New Reporter
18-12-23, 11:56
First-timers’ median application rate below one in December BTO exercise
Dec 12, 2023
FOUR- and five-room flats in Woodlands, and four-room flats in Sin Ming were the most popular among first-timer families in the latest Build-To-Order (BTO) sales exercise.
Those projects aside, demand was muted overall across the other projects in December’s exercise, with the Housing Board noting that the vast majority of first-time applicants will have an “assured chance” to book a flat.
The median application rate for first-time applicants for three-room and larger flats was below one as at 5.00 pm on Dec 11, HDB said in a statement.
As at 5.00 pm, about four first-time applicants were vying for each of the 260 five-room flats at Urban Rise @ Woodlands, one of two projects in the non-mature estate. It is closer to Woodlands MRT station than the other project, Woodlands Beacon.
Across both projects, the first-timer application rate stood at two for the 614 four-room flats on offer.
At least 95 per cent of four-room and larger flats in non-mature estates are set aside for first-time applicants.
At Sin Ming Residences in Bishan, 2.8 first-time applicants were vying for each of the 627 four-room flats. These are the first new units launched in the area since 1988.
The project has the shortest wait in this launch at about two years and eight months.
HDB said the higher application rates for these three projects are due to their specific attributes, noting that Bishan is a mature estate that is popular among buyers, and that the Woodlands projects are near the MRT station and several amenities.
In contrast, application rates were lower for flats in the mature estates of Bukit Merah and Queenstown, which fall under the prime location public housing (PLH) model.
The first-timer application rate was below one for three- and four-room flats at Alexandra Peaks and Ulu Pandan Vista, which have the priciest units in this launch.
This means all first-time applicants for these flats are set to get a chance to select a unit.
Alexandra Peaks in Bukit Merah is bounded by Alexandra Road and Alexandra Canal, and is fairly close to Redhill MRT station. Ulu Pandan Vista in Queenstown is the third and final project in the eastern half of Dover Forest. It is next to Dover station.
The PLH flats will take the longest to be completed, at about four years and 11 months.
Flat owners in the two PLH projects are subject to a 10-year minimum occupation period.
When selling their flats, they will also be subject to a subsidy clawback of 8 per cent of the resale price or valuation, whichever is higher – up from 6 per cent for past PLH projects. HDB said it increased the subsidies for these projects due to rising prices in the resale market.
At Chai Chee Green in Bedok, the first-timer application rate stood at one for the 260 five-room flats on offer. The rate was below one for the 97 three-room units and 627 four-room flats on sale.
The application rate was also below one for the 250 community care apartments, which come with senior-friendly fittings. Those who wish to apply for assisted living flats must be aged 65 and above.
Projects in the other non-mature towns – Bukit Panjang and Jurong West – also had first-timer application rates below one.
HDB said the median application rates in the October and December 2023 launches were significantly lower than the rates from 2020 to 2022 during the Covid-19 pandemic, which ranged from two to 6.8. They are also lower than or comparable to pre-pandemic rates of 1.1 to 3.7.
In all, 6,057 BTO flats are on sale across eight projects in Bedok, Bishan, Bukit Merah, Bukit Panjang, Jurong West, Queenstown and Woodlands. Applications close at 11.59 pm on Dec 11.
Those who get a queue number for this launch can expect to book their flat at the HDB Hub in Toa Payoh between March and December 2024.
PropNex Realty chief executive Ismail Gafoor said demand for BTO flats has stabilised, with an overall application rate of two for the 6,057 units on offer in December’s exercise. In comparison, rates ranged from 2.5 to 8.1 for launches from February 2021 to May 2023.
He attributed the modest rates to stricter rules for applicants who reject an offer to book units, which kicked in from the October exercise.
These include the rule that applicants of the BTO and Sale of Balance Flats schemes who get a queue position falling within the flat supply cannot apply for a flat in later exercises until after their booking appointment.
“This has perhaps helped to sift out those who are applying merely to ‘try their luck’, and now we are seeing a truer picture of BTO demand,” Gafoor said.
Larger flats remain the most popular among home seekers, with five-room flats in Woodlands having the highest application rates, said Nicholas Mak, chief research officer of property search portal Mogul.sg
“This should be taken as a call that more five-room flats should be supplied,” he added.
https://www.businesstimes.com.sg/property/first-timers-median-application-rate-below-one-december-bto-exercise
Dec 12, 2023
FOUR- and five-room flats in Woodlands, and four-room flats in Sin Ming were the most popular among first-timer families in the latest Build-To-Order (BTO) sales exercise.
