Saturday, 30 September 2023

We are shifting our daily news to Gutzy.Asia Support us there!

HDB announces increased Build-To-Order flat supply and moderated resale price index in 2Q 2023

SINGAPORE — The Housing Development Board (HDB) of Singapore announced on Monday plans to launch an increased number of Build-To-Order (BTO) flats and shared the flash estimate of the 2nd Quarter 2023 Resale Price Index (RPI).

According to HDB, about 13,000 BTO flats will be offered in the second half of the year, marking an increase of approximately 31% from the 9,923 units launched in the first half.

Specifically, in August, HDB will introduce 6,700 flats in towns and estates, including Choa Chu Kang, Kallang Whampoa, Queenstown, and Tengah.

In November, another 6,300 flats will be available in Bedok, Bishan, Bukit Merah, Bukit Panjang, Jurong West, Queenstown, and Woodlands. These numbers are subject to further revision as project details are finalized closer to the launch dates.

As part of an ongoing effort to meet rising housing demand, the HDB has upped its BTO flat supply by 35% from 17,100 flats in 2021 to 23,000 flats in 2023.

The board confirmed it will continue monitoring housing demand closely and maintain a steady supply pipeline, aiming to launch a total of 100,000 flats from 2021 to 2025.

In relation to the resale market, the government has implemented several cooling measures since December 2021 to promote a stable and sustainable property market.

These measures include a 15-month wait-out period before private property owners can purchase a non-subsidized HDB resale flat and a lowered Loan-to-Value (LTV) limit for HDB housing loans from 90% to 80%.

The cooling measures have resulted in some moderation in the rate of increase in resale prices. The HDB’s flash estimate of the 2nd Quarter 2023 RPI is 176.0, a 1.4% increase over the 1st Quarter.

Although this represents a higher increase than the 1.0% growth in the 1st Quarter, it is still lower than the average quarterly growth of 2.5% in 2022.

The resale volume in the 2nd Quarter 2023 has decreased by 4.6% from the same period last year, amounting to 6,409, marking the lowest in the last three years.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru, commented on the HDB’s announcements, indicating that the rise of HDB resale prices is driven by a persistent preference for larger flat types and a record-breaking $1.5 million transaction for a 1,894 sq. ft flat in Tiong Bahru.

Despite the slowing pace of million-dollar flat transactions, Dr Tan opined that small gains are expected in the coming quarter due to buyers’ willingness to pay price premiums for space in prime neighbourhoods.

However, he warns that with price resistance setting in, increased flat supply due to more BTO flats being launched, less competition from private property ‘downgraders,’ and more HDB upgraders putting their homes on the resale market, prices may be nearing their peak.

Dr Tan notes, “Buyers are also now less pressured to offer high bids due to increased flat supply. The reason for this is threefold: more BTO flats being launched; less competition from private property ‘downgraders’ due to the September 2022 property cooling measures; an approximate 16,000 flats expected to fulfil their Minimum Occupation Period (MOP) this year, and as more Executive Condominiums (ECs) and private homes being completed translates to more HDB upgraders putting their homes on the resale market.”

Notify of
Oldest Most Voted
Inline Feedbacks
View all comments

Latest posts

Election surprises and certainties: Dissecting Tharman’s presidential win

In the 2023 Presidential Election, Mr. Tharman Shanmugaratnam secured a stunning 70.4% landslide victory, surprising many, including himself. Despite expectations that TKL would win the opposition votes, voters from both camps showed a preference for Tharman's charisma and perceived competency. As Singapore reflects on the outcome, questions arise about the election's fairness and the real implications of Tharman's dominant win.

Volunteer as a Polling and Counting Agent for Singapore’s 2023 Presidential Election

For the upcoming Singapore Presidential Election on 1st September, members of the civil society have spearheaded an initiative to strengthen our democratic fabric. We invite committed individuals to join us as Polling and Counting Agents, standing together for a transparent, fair, and just election. This vote counting exercise, organized by members of civil society, is not specifically in support of Mr Tan Kin Lian, a candidate in the upcoming Presidential Election. It's an exercise in active citizenry. Nonetheless, Mr Tan endorses this initiative, which hinges on his candidacy, championing transparency, and has given permission for the results to be shared publicly.

Reflections from the Centenary: The Legacy of LKY and Singapore’s Future

Gilbert Goh reflects on the LKY centenary event: an inspiring showcase of a leader's global legacy juxtaposed against current challenges, urging Singapore to continue its path of progress.

Lim Tean advocates for Tan Kin Lian: A visionary leader for Singapore’s Presidency

In his speech at Mr Tan Kin Lian's launch of his presidential bid, Mr Lim Tean passionately championed the need for a truly Independent President. Highlighting Mr Tan Kin Lian's unique credentials and genuine concern for the wellbeing of Singaporeans, the Peoples Voice leader emphasized the pressing challenges of rising living costs and job insecurities faced by the public. Mr Lim depicted Mr Tan Kin Lian as a beacon of hope for the nation, advocating for a leader who genuinely understands and represents the people’s aspirations.

Tan Jee Say endorses Tan Kin Lian for President: A courageous, genuine, and humble...

In advocating for a truly representative leader, Tan Jee Say underscored Tan Kin Lian's humility, courage, and genuine dedication. Highlighting the pressing need for restored public trust and effective independence, Tan Jee Say emphasized that Tan Kin Lian, as the 'People's President', would bring back hope to Singaporeans and champion true democracy

Tan Kin Lian’s pledge: Rekindling unity and charting a vigorous future for Singapore

In the press conference to announce his bid for the Singapore presidency, Tan Kin Lian emphasizes safeguarding Singapore's reserves and strengthening public service integrity. Drawing on his 30-year leadership at NTUC Income, he envisions a future with affordable living, accessible housing, and job stability, pledging collaboration with the government for a united nation.

Strengthening Singapore’s political foundations: A call to action by Leong Mun Wai on Singapore’s...

Leong Mun Wai urges Singaporeans to strengthen political checks and balances, emphasizing, 'The best is yet to be for Singapore if we dare to make the right decision in upcoming elections.

Trending posts