HDB Launches Nearly 7,000 Flats in May 2023 BTO and SBF Exercises

 

HDB launched 6,995 flats for sale today, under the May 2023 Build-To-Order (BTO) and Sale of Balance Flats (SBF) exercises. The 5,495 BTO flats, spread across mature and non-mature estates, come with a median waiting time of about 3 years 5 months. 4 out of the 5 projects, making up almost 90% of all flats offered, have wait times of 3 plus years, with the remaining project having a waiting time of 4 years. Another 1,500 SBF units across various towns/estates are also being offered for sale.

 

Wide Selection of Affordable Flats Offered for Different Budgets and Needs

 

2 The five BTO projects in this exercise are in Bedok, Kallang Whampoa, Serangoon and Tengah. A wide selection of flats, ranging from 2-room Flexi to 3Gen flats, is offered to meet diverse housing needs. In particular, 5-room flats will be offered in the mature towns of Bedok and Serangoon, making up more than 40% of the total 5-room flat supply in the May 2023 BTO launch. With significant market discounts, the new flats will be priced considerably lower than the transacted prices of comparable resale flats.

 

 

3 Eligible first-timer families can benefit from the Enhanced CPF Housing Grant (EHG) of up to $80,000. Including the EHG, flat buyers may pay as little as $163,000 for a 3-room flat and $290,000 for a 4-room flat in the non-mature estate of Tengah, and may service their mortgage through CPF, with little to no cash outlay. In the mature estates where prices are higher, the prices after grant start from $260,000 and $403,000 for a 3-room and 4-room flat, respectively, in Bedok. See Table 1 for the starting BTO flat prices before and after grants, and the comparable resale prices.The details of BTO flat prices and nearby resale transactions can also be found in Annex A.

 

 

Table 1: Flat Prices in May 2023 BTO Exercise

Note: Selling prices are rounded up to the nearest thousand dollars.

 

^    Unless otherwise stated, the starting prices of the flats are based on 99-year leases. For illustration purposes, the assumed EHG amounts are:
i. 2-room Flexi flat: $80,000
ii. 3-room flat: $75,000 in non-mature town and $60,000 in mature towns and Prime Location Public Housing Model
iii. 4-room flat: $60,000 in non-mature town and $45,000 in mature towns and Prime Location Public Housing Model
iv. 5-room / 3Gen flat: $45,000 in non-mature town and $30,000 in mature towns

The starting prices after grant amounts are illustrative, assuming that the household incomes of eligible first-time buyers of flats in the mature towns are higher. The actual grant amount received will depend on the buyers’ income and eligibility. Read more on EHG in HDB InfoWEB.

~   Prices include the costs of floor finishes, internal doors and sanitary fittings.
^#   Details on the comparable resale flats can be found on the HDB Flat Portal. In making comparison, please take into account the differences in attributes between the comparable resale flats and the BTO flats.

 

Almost 90% of BTO flats With Waiting Times Below 4 years

 

4 For the BTO projects launched in May 2023, the median waiting time is about 3 years 5 months. Almost 90% of the BTO flats, in 4 out of the 5 projects on offer, have a waiting time from 3 years 1 month to 3 years 8 months. This makes the May 2023 BTO sales exercise one of the BTO launches with the highest proportion of flats in recent years, to be completed in less than 4 years. Those who are looking to move into their flats sooner can consider applying for the flats at Parc Meadow @ Tengah which has a waiting time ranging from 3 years 1 month to 3 years 4 months. The waiting times for the other four projects, i.e. Plantation Verge, Bedok South Blossoms, Serangoon North Vista and Farrer Park Arena, range from 3 years 5 months to 4 years.

 

Prime Location Public Housing

 

5 Farrer Park Arena, with a total of 569 units of 3-room and 4-room flats, is offered under the Prime Location Public Housing (PLH) model. The PLH model aims to ensure that new public housing in prime and central locations remains affordable and accessible for Singaporeans. As PLH flats are priced with additional subsidies on top of the substantial market discounts applied across all BTO flats, owners of these flats will have to return six percent of the resale price or valuation (whichever is higher), upon the sale of their flats.

 

6 20 per cent of the PLH flats in Farrer Park Arena will be set aside for first-timer families; and 2 per cent for second-timer families under the Married Child Priority Scheme. This is two-thirds of the usual quotas^[1].

