Latest news with #MohanSandrasegeran
AsiaOne
22-07-2025
- Business
- AsiaOne
'Not surprising': Experts on 4-room HDB unit in Clementi sold for $1.28m, Singapore News
A 4-room Housing Board flat in Clementi recently sold at a whopping price of $1.28 million ($1,278 psf), but experts are not surprised. Located at Block 445B Clementi Ave 3, the unit is part of Clementi Crest, a HDB complex that reached its Minimum Occupancy Period just earlier this year. The unit spans 1,001 sq ft and is situated between the 34th and 36th floors — on the upper end of the 40-storey block. With a remaining lease period of 94 years and 11 months, the unit is the second 4-room flat in Clementi to be sold at a price above $1.2 million in July, according to a caveat search on the Urban Redevelopment Authority (URA) website. With an original price at approximately $478,000, the record sale could have resulted in a profit of $802,000 for the flat's owner, an increase of around 167.8 per cent, according to High price due to combination of factors Speaking to AsiaOne, Mohan Sandrasegeran, Head of Research & Data Analytics at Singapore Realtors Inc, said that the high price fetched by this Clementi Crest unit is likely due to the "unique attributes of the flat". He attributed the million dollar price tag to three factors — location, age and high floor. "Its location is a major draw," Mohan said, citing the unit's close proximity to both Clementi MRT station and Clementi Bus Interchange, which are a mere four-minute walk away. Residents also have "seamless access to transport, retail, and dining options", with Clementi Market and Hawker Centre, Clementi Mall and Grantral Mall @ Clementi within a stone's throw. Mohan also said that the unit is located within a "mature estate", with its vicinity to amenities such as ActiveSG Sports Centre, childcare centres and four primary schools such as Nan Hua Primary School and Clementi Primary School within a 1km radius. As Clementi Crest is a relatively new development, owners with long-term plans to live in the unit will also be drawn by the 94 years left on its lease. Additionally, being located above the 30th floor offers unblocked views and added privacy, he said. 'Million dollar flat is here to stay' Nicholas Mak, chief research officer of real estate platform told AsiaOne that the high price of the Clementi flat is "not surprising" considering its exceptional qualities, echoing similar sentiments to Mohan. "The million dollar flat is here to stay," he said, adding that the number of 4-room resale flats being sold for over $1 million has been rising since 2024, though million dollar resale units are more likely seen in 5-room or executive flats. Demand for resale flats will always persist despite the recent ramp-up in Build-To-Order (BTO) and Sale of Balance Flats supply, said Mak. Permanent Residents are only eligible to buy resale units, while Singaporeans with "urgent needs", who are unwilling to wait for BTO units, may also be more interested in resale units. At the same time, the supply of resale flats is less elastic than the demand — while supply increases slowly, demand can change much faster, which will subsequently drive prices up. HDB resale market 'gradually stabilising': Experts Experts said the high prices of resale flats is not a cause for concern, and that it is important to view them in context. "We cannot take one or a few examples and then say that, you know, all flats are expensive," said Mak, adding that the "median prices of HDB flats in Singapore, actually, even resale flats, are still within quite affordable levels for most Singaporeans". According to Mohan, the Clementi Crest unit is one of the few outliers due to "exceptional attributes", citing 4-room resale data from that shows how "about 94.3 per cent of all HDB resale transactions in the first seven months of 2025 were in the $400,000 to below $1 million range". Resale prices also rose by 0.9 per cent in the second quarter of 2025, following a 1.6 per cent increase in the first quarter, marking a "continued moderation" that suggests "signs of stabilisation" within the HDB resale market. The resale market is further poised to stabilise with greater quantities of BTO flats and the rollout of shorter waiting time flats to ease competition, said Mohan. "While some resale flats with exceptional attributes will still command high prices, the broader market is seeing more balanced conditions thanks to the Government's calibrated housing supply strategies," he said. [[nid:719344]]
Yahoo
03-07-2025
- Business
- Yahoo
1 in 4 appeals to waive HDB wait-out period for private home owners approved since Sept 2022
