Larger BTO units heavily oversubscribed in Ang Mo Kio, Tampines
But only a fraction of the 2-room flexi flats available have takers
Home-seekers made a rush for bigger Build-To-Order (BTO) flats in the mature estates of Ang Mo Kio and Tampines in a Housing Board sales exercise that ended on Monday.
There were more than 13 first-time applicants for each of the 235 four-room flats in Ang Mo Kio, the biggest unit type in the estate. But the 87 three-room flats were less popular, attracting about only two applicants each.
It was much the same in Tampines with about 11 bids made for each of the 193 five-room flats and the 218 four-roomers. But the 90 three-room flats drew only three applicants a unit.
Competition was sparse for bigger flats in the upcoming Tengah town.
The four- and five-roomers and three-generation flats had about two applicants for each of the units.
Tengah's three-room units had an application rate of 0.7 - meaning all applicants are likely guaranteed a flat.
All the two-room flexi flats in the three estates were under-subscribed, with an application rate of 0.1 in Tengah and 0.3 in Ang Mo Kio and Tampines.
Under the two-room flexi scheme, elderly citizens have the flexibility of choosing the length of lease on their two-room flat. Those aged 55 years old and above can take up a lease of between 15 and 45 years in five-year increments.
The HDB launched 4,571 new BTO flats for sale last Tuesday in the last and biggest BTO sales exercise for the year.
Prices, excluding grants, for a four-room flat in Ang Mo Kio start from $451,000.
A five-roomer in Tampines goes from $508,000.
The sale exercise also included 3,599 units under the Sale of Balance Flats in 14 mature towns such as Bishan and Clementi and 11 non-mature towns, including Bukit Panjang and Punggol.
Eligible buyers can tap the new Enhanced CPF Housing Grant of up to $80,000, which has no restrictions on the choice of flat type and location.
Mr Nicholas Mak, head of research and consultancy at ERA Realty, said: "The raised income ceiling means that more people are now eligible to buy new flats and naturally, these families are going for bigger units.
"They can afford it and they are also aware that the capital gains on the resale market for big units are larger."