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Minister for National Development Desmond Lee announced that HDB is exploring offering open-plan BTO flats to home owners for their future HDB BTO launches to allow home owners to decide if they want their new Housing Board flat to have a home office or larger but fewer bedrooms.
The Government is currently mulling over the possibility of allowing people to choose their future home layout so that minimal hacking renovation is needed when they start collecting keys to their homes.
HDB is considering designing HDB flats with more open floor plans so home owners have flexibility to configure the various spaces according to their needs.
Land usage, waste reduction and environment conservation are critically important especially in times like this where we are faced with supply constraints due to the effects of climate change from global warming, increasingly volatile geo-politics and depleting supply of resources.
The Government is currently mulling over the possibility of allowing people to choose their future home layout so that minimal hacking renovation is needed when they start collecting keys to their homes.
HDB is considering designing HDB flats with more open floor plans so home owners have flexibility to configure the various spaces according to their needs.
Land usage, waste reduction and environment conservation are critically important especially in times like this where we are faced with supply constraints due to the effects of climate change from global warming, increasingly volatile geo-politics and depleting supply of resources.
Home & Decor features beautiful home designs for homes. Credit: Design: Asolidplan, Source: Home & Decor
Some possible advantages of open-plan flats may allow home owners to:
- efficiently plan their space for living, working from home and entertaining
- free play to test different multi-functional layouts for their homes
- potential increasing their home valuation valuation if their well designed space appeals to the new home owners
- Planning for easy flow & lighting in the house according to their lifestyle
- enjoy greater flexibility with the space
- allows increased creativity flow
Credit: Design: Space Sense Studio
Real estate consultant Kiwi Lim from Huttons Asia felt that open plan flats or apartments are 'the way of the future' as it reduces the structural stress to the building from incessant hacking of the walls that were built upon the completion of the building. Families have very different needs and a cookie-cutter layout most likely may not suit their needs fully. This will also greatly reduce renovation noise and construction waste as we see more and more home owners choosing to hack away some walls when they takeover the flat.
In fact, the government may consider going all the way to introduce fully open plan layout where there are no bedrooms and its just a huge cavernous house for the home buyers to have full control to design their own homes and for families who require extra sound proof walls, they can choose to build their own walls with extra insulation / sound proof materials.
Will you prefer future BTO flats / condos to offer open plan layouts?
Share your suggestions & views below.
In fact, the government may consider going all the way to introduce fully open plan layout where there are no bedrooms and its just a huge cavernous house for the home buyers to have full control to design their own homes and for families who require extra sound proof walls, they can choose to build their own walls with extra insulation / sound proof materials.
Will you prefer future BTO flats / condos to offer open plan layouts?
Share your suggestions & views below.
Straits Times online 30 May 2022
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New replacement flats located at Woodlands Street 13. (Image: Immigration and Checkpoints Authority, Housing and Development Board, Singapore Land Authority)
Nine Housing Board (HDB) blocks of flats - Blocks 210 to 218 at Marsiling Crescent and Marsiling Lane have been selected to be acquired by the HDB to make way for a further expansion of the Woodlands Checkpoint to address traffic congestion and meet a projected 40 per cent increase in traffic volumes by 2050.
The expansion will include the addition of “flexi-lanes” that can clear both cars and motorcycles, reducing travel time by as much as four times, the agencies said. This means a clearance time of 15 minutes, down from 60 minutes, during peak periods.
The Bukit Timah Expressway will be extended and enhanced to channel traffic directly to and from the Old Woodlands Town Centre extension. The immediate and surrounding local road networks will also be upgraded. The flat acquisition and subsequent redevelopment of Woodlands Checkpoint will be carried out progressively to minimise disruption to residents.
The expansion will include the addition of “flexi-lanes” that can clear both cars and motorcycles, reducing travel time by as much as four times, the agencies said. This means a clearance time of 15 minutes, down from 60 minutes, during peak periods.
The Bukit Timah Expressway will be extended and enhanced to channel traffic directly to and from the Old Woodlands Town Centre extension. The immediate and surrounding local road networks will also be upgraded. The flat acquisition and subsequent redevelopment of Woodlands Checkpoint will be carried out progressively to minimise disruption to residents.
Nine Housing Board (HDB) blocks of flats - Blocks 210 to 218 at Marsiling Crescent and Marsiling Lane have been selected to be acquired by the HDB to make way for a further expansion of the Woodlands Checkpoint
Owners of the sold flats at these affected blocks will be offered the same rehousing benefits as those offered under the Selective En bloc Redevelopment Scheme (Sers), including compensation based on the market value of their flats and the option to buy a new flat with a fresh 99-year lease. The existing flats at Marsiling Crescent are currently around 40 years old.
Residents and tenants of the 732 sold flats, 53 rental flats, one rental kiosk, six rental shops and one rental eating house will have to move out by the second quarter of 2028.
Among the housing benefits is compensation based on the market value of their flat at the date of the acquisition and the option to purchase a new flat with a fresh 99-year lease at a subsidised price. Flat owners may also receive a grant of up to S$30,000 and take out a housing loan from HDB for the purchase.
To help defray the expenses incurred in the move, HDB will also provide flat owners with a removal allowance, as well as stamp and legal fees. Eligible flat owners who do not wish to purchase a new flat can choose to sell their existing flats with the rehousing benefits on the open market.
Even though these flats enjoy the benefits under the Selective En bloc Redevelopment Scheme (Sers) which is aimed at rejuvenating older estates, HDB clarified that the project does not fall under the Sers programme which usually select old HDB estates in city fringe or prime locations.
Residents and tenants of the 732 sold flats, 53 rental flats, one rental kiosk, six rental shops and one rental eating house will have to move out by the second quarter of 2028.
