Guide · Choosing a unit
Bigger unit or better location: which actually made more profit?
With a fixed budget, do you buy a smaller unit in a strong location, or stretch the same money into a bigger home further out? Some people say location is everything; others say buy as big as you can, because size means more upside. When you look at how real properties performed, the answer isn't what people expect. Here are two real comparisons, buyers with the same budget at the same time, and what actually decided who made more.
Prefer to watch? This guide follows the video, with extra detail.
In short:
- Park Colonial (2-bedroom, near the MRT) vs Riverfront Residences (3-bedroom, Hougang): the bigger units made about $200,000 more on average.
- JadeScape (2-bedroom, near the MRT) vs Affinity at Serangoon (3-bedroom): the smaller units made about $140,000 more.
- The difference was the layout: units that work the way HDB upgraders expect a home to work resold best.
- Don't choose on size or location alone. Ask who will buy from you, and whether your layout is what they want.
Why this question matters in 2026
New projects are launching across the OCR, RCR and CCR this year. So buyers aren't just comparing one project against another in the same area; they're often choosing between two very different options. A smaller unit in a better location, closer to amenities and transport, or a bigger unit in the suburbs, where prices let you get more space but it's less convenient? On paper both look reasonable, especially with a fixed budget. The question is which makes more sense further down the road.
The "buy as big as you can" logic
You hear this advice a lot, and it sounds like common sense. Imagine two units, one of 1,500 sq ft and one of 500 sq ft, going through the same market cycle, and prices across the market rise by $200 psf. The bigger unit gains $200 psf across a much larger area: about $300,000, against about $100,000 for the smaller one. From a pure numbers view, buying bigger means making more.
But real life is never this clean. Properties don't move in perfect sync, and buyers don't judge homes on psf alone. So let's test it with real transactions.
Case 1: Park Colonial vs Riverfront Residences
This is exactly the dilemma. Park Colonial is right beside Woodleigh MRT, on the city fringe: very convenient, a project where location is clearly the selling point, so prices were higher. With a budget of about $1.2 million to $1.3 million, buyers could only get a 2-bedroom. Riverfront Residences is in Hougang, not near the MRT and more heartland in nature. For the same budget, you could get a full 3-bedroom, sometimes a larger format.
I pulled transactions where both groups bought around the same time, July 2018, and sold in 2024 to 2025: same market cycle, almost the same holding period, and entry prices in the same $1.2 million to $1.3 million range. These buyers really were choosing between these two options.
| Bought around July 2018, sold 2024 to 2025 | What they chose | Profits | Average profit |
|---|---|---|---|
| Riverfront Residences, 3-bedroom | Size | About $400,000 to $600,000 | About $540,000 |
| Park Colonial, 2-bedroom | Location | Mostly $200,000 to $300,000, some higher | About $336,000 |
Here the larger units made about $200,000 more on average, roughly 60% higher, despite the less central location. So "buy bigger" works? Before jumping to that conclusion, let's see if it happens consistently.
Case 2: JadeScape vs Affinity at Serangoon
The set-up is similar. JadeScape is on the city fringe, very close to Marymount MRT, highly accessible, and a large development of 1,206 units. Affinity at Serangoon is also a mega project of more than 1,000 units, but deeper in the heartland and not within immediate walking distance of an MRT station. With the same $1.2 million to $1.3 million, buyers chose between a 2-bedroom at JadeScape and a larger 3-bedroom at Affinity.
| Bought around 2018, sold 2024 to 2025 | What they chose | Profits | Average profit |
|---|---|---|---|
| JadeScape, 2-bedroom | Location | Mostly the high $400,000s to $500,000 | About $480,000 |
| Affinity at Serangoon, 3-bedroom | Size | Lower overall | About $340,000 |
This time the smaller units outperformed by about $140,000 on average. So why did Riverfront do so well and Affinity not, when both are mega developments of more than 1,000 units and buyers came in at the same time with similar budgets? People often say mega projects perform well because of their scale, facilities and visibility. Clearly, being large isn't enough.
The real difference: layout
Why Riverfront's 3-bedrooms won
Affinity's 3-bedroom, about 850 sq ft, has an open-concept kitchen, and bedroom three is noticeably smaller than what many buyers consider a conventional 3-bedroom. At the time, many 3-bedrooms were designed more like Riverfront's, at about 915 sq ft: a proper enclosed kitchen, windows for ventilation in all the bathrooms, and more balanced bedroom sizes. Buyers who stretched slightly could even get Riverfront's 1,066 sq ft 3-bedroom premium, with a yard and storeroom and an overall layout closer to what families were used to.
| 3-bedroom | Affinity at Serangoon | Riverfront Residences |
|---|---|---|
| Size | About 850 sq ft | About 915 sq ft (premium: 1,066 sq ft) |
| Kitchen | Open concept | Enclosable, with a window |
| Bedrooms | Bedroom three noticeably small | Comfortably sized, more balanced |
| Bathrooms | – | Windows for ventilation |
| Storage | – | Yard, extra WC and storage (premium layout) |
These details matter a lot, especially in heartland locations where most demand comes from HDB upgraders. Buyers moving from a 4-room or 5-room flat aren't just looking for a 3-bedroom on paper. They want something functional, familiar and comfortable for long-term living. Layouts like Riverfront's resonate with that profile, which is why buyers were willing to pay for them later. When upgraders see a home like that, it doesn't feel like they're compromising space just to get into a condo.