Those projects aside, demand was muted overall across the other projects in December’s exercise, with the Housing Board noting that the vast majority of first-time applicants will have an “assured chance” to book a flat.
The median application rate for first-time applicants for three-room and larger flats was below one as at 5.00 pm on Dec 11, HDB said in a statement.
As at 5.00 pm, about four first-time applicants were vying for each of the 260 five-room flats at Urban Rise @ Woodlands, one of two projects in the non-mature estate. It is closer to Woodlands MRT station than the other project, Woodlands Beacon.
Across both projects, the first-timer application rate stood at two for the 614 four-room flats on offer.
At least 95 per cent of four-room and larger flats in non-mature estates are set aside for first-time applicants.
At Sin Ming Residences in Bishan, 2.8 first-time applicants were vying for each of the 627 four-room flats. These are the first new units launched in the area since 1988.
The project has the shortest wait in this launch at about two years and eight months.
HDB said the higher application rates for these three projects are due to their specific attributes, noting that Bishan is a mature estate that is popular among buyers, and that the Woodlands projects are near the MRT station and several amenities.
In contrast, application rates were lower for flats in the mature estates of Bukit Merah and Queenstown, which fall under the prime location public housing (PLH) model.
The first-timer application rate was below one for three- and four-room flats at Alexandra Peaks and Ulu Pandan Vista, which have the priciest units in this launch.
This means all first-time applicants for these flats are set to get a chance to select a unit.
Alexandra Peaks in Bukit Merah is bounded by Alexandra Road and Alexandra Canal, and is fairly close to Redhill MRT station. Ulu Pandan Vista in Queenstown is the third and final project in the eastern half of Dover Forest. It is next to Dover station.
The PLH flats will take the longest to be completed, at about four years and 11 months.
Flat owners in the two PLH projects are subject to a 10-year minimum occupation period.
When selling their flats, they will also be subject to a subsidy clawback of 8 per cent of the resale price or valuation, whichever is higher – up from 6 per cent for past PLH projects. HDB said it increased the subsidies for these projects due to rising prices in the resale market.
At Chai Chee Green in Bedok, the first-timer application rate stood at one for the 260 five-room flats on offer. The rate was below one for the 97 three-room units and 627 four-room flats on sale.
The application rate was also below one for the 250 community care apartments, which come with senior-friendly fittings. Those who wish to apply for assisted living flats must be aged 65 and above.
Projects in the other non-mature towns – Bukit Panjang and Jurong West – also had first-timer application rates below one.
HDB said the median application rates in the October and December 2023 launches were significantly lower than the rates from 2020 to 2022 during the Covid-19 pandemic, which ranged from two to 6.8. They are also lower than or comparable to pre-pandemic rates of 1.1 to 3.7.
In all, 6,057 BTO flats are on sale across eight projects in Bedok, Bishan, Bukit Merah, Bukit Panjang, Jurong West, Queenstown and Woodlands. Applications close at 11.59 pm on Dec 11.
Those who get a queue number for this launch can expect to book their flat at the HDB Hub in Toa Payoh between March and December 2024.
PropNex Realty chief executive Ismail Gafoor said demand for BTO flats has stabilised, with an overall application rate of two for the 6,057 units on offer in December’s exercise. In comparison, rates ranged from 2.5 to 8.1 for launches from February 2021 to May 2023.
He attributed the modest rates to stricter rules for applicants who reject an offer to book units, which kicked in from the October exercise.
These include the rule that applicants of the BTO and Sale of Balance Flats schemes who get a queue position falling within the flat supply cannot apply for a flat in later exercises until after their booking appointment.
“This has perhaps helped to sift out those who are applying merely to ‘try their luck’, and now we are seeing a truer picture of BTO demand,” Gafoor said.
Larger flats remain the most popular among home seekers, with five-room flats in Woodlands having the highest application rates, said Nicholas Mak, chief research officer of property search portal Mogul.sg
“This should be taken as a call that more five-room flats should be supplied,” he added.
https://www.businesstimes.com.sg/property/first-timers-median-application-rate-below-one-december-bto-exercise