Among the housing benefits is compensation based on the market value of their flat at the date of the acquisition and the option to purchase a new flat with a fresh 99-year lease at a subsidised price. Flat owners may also receive a grant of up to S$30,000 and take out a housing loan from HDB for the purchase.
To help defray the expenses incurred in the move, HDB will also provide flat owners with a removal allowance, as well as stamp and legal fees. Eligible flat owners who do not wish to purchase a new flat can choose to sell their existing flats with the rehousing benefits on the open market.
Even though these flats enjoy the benefits under the Selective En bloc Redevelopment Scheme (Sers) which is aimed at rejuvenating older estates, HDB clarified that the project does not fall under the Sers programme which usually select old HDB estates in city fringe or prime locations.
The offered precinct at Woodlands Street 13, indicated in yellow, will comprise five residential blocks. (Image: Immigration and Checkpoints Authority, Housing and Development Board, Singapore Land Authority)
Residents are surprised that their flats near the Woodlands Checkpoint could enjoy the opportunity to move to a brand new flat with a fresh 99 years lease. They felt the new location of the replacement flats is much better as they can now live beside the beautiful Marsiling green park - a big relief from the daily smog and dust at Woodlands Checkpoint. With Marsiling MRT station only a 10 minute stroll from their future new home, residents will also enjoy the convenience of nearby existing shops and eating houses.
Flat owners have the option of purchasing these new flats with better design and fittings, located within a precinct with modern and comprehensive facilities. There will be five blocks of new replacement flats at Woodlands Street 13 between 23 to 34 storeys high, comprising two-room Flexi, three-room, four-room and five-room flats. Eligible flat owners may receive a SERS grant of up to S$30,000 and take out a housing loan from HDB for the purchase of their new flat.
Flat owners have the option of purchasing these new flats with better design and fittings, located within a precinct with modern and comprehensive facilities. There will be five blocks of new replacement flats at Woodlands Street 13 between 23 to 34 storeys high, comprising two-room Flexi, three-room, four-room and five-room flats. Eligible flat owners may receive a SERS grant of up to S$30,000 and take out a housing loan from HDB for the purchase of their new flat.
Channelnewsasia online 26 May 2022
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About 4,500 flats and two new projects under the Prime Location Public Housing (PLH) model will be launched in the May 2022 Build-to-Order (BTO) exercise as HDB plans to launch up to 23,000 new flats this year in a bid to ease the housing crunch in Singapore. The Bukit Merah projects originally planned for launch in May 2022 will be shifted to August 2022 to allow more time to review the project and to better spread out the location of projects in mature and non-mature estates at each launch.
There will be a good mix of new flats coming up in five towns - Bukit Merah, Jurong West, Queenstown, Toa Payoh and Yishun. The increased supply of flats will provide more housing options for young couples planning to start their marriage and parenthood journey, as well as for second-timer families, multi-generation families, the elderly, and singles.
There will be 2 PLH BTO projects in the mature estates of Bukit Merah and Queenstown, said the Housing and Development Board (HDB) on 23 May (Monday). As expected, there will be no 5 room flats avail in both projects as all 1,660 units in Bukit Merah and 860 units in Queenstown will comprise 3-room and 4-room flats.
Flats under the PLH model come with stricter buying and selling conditions, including a 10-year minimum occupation period and a subsidy clawback at the first resale transaction.
Buyers who want one of these flats on the resale market in future will also have to meet the prevailing eligibility conditions for buying a flat directly from the HDB . These include having at least one applicant who is a Singapore citizen, meeting the household income ceiling of $14,000 and not holding a private property or sold any in the last 30 months.
Singles above 35 years old will not be allowed to buy these PLH flats in the resale market in future. This is in contrast to current rules that do not place limitations on singles above the age of 35 buying resale flats.
The current new PLH model will be implemented for public housing in prime, central locations such as the city centre and Greater Southern Waterfront area.
There will be a good mix of new flats coming up in five towns - Bukit Merah, Jurong West, Queenstown, Toa Payoh and Yishun. The increased supply of flats will provide more housing options for young couples planning to start their marriage and parenthood journey, as well as for second-timer families, multi-generation families, the elderly, and singles.
There will be 2 PLH BTO projects in the mature estates of Bukit Merah and Queenstown, said the Housing and Development Board (HDB) on 23 May (Monday). As expected, there will be no 5 room flats avail in both projects as all 1,660 units in Bukit Merah and 860 units in Queenstown will comprise 3-room and 4-room flats.
Flats under the PLH model come with stricter buying and selling conditions, including a 10-year minimum occupation period and a subsidy clawback at the first resale transaction.
Buyers who want one of these flats on the resale market in future will also have to meet the prevailing eligibility conditions for buying a flat directly from the HDB . These include having at least one applicant who is a Singapore citizen, meeting the household income ceiling of $14,000 and not holding a private property or sold any in the last 30 months.
Singles above 35 years old will not be allowed to buy these PLH flats in the resale market in future. This is in contrast to current rules that do not place limitations on singles above the age of 35 buying resale flats.
The current new PLH model will be implemented for public housing in prime, central locations such as the city centre and Greater Southern Waterfront area.
HDB noted that it has increased the supply of new flats in recent years – launching around 14,600 BTO flats in 2019 to about 17,100 in 2021. The planned launches of up 23,000 new flats a year in 2022 and 2023 mark a 35 per cent increase from 2021’s figure.
Demand for public housing has increased “significantly” in recent years, with the overall number of applications received per BTO flat up from 3.7 times in 2019 to 5.5 times in 2021. This is due to more marriages as the larger cohorts of those born in the late 1980s to 1990s reach marriageable age, as well as the growing trend of smaller households. COVID-related factors and the buoyant resale market have also spurred demand for BTO flats.
