24/10/2024
4.15 to 1 unit for recent BTO. What’s your take?
The recent Build-to-Order (BTO) exercise in Singapore, which featured a new classification system for flats, attracted significant interest, with more than 35,600 applications for 8,573 units. This marks the highest number of applications since August 2022. The flats are now classified as Standard, Plus, or Prime, replacing the previous distinction between mature and non-mature estates. Prime and Plus flats, which offer more desirable locations and additional subsidies, come with stricter resale rules, including a 10-year minimum occupation period and subsidy clawbacks.�Projects in Pasir Ris and Bukit Batok saw particularly strong demand, with Costa Riviera I and II in Pasir Ris attracting six applicants per five-room unit. Proximity to MRT stations and shorter waiting times were key factors driving demand. The Plus and Prime projects in areas like Ang Mo Kio, Bedok, and Kallang/Whampoa were also oversubscribed, despite the stricter resale conditions.�Analysts suggest that buyers are prioritizing affordability and location over resale flexibility, indicating a willingness to commit long-term to these flats, especially in prime locations.�Guys what do you think about this? Why the demand is still so strong. Does it make sense? What is happening?
