Strong demand for new HDB flats

Demand for new flats remains strong, as the latest sales launch by HDB closes with at least six applicants for every flat on offer.

HDB received 8,967 applications for 1,429 flats at Punggol Waves and Punggol Emerald as of 5pm yesterday. Applications for the two projects launched in April closed last night.

With 4,648 applications for 609 flats offered, or over seven bids for each flat, four-room flats proved the most popular among homebuyers. Five-room flats also attracted 2,810 applicants for 431 flats, or six bids for each.

According to several housing analysts, the application numbers showed that demand for public housing have hovered at high levels, particularly for new flats. This level of demand reflects that of the previous launch of HDB at Sembawang and Sengkang, where 5,015 applications were received for 828 new flats.

Demand is likely to stay at such levels for the entire year, as homebuyers turn from the resale flat market to HDB, added by analysts. Resale flat prices are at record levels, and property agencies said that it is too early to measure the impact of the recent measures introduced by the government to cool down the property market.

The newest developments presented by HDB – Punggol Waves and Punggol Emerald – offer homes ranging from five-room flats to studio apartments. Studio apartments attracted 773 applicants for 188 flats, while there were 736 applicants for 201 three-room flats. According to HDB, it plans to release 12,000 additional flats from Q1 to Q3 of 2010 amid robust buyer demand.