Last year in 2021, more than half of Singapore’s 24 HDB towns clocked million-dollar resale flat transactions. Real estate consultant Kiwi Lim from Huttons Asia believe the trend will continue to grow with more million dollar HDB resale transactions and is convinced almost 70% of HDB estates across Singapore may fall under PLH model within 5 years. Kiwi Lim felt that classifying more estates under the PLH BTO model may be the government's plan to manage soaring HDB resale prices across the island in future.
Demand for public housing has increased “significantly” in recent years, with the overall number of applications received per BTO flat up from 3.7 times in 2019 to 5.5 times in 2021. This is due to more marriages as the larger cohorts of those born in the late 1980s to 1990s reach marriageable age, as well as the growing trend of smaller households. COVID-related factors and the buoyant resale market have also spurred demand for BTO flats.
Last year in 2021, more than half of Singapore’s 24 HDB towns clocked million-dollar resale flat transactions. Real estate consultant Kiwi Lim from Huttons Asia believe the trend will continue to grow with more million dollar HDB resale transactions and is convinced almost 70% of HDB estates across Singapore may fall under PLH model within 5 years. Kiwi Lim felt that classifying more estates under the PLH BTO model may be the government's plan to manage soaring HDB resale prices across the island in future.
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Market expectations are rife that the U.S. Federal Reserve will hike interest rates to a high of 3 percentage points by the end of 2022 this year. If this happens, it would be the most aggressive hike by the US central bank since 2005 to control widespread inflation that is widely believed to be caused by the relentless printing of money to solve America's problems during the past 5 years. Their total liabilities is estimated to be more than $9 trillion mostly in the form of bonds.
The Federal Reserve had been massively printing money to purchase longer-term Treasury securities, e.g. bonds to keep interest rates low and money flowing through the economy during the pandemic as part of their efforts to support the economy through quantitative easing. Those purchases inject money into the economy to lower interest rates and therefore encourage lending and investment but the surge in prices has forced The Federal Reserve to dramatically rethink their monetary policy.
The federal funds rate sets how much banks charge each other for short-term lending, but also is tied to a variety of adjustable-rate consumer debt. Along with the strategic move to raise interest rates, the central bank also indicated it will begin reducing asset holdings on its $9 trillion balance sheet.
The Federal Reserve had been massively printing money to purchase longer-term Treasury securities, e.g. bonds to keep interest rates low and money flowing through the economy during the pandemic as part of their efforts to support the economy through quantitative easing. Those purchases inject money into the economy to lower interest rates and therefore encourage lending and investment but the surge in prices has forced The Federal Reserve to dramatically rethink their monetary policy.
The federal funds rate sets how much banks charge each other for short-term lending, but also is tied to a variety of adjustable-rate consumer debt. Along with the strategic move to raise interest rates, the central bank also indicated it will begin reducing asset holdings on its $9 trillion balance sheet.
The 50 basis point rate hike by The Federal Reserve on 4th May 2022 that pushed the federal funds rate to a range of 0.75%-1% shocked the market as most were only expecting a 25 basis point hike by the central bank.
However, the Federal Open Market Committee (FOMC) minutes released by The Federal Reserve on Wed 25 May 2022 mentioned “Most participants judged that 50 basis point increases in the target range would likely be appropriate at the next couple of meetings,”. In addition, Federal Open Market Committee (FOMC) members indicated that “a restrictive stance of policy may well become appropriate depending on the evolving economic outlook and the risks to the outlook.”
The Federal Reserve officials had earlier this month stressed the need to raise interest rates quickly and possibly more than markets anticipate to tackle a burgeoning inflation problem, minutes from their meeting released Wednesday showed.
However, the Federal Open Market Committee (FOMC) minutes released by The Federal Reserve on Wed 25 May 2022 mentioned “Most participants judged that 50 basis point increases in the target range would likely be appropriate at the next couple of meetings,”. In addition, Federal Open Market Committee (FOMC) members indicated that “a restrictive stance of policy may well become appropriate depending on the evolving economic outlook and the risks to the outlook.”
The Federal Reserve officials had earlier this month stressed the need to raise interest rates quickly and possibly more than markets anticipate to tackle a burgeoning inflation problem, minutes from their meeting released Wednesday showed.
The FOMC holds eight regularly scheduled meetings during the year and other meetings as needed. Real estate consultant Kiwi Lim believe that the minutes released yesterday imply that future Federal Reserve rate hikes this year may no longer be 25 basis point hikes but 50 basis point hikes. As of now, it seems the FOMC has approved half percentage point hikes in their plan to reduce the central bank’s $9 trillion balance sheet consisting mostly of Treasurys (bills, notes, bonds and securities issued by the United States Dept of the Treasury are Treasurys) and mortgage-backed securities starting from next month in June 2022 in their desperate attempt to pull down inflation running at a 40-year high.
From the FOMC minutes, Kiwi Lim expects home loan interest rates in Singapore to reach 3% by the end of this year, slightly earlier than market prediction of next year. Even at 3% interest rate, Kiwi Lim believe home owners in Singapore have holding power as our current TDSR for property buyers taking bank loans used the worst case scenario of 3.5% int rate to approve home loans. In addition to that, the TDSR also assumes that the borrower took a huge pay cut of 45%. Any borrower who passed this stringent TDSR stress test probably has the means to hold. Moreover, the LTV for the loan is maxed at 75% and not 90% like previously in 2005 therefore greatly limiting loan exposure.