Why JadeScape's 2-bedrooms stood out
Between about 2018 and 2024, many developers were already moving to compact 2-bedrooms: open kitchens, limited ventilation, bathrooms without windows. Efficient, but standardised. JadeScape's 2-bedroom was different: an enclosed kitchen with a window, so you could still do heavier cooking, which matters a lot to local buyers; bathrooms with windows; comfortably sized bedrooms. At the time, that combination was quite rare.
Compare it with Park Colonial or nearby projects like The Tre Ver, and you'll see many followed the typical configuration of that era: functional, yes, but very similar to everything else. JadeScape created differentiation. It wasn't just another 2-bedroom; it appealed to buyers who wanted practicality, and that later turned into stronger resale demand.
What upgraders look for in a layout
If you're buying in a heartland location where most demand comes from HDB upgraders, choose a layout that's familiar to them. They're upgrading their lifestyle, but they still expect the home to work like the 4-room or 5-room flat they came from:
- A proper kitchen: properly sized, enclosed or enclosable, with ventilation.
- Bedrooms that are genuinely usable: you can place a queen bed comfortably, without awkward compromises.
- Storage: a yard, utility area or household shelter.
- A living and dining area spacious enough for family living.
- Windows in the bathrooms for ventilation.
When a unit delivers on these, demand tends to be much stronger at resale, because it matches what the core upgrader market wants, not just what looks good on paper.
What this means if you're buying a 2-bedroom today
Many developers now build large numbers of 2-bedroom units, because they keep the entry price accessible. That means when you sell, you may be competing with many similar units. When supply looks the same, the units that stand out aren't necessarily the biggest or the cheapest; they're the layouts buyers prefer.
So choosing a 2-bedroom isn't just about what looks good today. It affects your exit: how easily you can resell, how much competition you face, and the profit you can make. If your unit matches real buyer demand and offers functionality others don't, your chances of standing out are much stronger.
The takeaway for 2026
Don't just look at size. Don't just look at location. Look at the layout, and whether the unit will have real demand when you sell. Even in the harmonisation era, when developers plan more carefully, not every layout performs the same. If you choose a unit with strong functional appeal, it's no longer about how many 2-bedroom or 3-bedroom units exist in the district or the project. It's about how many good ones are on the resale market when you sell. When that supply is limited, your unit is easier to sell.
A quick layout check before you book
- Who lives around the project? If it's mostly HDB estates, your future buyers are likely upgraders.
- Open the floor plan and check the kitchen (enclosable, window), bathroom windows, bedroom sizes against a queen bed, and storage.
- Compare with the other layouts in the same project and nearby: is yours the standard version, or does it offer something others don't?
- Count the competition: how many units of the same type, in this project and nearby, will hit the resale market around the same time as yours?
Each of my launch pages describes every layout with its room sizes, so you can compare kitchens, bedrooms and storage before you visit. Layout is one part of the equation: upcoming MOP supply, market timing and the developer matter too, and I cover those in my other guides.
Torn between a bigger unit and a better location? Send me the units you're comparing and I'll go through the layouts and the likely buyers with you.
Questions people ask me
Is it better to buy a bigger unit or a better location?
Neither wins every time. In my two comparisons, size won once (Riverfront Residences) and location won once (JadeScape). In both cases the winner had the more functional layout for the buyers in that area.
Do mega developments always perform better?
No. Riverfront Residences and Affinity at Serangoon are both mega projects, and their 3-bedrooms performed very differently. Scale helps with facilities and visibility, but layout and buyer fit matter more.
What makes a 3-bedroom layout appeal to HDB upgraders?
An enclosed or enclosable kitchen with a window, three bedrooms that can each take a proper bed, windows in the bathrooms, storage such as a yard or household shelter, and a living and dining area big enough for a family.
Should I avoid 2-bedroom units?
Not necessarily. JadeScape's 2-bedrooms outperformed larger units because their layout was rare at the time. Just make sure your 2-bedroom offers something the many standard 2-bedrooms around it don't.
Related guides
- How to spot the sweet spot unit in a new launch.
- Your property might appreciate, but can you sell it later?
- $1.6M budget: new launch condo or resale EC?
- Everyone wants a high floor. Don't make this mistake.
Profits are from caveats lodged for purchases around July 2018 and sales in 2024 to 2025, averaged as shown in my video of 23 March 2026; your own unit's results depend on its stack, floor and timing. Layout sizes are the developers' strata areas. This guide is general information, not financial advice.