 

Advice to First-time Flat Buyers

 

7 As it has been several years since the last BTO launch in the towns of Bedok and Serangoon, strong demand for the BTO flats at Bedok South Blossoms and Serangoon North Vista can be expected.

 

8 Applicants who wish to improve their chances of securing a flat are encouraged to apply for a flat in the non-mature town of Tengah, where at least 95 per cent of the 4-room and bigger flats are set aside for first-timer families. All first-timer households who applied for a flat in non-mature estates have been invited to book their flat within three tries. Of these, 90% were successful within two tries.

 

9 To further increase their chances, flat applicants can look out for projects with application rates of around 1.7 and lower. With a BTO rejection rate of about 40%, applicants of such projects stand a good chance of selecting a flat. Information on application rates of each BTO project can be easily accessed on the HDB Flat Portal, and the portal is updated several times a day throughout the 7-day application window.

 

May 2023 Sale of Balance Flats Exercise

 

10 In addition to the BTO flats on offer, HDB will offer 1,500 balance flats at various locations. About 61 per cent of the flats have been completed while the rest are in various stages of construction. Like BTO flats, the SBF flats are heavily subsidised and priced considerably lower than comparable resale flats.  The starting prices before and after the EHG are set out in Table 2 below:

Table 2: Starting Flat Prices of May 2023 SBF Exercise

 

Note: *Selling prices are rounded up to the nearest thousand dollars. To check the remaining lease of each block, please refer to HDB Flat Portal.

 

^ The starting prices of the flats are based on 99-year leases/ remaining leases. For illustration purposes, the assumed EHG amounts are:
i. 2-room Flexi flat: $80,000
ii. 3-room flat: $75,000 in non-mature towns and $60,000 in mature towns
iii. 4-room flat: $60,000 in non-mature towns and $45,000 in mature towns
iv. 5-room/3Gen flat: $45,000 in non-mature towns and $30,000 in mature towns

 

The starting prices after grant amounts are illustrative, assuming that the household incomes of eligible first-time buyers of flats in the mature towns are higher. The actual grant amount received will depend on the buyers’ income and eligibility. Read more on EHG in HDB InfoWEB.

 

Application for May 2023 BTO and SBF Exercises

 

11 With the implementation of the new HDB Flat Eligibility (HFE) letter on 9 May 2023, applicants who wish to participate in the May 2023 BTO or SBF exercise will need to first complete the Preliminary HFE check (i.e. Step 1) of the HFE letter application in the HDB Flat Portal before submitting a flat application. The Preliminary HFE assessment will inform them upfront of their eligibility for a new or resale flat purchase, CPF housing grants (including the grant amount), and HDB housing loan (including the loan amount).

 

12 Flat applications can be made online via HDB Flat Portal from today (30 May 2023) to 5 Jun 2023 (Monday). Applicants can apply for only one flat type/category in one town under either the BTO or SBF exercise. There is no need to visit HDB Hub to get the information or make an application. More details on the application procedures can be found in Annex B.

 

13 All the information on the flats offered is available on the HDB Flat Portal or through scanning the QR code below.

 

14 Applicants without internet access may seek support from their family members. Those who need further assistance, such as seniors without family support, may call the HDB Sales/Resale Customer Service Line at 1800 - 866 3066.

 

Upcoming BTO Launch in August and November 2023

 

15 In August 2023, HDB will offer about 6,700 BTO flats in towns/estates such as Choa Chu Kang, Tengah, Kallang Whampoa and Queenstown. In November 2023, HDB will offer about 6,300 flats in towns/estates such as Bukit Panjang, Jurong West, Woodlands, Bedok, Bishan, Bukit Merah and Queenstown. They will be subject to review as more project details will be firmed up closer to the launch date.

 

16 HDB will continue to monitor the housing demand closely. We remain on track to launch a total of 100,000 flats from 2021 to 2025.

 

HDB | HDB Launches Nearly 7,000 Flats in May 2023 BTO and SBF Exercises. (n.d.). https://www.hdb.gov.sg/about-us/news-and-publications/press-releases/30052023-HDB-Launches-Nearly-7000-Flats-in-May-2023-BTO-and-SBF-Exercises