From the FOMC minutes, Kiwi Lim expects home loan interest rates in Singapore to reach 3% by the end of this year, slightly earlier than market prediction of next year. Even at 3% interest rate, Kiwi Lim believe home owners in Singapore have holding power as our current TDSR for property buyers taking bank loans used the worst case scenario of 3.5% int rate to approve home loans. In addition to that, the TDSR also assumes that the borrower took a huge pay cut of 45%. Any borrower who passed this stringent TDSR stress test probably has the means to hold. Moreover, the LTV for the loan is maxed at 75% and not 90% like previously in 2005 therefore greatly limiting loan exposure.
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Award-winning developer Bukit Sembawang Estates Limited launched their latest private residential development - LIV@MB this weekend to an astounding success selling an estimated 78% by the end of of its preview weekend at 7pm on Sunday 22 May 2022 at an average selling price of $2,387 psf for this 99 year leasehold development with over 90% of buyers being Singaporeans. Over 1,200 cheques were collected as expressions of interest ahead of the weekend launch, which showed LIV@MB was four times over-subscribed. Satisfied with their launch performance, Bukit Sembawang decided that the sales gallery and showflat “will be temporarily closed until further notice” after today.
Located in district 15, along Arthur Road - LIV@MB was formerly The Katong Park Towers site in one of the best locations in eastern Singapore well-known for its idyllic and upmarket lifestyle. Katong Park Towers, a 99-year leasehold condominium was sold enbloc to a unit of Bukit Sembawang Estates who bought the estate for $345 million following a competitive tender which attracted a total of 10 bids and all were above the reserve price.
Katong Park Towers, which comprises 111 standard apartments, five penthouses and two commercial units, sits on a land area of 140,758 sq ft. It is located about 200 metres from the future Katong Park MRT Station, which is slated for completion in 2023. At the sale price of $345 million, the land rate for Katong Park Towers translates to $1,280 per sq ft per plot up to the development baseline, taking into account an estimated $60 million for the lease upgrading premium.
Located in district 15, along Arthur Road - LIV@MB was formerly The Katong Park Towers site in one of the best locations in eastern Singapore well-known for its idyllic and upmarket lifestyle. Katong Park Towers, a 99-year leasehold condominium was sold enbloc to a unit of Bukit Sembawang Estates who bought the estate for $345 million following a competitive tender which attracted a total of 10 bids and all were above the reserve price.
Katong Park Towers, which comprises 111 standard apartments, five penthouses and two commercial units, sits on a land area of 140,758 sq ft. It is located about 200 metres from the future Katong Park MRT Station, which is slated for completion in 2023. At the sale price of $345 million, the land rate for Katong Park Towers translates to $1,280 per sq ft per plot up to the development baseline, taking into account an estimated $60 million for the lease upgrading premium.
Just two weeks ago, City Developments Ltd (CDL) and MCL Land launched the preview sale for the 407-unit integrated city fringe condominium Piccadilly Grand on 7 May 2022 (Saturday) to a roaring success with 315 units out of the whole 407 unit project sold - making up approximately 77% of its total number of units. Piccadilly Grand is the first condo launch (developments with condo facilities) for 2022 and is expected to be closely watched by the market to gauge sentiment and demand from homebuyers.
Piccadilly Grand achieved average prices of about $2,150 psf, which has set a new benchmark for District 8 with more than 90% of the buyers consisting of Singaporeans while the remaining 10% of buyers are Permanent Residents and foreigners from China, India, Malaysia, the USA, Hong Kong, and Indonesia.
Piccadilly Grand achieved average prices of about $2,150 psf, which has set a new benchmark for District 8 with more than 90% of the buyers consisting of Singaporeans while the remaining 10% of buyers are Permanent Residents and foreigners from China, India, Malaysia, the USA, Hong Kong, and Indonesia.
The next upcoming condo project to be launched estimated around next month in June will be AMO Residence by a powerhouse joint venture group of developers - United Venture Development, a 60:20:20 joint venture (JV) between UOL Group, Singapore Land Group, and Kheng Leong.
United Venture Development (2021) was awarded the tender for a private housing site in Ang Mo Kio Avenue 1 in June last year (2021) for $381.4 million, or $12,031 per sq m of gross floor area or around $1,118 psf ppr. The JV partners say they will develop a 24- or 25-storey project of more than 370 units on this plum land parcel site, capitalising on the unblocked views towards Bishan-Ang Mo Kio Park and Lower Pierce Reservoir Park.
There are only a handful of remaining upcoming mass market condo projects in the pipeline this year - Lentor Modern, Tanah Merah Kechil condo and Jalan Anak Bukit condo.
Real estate professional Kiwi Lim from Huttons Asia believe these upcoming mass market condo launches can easily achieve more than 70% sales on preview day as long as developers maintain an affordable price range of between $2,200 psf to $2,400 psf due to a severe shortage in supply of new condo units in the current market. With at least 70% of existing new condo projects already seeing more than 80% of their total units sold, developers are once again hungry for land. Faced with limited choices of government land parcels up for sale, developers will have to consider paying more to enbloc older residential developments which will then drive up the price further.
United Venture Development (2021) was awarded the tender for a private housing site in Ang Mo Kio Avenue 1 in June last year (2021) for $381.4 million, or $12,031 per sq m of gross floor area or around $1,118 psf ppr. The JV partners say they will develop a 24- or 25-storey project of more than 370 units on this plum land parcel site, capitalising on the unblocked views towards Bishan-Ang Mo Kio Park and Lower Pierce Reservoir Park.
There are only a handful of remaining upcoming mass market condo projects in the pipeline this year - Lentor Modern, Tanah Merah Kechil condo and Jalan Anak Bukit condo.
Real estate professional Kiwi Lim from Huttons Asia believe these upcoming mass market condo launches can easily achieve more than 70% sales on preview day as long as developers maintain an affordable price range of between $2,200 psf to $2,400 psf due to a severe shortage in supply of new condo units in the current market. With at least 70% of existing new condo projects already seeing more than 80% of their total units sold, developers are once again hungry for land. Faced with limited choices of government land parcels up for sale, developers will have to consider paying more to enbloc older residential developments which will then drive up the price further.