SINGAPORE - About one in four appeals from private property owners seeking to bypass the 15-month wait-out period to buy a Housing Board resale flat has been successful, the Housing Board said. From the time the rule was introduced on Sept 30, 2022, until March 31, 2025, HDB received and processed about 5,500 appeals for a waiver. Around 25 per cent of these were approved after careful assessment of each case. Extenuating circumstances of the flat buyers and their families are taken into account 'to ensure that applicants and families with genuine needs are given fair consideration', a spokeswoman for HDB told The Straits Times. When asked, the HDB did not specify the typical reasons cited in appeals and the criteria used to assess them. The 15-month wait-out period was part of a series of measures introduced to help cool the HDB resale market, which was heating up partly due to demand from private property downgraders flush with capital. It also helps to prioritise public housing for Singaporeans with more urgent housing needs, HDB said. The rule applies to private property owners and former owners looking to buy a non-subsidised HDB resale flat. It does not apply to those aged 55 and above who are buying a four-room or smaller resale flat. National Development Minister Chee Hong Tat said recently that the rule may be relaxed before 2027, due to an expected rise in supply of new and resale flats. The HDB spokeswoman said there are early signs of moderation in resale price growth. 'We expect the market to further stabilise as more flats reach the Minimum Occupation Period (MOP) and enter the resale market over the next few years starting from 2026,' she said. 'We will also maintain a strong supply of Build-To-Order (BTO) flats to meet housing demand.' Since the rule took effect, analysts have noted a marked impact on the resale market, particularly on larger flats. Mr Mohan Sandrasegeran, head of research and data analytics at real estate firm Singapore Realtors Inc, noted that the number of five-room flats resold dropped by 22.5 per cent to 1,482 units between January and March 2025, compared with 1,913 units resold from July to September 2022, just before the 15-month wait-out period kicked in. Executive flats saw a steeper dip of 32.1 per cent in transactions between the two periods. The figures suggest that the wait-out rule has helped dampen demand from private property downgraders to some extent, said Mr Mohan. He added that the latest flash estimates for April to June 2025 released by HDB on July 1 showed resale flat prices continuing to moderate, rising by 2.5 per cent in the first half of 2025 compared with 4.2 per cent in the same period in 2024. While the rule has helped cool demand, some private home owners facing unexpected life changes – such as job loss or financial strain – could benefit from more flexibility, said property analysts. Mr Eugene Lim, key executive officer at real estate agency ERA Singapore, said the HDB resale price index (RPI) slowed after the 15-month wait-out rule took effect on Sept 30, 2022, but picked up once eligible private home sellers re-entered the market in the first quarter of 2024. Resale transactions rose to 7,068 units from January to March 2024, with the RPI climbing 1.8 per cent quarter on quarter. The index rose another 2.3 per cent in the second quarter of 2024, which was close to the 2.6 per cent gain seen in July to September 2022 before the rule was introduced. Growth eased to 1.6 per cent in the first three months of 2025, likely due to the February 2025 Sale of Balance Flats (SBF) exercise absorbing some demand, said Mr Lim. He has also observed that price growth in the HDB resale market has been increasingly driven by buyers favouring newer flats with longer remaining leases. This preference, especially among home owners looking to move to a flat that better suits their needs, has led to a divergence in price trends between 'younger' and 'older' flats. The agency's analysis showed that unit prices of newer flats – typically, those under 25 years old – have seen stronger appreciation compared with those of older flats. Mr Lim said lease decay concerns among home buyers have contributed to the faster appreciation for newer units, which are often priced at a premium. Lease decay is the erosion of a flat's value as the end of its 99-year lease approaches. He added that such buyer behaviour is independent of any possible revision to the 15-month wait-out policy, and he expects it to remain a key driver of overall price trends. Between 2025 and 2027, more than 50,000 flats will be launched by HDB, including a growing number of Shorter Waiting Time flats and SBF, which will help to absorb demand that might otherwise flow into the resale market, said Mr Mohan. More flats will also hit the market as they complete their MOP – a mandatory stay period (typically five years) before owners are allowed to sell them on the resale market. About 13,500 flats will reach their MOP in 2026, up from 8,000 in 2025. In 2028, this will rise to 19,500 flats. Mr Chee said he expects that the effect of a strong continued supply of new BTO flats and resale units would moderate resale prices, making it timely for the authorities to consider if the 15-month cooling measure should be partially or entirely removed. Source: The Straits Times © SPH Media Limited. Permission required for reproduction Discover how to enjoy other premium articles here
