Property or home realtors with Singapore get yet for any cancelled prior sale submissions for resale flats following the announcement of bigger housing grants for first-time HDB buyers in the Budget reading on Monday.
Finance Minister Heng Swee Keat had announced in Parliament that young couples buying a resale HDB flat for the first time will be enjoying higher subsidies of up to S$50, 000.
And with the additional CPF Housing and Proximity Housing grants, it would mean getting up to S$110, 000 in subsidies. Unfortunately, those who made transactions before the announcement had fallen to the wayside.
Eugene Lim, the key executive officer of ERA Realty Network, told The Business Times that the number of resale flats bought by first-timers in the last week “were very few or none at all as there was a BTO (Build To Order) launch ongoing”.
Mr Lim said demand for BTO flats among first timers will continue to be resilient.
Even with additional grants, not all new buyers will turn towards resale flats as there is a price difference between new BTO and resale flats.
BTO prices are generally lower, with some cheaper by about 30 per cent. Also, the surplus BTO flats can always be relaunched as Sales of Balance flat with a shorter completion period, and these will always have a stronger demand.
“Even with the new grant amounts for resale flats, BTO flats are still the more economical option. For instance, 4-room Punggol flats in the latest BTO sales launch were priced from S$257, 000 onwards. Comparable resale flats were transacted at price ranges from S$360, 000, micron Mr Lim said.
Secondhand flats give greater mobility and selections in terms of site and less longing time for partners to move into their particular homes and never having to wait for years for the completion of all their BTO residences.
“Part with the government’s reasoning (to supply a higher homes grant) would give newbies home potential buyers more possibilities when it comes to obtaining their initially home. Likewise, as you can find limited area to build innovative flats on mature locations, this greater grant volume will help to generate flats during these areas inexpensive, ” Mister Lim increased.
Responding to issues by BT, the Homes and Advancement Board (HDB) said the improved CPF Homes Grant will probably apply to entitled resale ripped applications “received on or right after 3. 30pm, Feb twenty, 2017”.
“It will not be put in place retrospectively. People with ongoing ventures can strategy HDB pertaining to assistance, micron its spokesman said.