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Surbana Jurong has won the HDB Design Award 2019 with City Vue@Henderson, in the Completed Projects (Housing) Category
As the debate continues on whether The Pinnacle at Duxton's 5 room HDB flats are worth more than $1.3 million, the recent sale of a 1,216 sq ft, five-room HDB flat at City Vue @ Henderson is the latest HDB flat to have clinched the record as the most expensive resale to date, according to data from Huttons Asia. Resale data from HDB shows that this 41st floor unit was sold for $1.4 million in May.
Prices for Housing Board resale flats edged up for the 22nd straight month in April, as demand continues to outstrip supply. A four room HDB flat at Pinnacle@Duxton was resold for $1.228 million, setting the record for the highest transacted price for a four room HDB flat and a five room HDB flat at Pinnacle@Duxton was resold at $1.39 million in March 2022 setting the record for the highest transacted price for a five room HDB flat.
City Vue @ Henderson was built with respect for the memories the residents have for the Redhill area the project is located in. The design idea was to retain the trees, reduce the feel of concreteness and optimise the space with greenery – while going for close to 50 stories.
Prices for Housing Board resale flats edged up for the 22nd straight month in April, as demand continues to outstrip supply. A four room HDB flat at Pinnacle@Duxton was resold for $1.228 million, setting the record for the highest transacted price for a four room HDB flat and a five room HDB flat at Pinnacle@Duxton was resold at $1.39 million in March 2022 setting the record for the highest transacted price for a five room HDB flat.
City Vue @ Henderson was built with respect for the memories the residents have for the Redhill area the project is located in. The design idea was to retain the trees, reduce the feel of concreteness and optimise the space with greenery – while going for close to 50 stories.
The sale of the $1.4 million HDB flat is the first resale at that block this year. Previously, the most expensive transaction recorded at that block was for the sale of another 1,216 sq ft, five-room flat that fetched $1.256 million when it was sold last November.
“With construction delays due to Covid-19, this almost new flat offers the opportunity for buyers to move in fast. It is also rare to have new five-room flats in mature estates,” says Lee Sze Teck, senior director (research) at Huttons Asia. He adds that residents in the area benefit from the amenities and transportation choices nearby. For example, Tiong Bahru and Redhill MRT Stations — which are on the East-West Line — are close to the property.
“With construction delays due to Covid-19, this almost new flat offers the opportunity for buyers to move in fast. It is also rare to have new five-room flats in mature estates,” says Lee Sze Teck, senior director (research) at Huttons Asia. He adds that residents in the area benefit from the amenities and transportation choices nearby. For example, Tiong Bahru and Redhill MRT Stations — which are on the East-West Line — are close to the property.
Real estate professional Kiwi Lim from Huttons Asia believe there is great potential for City Vue @ Henderson's HDB flats to sell beyond $1.4 mil as other sellers are listing theirs for higher as City Vue @ Henderson is meticulously created with spacious parks and terraces on rooftop gardens for the 1,232 units and play spaces linked by skybridges connecting 5 blocks at the 28th floor, in 2 clusters, for the project that spans 27, 40 and 48 stories with seats and tables placed amidst the lush greenery to allow residents to still feel a sense of restful shelter despite the height of the 48 and 40-storey blocks.
To date, the most expensive resale HDB flats have been sold within the past two years. Previously, the record was held by the sale of a 1,151 sq ft, five-room flat on Cantonment Road for $1.388 million in March. Before that, a 1,291 sq ft, five-room DBSS unit on Bishan Street 24 was sold for $1.36 million last December.
To date, the most expensive resale HDB flats have been sold within the past two years. Previously, the record was held by the sale of a 1,151 sq ft, five-room flat on Cantonment Road for $1.388 million in March. Before that, a 1,291 sq ft, five-room DBSS unit on Bishan Street 24 was sold for $1.36 million last December.
According to consolidated resale data from HDB by EdgeProp Singapore, units at Blk 96A Henderson Road have set strong resale prices over the past two years. (Source: EdgeProp Singapore/HDB/URA)
Edgeprop online news on 19 May 2022
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From 9 May 2022, Additional Buyer’s Stamp duty (ABSD) of 35 per cent now will apply on any transfer of residential property into a living trust occurring on or after May 9, the Ministry of Finance (MOF) announced on 8 May 2022 (Sunday) just a few minutes before midnight.
ABSD will be payable even if there is no identifiable beneficial owner at the time the residential property is transferred into a trust, MOF said in a media release late on Sunday.
An identifiable beneficial owner of a trust residential property refers to a person identified in the trust deed or document as a beneficiary of the residential property and who, because of the trust, has beneficial ownership of the residential property that is not, under the terms of the trust, revocable, variable, or subject to any condition subsequent.
ABSD will be payable even if there is no identifiable beneficial owner at the time the residential property is transferred into a trust, MOF said in a media release late on Sunday.
An identifiable beneficial owner of a trust residential property refers to a person identified in the trust deed or document as a beneficiary of the residential property and who, because of the trust, has beneficial ownership of the residential property that is not, under the terms of the trust, revocable, variable, or subject to any condition subsequent.
Currently, when a residential property is transferred into a living trust, Buyer’s Stamp Duty (BSD) is payable. ABSD may also be payable, depending on the profile of the beneficial owner(s) of the residential property transferred into the trust.
Where the living trust is structured such that there is no identifiable beneficial owner at the time when the residential property is transferred into the trust, ABSD currently does not apply. ABSD may also be payable, depending on the profile of the beneficial owners of the residential property transferred into the trust.
