Demand for Build-to-Order Flats on Rise in Singapore
Demand for Build-to-Order (BTO) flats more than doubled from 2018 to last year as more couples got married and more people choose to have their own flat, Singapore’s public housing agency said on Sunday (Nov 21). The rate of increase in demand was sharper last year than in 2019, with demand for BTOs in mature estates “consistently higher” than for those in non-mature estates, added the Housing and Development Board (HDB) in a media release. Figures by the agency showed that the overall number of applications for flats rose from 38,500 in 2018 to 51,400 in 2019, and then to 87,800 in 2020. The number of applications received for each BTO flat rose from 2.6 in 2018 to 3.7 in 2019 and to 5.8 last year. The demand was driven by first-time homeowners comprising families and singles. First BTO projects under new prime location rules launched in Rochor, with prices starting at S$409,000. Applications from this group rose from 26,100 in 2018 to 55,300 last year, said HDB. Among first-timer families, the number of those who applied for a BTO flat more than doubled from 22,000 in 2018 to 51,400 last year. The rate of increase for first-timer families was sharper in 2020 than in 2019, reflecting the overall trend in BTO applications as first-timer families make up the vast majority of applicants, said HDB. Among first-timer singles, applications decreased from 4,100 in 2018 to 3,100 in 2019, but increased to 3,900 last year. The public housing agency said that the strong demand for public housing was driven by a higher number of marriages over the years, as well as a growing trend of people choosing to have their own flat. Stricter criteria for public housing in prime areas could deter some new families, say property analysts. It noted that in the last decade, the number of married couples stood at 977,300 last year, up from 880,800 a decade ago, based on census data. Between 2015 and 2019, the annual average number of Singapore citizen marriages registered was 23,600. This is higher than the annual average of 22,400 marriages registered between 2010 and 2014. HDB said that it expects higher demand for housing in the near term as larger cohorts of those born in the late 1980s or 1990s reach marriageable age. At the same time, more young couples, singles and elderly parents with adult children are choosing to have their own flats instead of living together, said HDB.
Tags : INTERNATIONAL Singapore Public Housing homeowners Build-To-Order Housing and Development Board Mature Estates