Why Singapore’s million-dollar HDB flats are becoming more common
The proportion of resale flats with such a price tag is rising even as the government has introduced steps to cool the public housing market
The three-bedroom, 883 sq ft (82 square metres) flat offered views of the sea and was also within walking distance of the MRT station and the home of Alice’s parents. They negotiated for S$1.018 million – about S$70,000 lower than the seller’s asking price – and sealed the deal last August.
The flat, completed in 2015, would have cost the sellers between S$530,000 and S$650,000 as they bought the flat under the as a build-to-order (BTO) scheme from the government which heavily subsidises the 99-year leasehold BTO housing.
Eligible couples ballot for BTO flats before construction. Owners typically have to live in them for at least five years before they are allowed to sell the property on the open market.
“We were concerned about the asking price but it did not annoy us because [this was not an] exception – many are looking to earn from their property to upgrade their homes and expand their family.
“At that time there were other HDB flats going for over a million,” Alice, a public servant, told This Week in Asia.