The Ministry of Finance while conducting its periodic policy review, will now introduce ABSD (Trust) at 35%, to address and close this gap. With this change, ABSD will be payable even if there is no identifiable beneficial owner at the time the residential property is transferred into a trust.
ABSD aims to promote a stable and sustainable residential property market, and as such, it should apply to transfers of residential properties into all living trusts, irrespective of whether there are identifiable beneficial owners of the residential properties transferred into such trusts. ABSD (Trust) is to be payable upfront, when the residential property is transferred into any living trust.
Where the living trust is structured such that there is no identifiable beneficial owner at the time when the residential property is transferred into the trust, ABSD currently does not apply. ABSD may also be payable, depending on the profile of the beneficial owners of the residential property transferred into the trust.
The Ministry of Finance while conducting its periodic policy review, will now introduce ABSD (Trust) at 35%, to address and close this gap. With this change, ABSD will be payable even if there is no identifiable beneficial owner at the time the residential property is transferred into a trust.
ABSD aims to promote a stable and sustainable residential property market, and as such, it should apply to transfers of residential properties into all living trusts, irrespective of whether there are identifiable beneficial owners of the residential properties transferred into such trusts. ABSD (Trust) is to be payable upfront, when the residential property is transferred into any living trust.
Concession:
As a concession, a trustee may apply to IRAS for a refund of ABSD (Trust), provided that the following conditions are met:
a) All beneficial owners of the residential property are identifiable individuals;
b) Beneficial ownership of the residential property has vested in all of these beneficial owners at the time of property transfer into the trust; and
c) The beneficial ownership cannot be varied or revoked, or be subject to any condition subsequent, under the terms of the trust.
The refund amount will be based on the difference between the ABSD (Trust) rate of 35% and the ABSD rate corresponding to the profile of the beneficial owner with the highest applicable ABSD rate. The application for the refund must be made to IRAS within six months after the instrument is executed. For more information, please visit www.iras.gov.sg.
Real estate professional Kiwi Lim from Huttons Asia believe the coincidental timing of this piece of news may be the government's reaction to the huge success at the preview of Piccadilly Grand this weekend where an estimated 77% of the total number of units were sold in one weekend.
As a concession, a trustee may apply to IRAS for a refund of ABSD (Trust), provided that the following conditions are met:
a) All beneficial owners of the residential property are identifiable individuals;
b) Beneficial ownership of the residential property has vested in all of these beneficial owners at the time of property transfer into the trust; and
c) The beneficial ownership cannot be varied or revoked, or be subject to any condition subsequent, under the terms of the trust.
The refund amount will be based on the difference between the ABSD (Trust) rate of 35% and the ABSD rate corresponding to the profile of the beneficial owner with the highest applicable ABSD rate. The application for the refund must be made to IRAS within six months after the instrument is executed. For more information, please visit www.iras.gov.sg.
Real estate professional Kiwi Lim from Huttons Asia believe the coincidental timing of this piece of news may be the government's reaction to the huge success at the preview of Piccadilly Grand this weekend where an estimated 77% of the total number of units were sold in one weekend.
Ministry of Finance news article published on 8 May 2022 at 11:56pm
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CITY Developments Ltd (CDL) and MCL Land launched the preview sale for the 407-unit integrated city fringe condominium Piccadilly Grand on 7 May 2022 (Saturday) to a roaring success with 315 units out of the whole 407 unit project sold - making up approximately 77% of its total number of units. Piccadilly Grand is the first condo launch (developments with condo facilities) for 2022 and is expected to be closely watched by the market to gauge sentiment and demand from homebuyers.
Units sold ranged from $1.06 million ($2,190 psf) for a one-bedroom unit to $3.676 million ($1,798 psf) for a 2,045 sq ft, five-bedroom premium unit. The project achieved average prices of about $2,150 psf, which has set a new benchmark for District 8 with locals making up 90% of the buyers while the remaining 10% of buyers are Permanent Residents and foreigners from China, India, Malaysia, the USA, Hong Kong, and Indonesia.
Piccadilly Grand - a 99-year-leasehold project in the Farrer Park area would be the first major private residential development to come to market since cooling measures were introduced four months ago. Prices at Piccadilly Grand start at S$1.058 million for a one-bedroom apartment, which translates to about S$2,186 per square foot (psf), and go up to over S$3 million for 5-bedroom units ranging from 1,582 sq ft to 1,679 sq ft.
Piccadilly Grand’s attributes as a rare integrated development with direct access to Farrer Park MRT station and its excellent location so close to the city centre are keys to its success.
Units sold ranged from $1.06 million ($2,190 psf) for a one-bedroom unit to $3.676 million ($1,798 psf) for a 2,045 sq ft, five-bedroom premium unit. The project achieved average prices of about $2,150 psf, which has set a new benchmark for District 8 with locals making up 90% of the buyers while the remaining 10% of buyers are Permanent Residents and foreigners from China, India, Malaysia, the USA, Hong Kong, and Indonesia.
Piccadilly Grand - a 99-year-leasehold project in the Farrer Park area would be the first major private residential development to come to market since cooling measures were introduced four months ago. Prices at Piccadilly Grand start at S$1.058 million for a one-bedroom apartment, which translates to about S$2,186 per square foot (psf), and go up to over S$3 million for 5-bedroom units ranging from 1,582 sq ft to 1,679 sq ft.
Piccadilly Grand’s attributes as a rare integrated development with direct access to Farrer Park MRT station and its excellent location so close to the city centre are keys to its success.
The 10-ha redevelopment site, indicated in red, currently has a field, former boxing gym, Farrer Park Swimming Complex and Farrer Park Tennis Centre. (Image: Housing & Development Board)
On 25 April, the government announced a 10ha site in Farrer Park that will be redeveloped into a public housing estate with about 1,600 HDB flats, with about 20 per cent of the site set aside as open spaces for sports and recreational uses. This will include a 1.2ha central green space comprising a field and a park integrated with sports and recreational facilities including a new sports centre at the location of the Farrer Park Swimming Complex.
