Number of public housing resale flats hitting $1 million mark in 2017

Well, time and again I’ve been hearing noises coming from different groups of people lamenting about the “high prized” HDB resale flats. Their grumbles were mostly either having missed the chances of purchasing first hand from the Housing Development Board (HDB) or facing certain financial difficulties during that very moment for a “reasonably priced” HDB resale unit (hoping for a neat profit at a later stage).

Let’s have a look at where it is happening now instead. Shall we?

There were 19 units in 2016 and having more than doubled to a total of 42 HDB resale flats crossing the S$1 million mark this year. The most expensive public housing resale flat in 2017 is no doubt from our most iconic The Pinnacle @ Duxton, a five-room unit there transacted at the price of $1.14 million. It works out to be $988 per square foot, a PSF price “similar” to many private residential properties. Beating the previous $981 per square foot recorded in 2016.

Advancing closely from behind is another five-room unit from Natura Loft in Bishan. It was transacted for a record breaking $1.18 million (in dollar value) in February this year. It is slightly larger in size as compared to the resale unit at The Pinnacle thus having a lower per square foot of $913.

Where are they located then?

WEST – Higher Million Dollar resale flats were found in 441A Clementi Ave 3 and Toh Yi Drive.

NORTH EAST – Higher Million Dollar resale flats were found in 186 & 190 Bishan Street 13 and Natura Loft.

CENTRAL – Higher Million Dollar resale flats were found in The Pinnacle @ Duxton, The Peak @ Toa Payoh and Mei Ling Street.

top 3 resale hdb flats above million dollar

Unsurprisingly, Natura Loft at Bishan has the most number of resale flats resold above a million in 2017, outpacing The Pinnacle @ Duxton by 2 more units. They have the same characteristics in terms of locale, easy access to their kid’s educational needs and other conveniences too. Peeps, are you thinking those homeowners are holding on for an even higher price to cash out or they simply love living there?

hdb resale flats above 1 million

If you’re not aware, The Peak, Natura Loft and City View @ Boon Keng belongs to Design, Build and Sell Scheme (DBSS) category. Theoretically speaking, they should command a premium against conventional HDB flats as they were built to “condo standard homes” (minus facilities) by private developers.

All of them has a common identity, being central, central enough, nice view, spacious enough, in close-proximity to somewhere and easy access to somewhere else. The only exception lies on The Pinnacle @ Duxton as it is not categorized under DBSS but a luxury public housing development sitting right smack in the heart of Tanjong Pagar. Some even went to the extent of saying it was the last present from our late Mr Lee Kuan Yew to residents of Tanjong Pagar which is under his helm for a few decades. Please do not question me on this, I’m only quoting based on hearsay too!

But with such an excellent locale, I’m sure it won’t come as a surprise that it smashes the million-dollar mark time and again. If you’re wondering how much it cost initially? Here you go, $345,000 to $439,000 for a five-room there.

However, not all who meets the basic criteria will be able to fetch such a high price and these transactions are certainly not representing the future HDB resale market. Going forward and by looking at the figures, there are only over 60 such residential units changing hands for the past 2 years. Such transactions will surely increase over the years but at a slow and moderate pace as not all of them are gunning for a handsome profit now.

Even when that happens, you need to have a mutually agreeable buyer to purchase them at over a million dollar to match. Without that, all is nothing. Why worry?

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