenance.
- Historically, pure landed (including terraced houses) have shown more stable capital appreciation and less price volatility.
- Usually commands higher prices and is prized for the land ownership component.
| Feature | Cluster House | Terraced House |
|---|---|---|
| Ownership type | Strata title (shared land/maintenance) | Land title (full control of land/house) |
| Facilities | Shared (pool, gym, security, etc.) | None (unless built by owner) |
| Maintenance | Centralised, part of monthly strata fees | Owner's responsibility |
| Price trend stability | More volatile due to niche market | More stable capital appreciation |
| Rental yield | Competitive, can reach 6% in some cases | Generally depends on area and demand |
| Privacy | Moderate (shared facilities/community living) | Higher (own plot, no common areas) |
| Target buyers | Those who want convenience and amenities | Those prioritising privacy and control |
| Investment perspective | Attractive yields but niche, less predictable | Favoured for long-term appreciation |
If you value facilities and low-maintenance living, a cluster house is better. If your priority is privacy, land ownership, and stable long-term value, a terraced house is preferred. For a precise recommendation, consult your budget and lifestyle needs, and review current listings and trends on EdgeProp Singapore.
Thank you for your query with EdgeProp Buddy. As a reminder, I'm in Beta mode and it's always wise to seek counsel from a real estate professional for these types of matters.