Real estate professional Kiwi Lim from Huttons Asia believe this timely news is beneficial for Piccadilly Grand as it enhances the Farrer Park estate with more facilities allowing future residents to enjoy access to a wider range of amenities within and beyond Piccadilly Grand including commercial shops and social communal facilities in the upcoming HDB estate with a jogging track weaving through the entire housing estate connecting various sports and recreational facilities. Other facilities around the estate such as three-generation playgrounds and fitness corners will create a seamless experience for the community to keep fit and stay active. These upcoming developments in Farrer Park with its proximity to the city centre will enhance its attractiveness for younger families looking for public housing with plenty of amenities and facilities that are near to their parents living in District 08 and District 07 with a shorter commute to workplaces in the city.
The BTO flats are slated to be launched for sale in the next three years and HDB did not reveal if these upcoming BTO flats will be under the PLH BTO model when they are launched within these three years.
The site - bounded by Dorset Road, Keng Lee Road, Hampshire Road and Race Course Road located near Little India and Farrer Park MRT stations has been earmarked for residential use since 1998 under URA's Master Plan, in line with the Government’s commitment to redevelop brownfield sites.
Real estate professional Kiwi Lim from Huttons Asia believe this timely news is beneficial for Piccadilly Grand as it enhances the Farrer Park estate with more facilities allowing future residents to enjoy access to a wider range of amenities within and beyond Piccadilly Grand including commercial shops and social communal facilities in the upcoming HDB estate with a jogging track weaving through the entire housing estate connecting various sports and recreational facilities. Other facilities around the estate such as three-generation playgrounds and fitness corners will create a seamless experience for the community to keep fit and stay active. These upcoming developments in Farrer Park with its proximity to the city centre will enhance its attractiveness for younger families looking for public housing with plenty of amenities and facilities that are near to their parents living in District 08 and District 07 with a shorter commute to workplaces in the city.
The BTO flats are slated to be launched for sale in the next three years and HDB did not reveal if these upcoming BTO flats will be under the PLH BTO model when they are launched within these three years.
The site - bounded by Dorset Road, Keng Lee Road, Hampshire Road and Race Course Road located near Little India and Farrer Park MRT stations has been earmarked for residential use since 1998 under URA's Master Plan, in line with the Government’s commitment to redevelop brownfield sites.
A conceptual plan for the Farrer park site. (Image: Housing & Development Board)
Edgeprop online 8 May 2022
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A four-room unit at Pinnacle@Duxton fetched $1.228 million last month in April, setting the record for the highest transacted price for a four-room HDB flat among resale flats in Singapore.
The four-room unit at Pinnacle@Duxton set a new record, surpassing the previous record set in March, where another four-room flat in the same block but on a higher floor was sold for $1.21 million.
The number of million-dollar Housing Board flats tripled last year and resale prices climbed for 22 consecutive months even after new property cooling measures were introduced in Dec 2021.
Just what made these flats so attractive to their buyers? Typically, they are large units on high floors with unblocked views, in a convenient central location and not more than 20 years old. But not all fit this mould. Data shows that a number of older units or those on lower floors were transacted at high prices because they possessed desirable traits, such as prime location and larger-than-usual size.
The four-room unit at Pinnacle@Duxton set a new record, surpassing the previous record set in March, where another four-room flat in the same block but on a higher floor was sold for $1.21 million.
The number of million-dollar Housing Board flats tripled last year and resale prices climbed for 22 consecutive months even after new property cooling measures were introduced in Dec 2021.
Just what made these flats so attractive to their buyers? Typically, they are large units on high floors with unblocked views, in a convenient central location and not more than 20 years old. But not all fit this mould. Data shows that a number of older units or those on lower floors were transacted at high prices because they possessed desirable traits, such as prime location and larger-than-usual size.
Where Million Dollar Flats Were Located In 2021
HDB resale flat prices rose 1.1 per cent last month, a quicker pace compared with March's 0.7 per cent, according to flash data from real estate portals 99.co and SRX on Thursday (May 5).
Price hikes were seen in both mature and non-mature estates, with prices increasing by 1 per cent in mature estates and 1.2 per cent in non-mature ones, compared with March where prices rose by 0.7 per cent and 0.9 per cent respectively.
Meanwhile, resale volume climbed by 0.2 per cent, with an estimated 2,273 units changing hands last month, up from the 2,269 units the month before.
The month of April saw 22 HDB resale flats changed hands for at least $1 million, down from 27 in March. Of these, five each were in the central area and Clementi, four units in Bukit Merah, three in Serangoon, two each in Toa Payoh and Ang Mo Kio and one in Bishan.
The 22 million-dollar flats made up 1 per cent of last month's total resale transactions.
"With a limited supply of prime location flats for sale, resale flat prices in these areas may continue to climb" Kiwi Lim from Huttons Asia explained: "Many young couples who are intending to have kids are choosing to buy resale flats in matured estates as they are not willing to wait 6 years to endure the long construction periods for new BTO flats. Moreover, the restrictions of PLH BTO flats may also hamper their asset progression plans as they find the 10 year MOP for new BTO PLH flats unappealing."
Price hikes were seen in both mature and non-mature estates, with prices increasing by 1 per cent in mature estates and 1.2 per cent in non-mature ones, compared with March where prices rose by 0.7 per cent and 0.9 per cent respectively.
Meanwhile, resale volume climbed by 0.2 per cent, with an estimated 2,273 units changing hands last month, up from the 2,269 units the month before.
The month of April saw 22 HDB resale flats changed hands for at least $1 million, down from 27 in March. Of these, five each were in the central area and Clementi, four units in Bukit Merah, three in Serangoon, two each in Toa Payoh and Ang Mo Kio and one in Bishan.
The 22 million-dollar flats made up 1 per cent of last month's total resale transactions.
"With a limited supply of prime location flats for sale, resale flat prices in these areas may continue to climb" Kiwi Lim from Huttons Asia explained: "Many young couples who are intending to have kids are choosing to buy resale flats in matured estates as they are not willing to wait 6 years to endure the long construction periods for new BTO flats. Moreover, the restrictions of PLH BTO flats may also hamper their asset progression plans as they find the 10 year MOP for new BTO PLH flats unappealing."
Straits Times Online 5 May 2022
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The current supply of new condo units in 2022 and 2023 won't be enough to end the supply crunch and Singapore may continue to see a shortage of supply in new condo units all the way till 2024
The Singapore government introduced extreme new measures in mid-December last year with the sole purpose of cooling the private and public residential real estate market, which raised very high taxes on second and subsequent property purchases and tighter TDSR limits on loans.
The new cooling measures saw additional buyer's stamp duties (ABSD) taxes increased by up to 10% to a whopping 25% ABSD taxes in addition to the normal stamp duty payable by Singaporeans buying their 3rd property leading analysts to wonder if the government is dissuading citizens from buying any more property due to a lack of supply in the market.
Not only that, the new cooling measure also made the TDSR stress test tougher to pass by lowering the 60% TDSR to 55% TDSR effectively assuming that the buyer took a 45% pay cut when calculating their mortgage loans.
Kiwi Lim from Huttons Asia said developers braced themselves for a knee jerk reaction from the market sentiment after the cooling measure announcement by not increasing prices even as construction costs and manpower costs are mounting and hurting developers' bottom line.
The new cooling measures saw additional buyer's stamp duties (ABSD) taxes increased by up to 10% to a whopping 25% ABSD taxes in addition to the normal stamp duty payable by Singaporeans buying their 3rd property leading analysts to wonder if the government is dissuading citizens from buying any more property due to a lack of supply in the market.
Not only that, the new cooling measure also made the TDSR stress test tougher to pass by lowering the 60% TDSR to 55% TDSR effectively assuming that the buyer took a 45% pay cut when calculating their mortgage loans.
Kiwi Lim from Huttons Asia said developers braced themselves for a knee jerk reaction from the market sentiment after the cooling measure announcement by not increasing prices even as construction costs and manpower costs are mounting and hurting developers' bottom line.
On 1st April 2022, UOL decided to increase the price for Avenue South Residence by around 1% on the back of rising cost of construction materials, e.g. steel which almost doubled to $1,300 by the 1st qtr of this year, on the back of high energy prices, supply chain disruptions and the war in Ukraine.
Other developers are expected to follow suit to slowly increase prices of various new launch condo projects as the market faced a double whammy of record low supply of available new condo units in Singapore coupled with rising construction costs. For example, The Florence Residences in suburban Hougang sold 98% and currently see units priced at more than $1,9xx psf amidst higher building costs.
This year's upcoming mass market new condo launches are expected to sell from around $2,000 psf onwards even for those in the OCR districts (Outside Central Region) due to the higher land costs from the bidding of the Government Land Sale Parcels (GLS).
Early this year in January 2021, CDL successfully clinched a GLS land parcel in Tanjong Katong for more than $1,300 psf ppr leading analysts to estimate its possible launch next year around $2,3xx psf.
Other developers are expected to follow suit to slowly increase prices of various new launch condo projects as the market faced a double whammy of record low supply of available new condo units in Singapore coupled with rising construction costs. For example, The Florence Residences in suburban Hougang sold 98% and currently see units priced at more than $1,9xx psf amidst higher building costs.
This year's upcoming mass market new condo launches are expected to sell from around $2,000 psf onwards even for those in the OCR districts (Outside Central Region) due to the higher land costs from the bidding of the Government Land Sale Parcels (GLS).
Early this year in January 2021, CDL successfully clinched a GLS land parcel in Tanjong Katong for more than $1,300 psf ppr leading analysts to estimate its possible launch next year around $2,3xx psf.
ABSD for foreigners was significantly increased by 10% points to reach 30%. Some consider the increase in ABSD for foreigners to have limited effect as Singapore’s economy recovers and the government allows quarantine-free travel arrangements with more countries saw more enquiries for properties from foreigner buyers and expatriates. Most of these expatriates will help to support our rental market while a portion of them may be keen to buy city fringe (RCR) or core central region (CCR) properties despite the higher 30% ABSD for foreigners buying Singapore properties. The increase in ABSD is not expected to affect foreign buying demand much, especially when borders’ measures are gradually relaxed, leading to the return of overseas buyers.
"Low interest rates, limited supply and strong demand are some factors that have led to the increase in home prices last year leading to a 10.6% increase in private home prices in 2021. However, property prices is expected to climb at a slower pace due to rising home loan interest rates and the economic uncertainties brought about by rapidly rising fuel costs due to the Russian-Ukraine war. Therefore, I believe Singapore's residential property prices are expected to rise slower between 3% to 5% this year in 2022." said Kiwi Lim
"Low interest rates, limited supply and strong demand are some factors that have led to the increase in home prices last year leading to a 10.6% increase in private home prices in 2021. However, property prices is expected to climb at a slower pace due to rising home loan interest rates and the economic uncertainties brought about by rapidly rising fuel costs due to the Russian-Ukraine war. Therefore, I believe Singapore's residential property prices are expected to rise slower between 3% to 5% this year in 2022." said Kiwi Lim
Straits Times Online - 4 May 2022
