Demand for new HDB flats subsides

Demand for new public flats seem to be subsiding, two weeks after the implementation of cooling measures to curb property prices.

As of Monday, the HDB's BTO project in Yishun had attracted 3,225 applications for 1,408 flats. This is lower than the usual level recorded in recent BTO launches.

The typically more popular units - the four- and five-room units – received slightly under three applications for every unit. The 652 four-room units received a total of 1,608 applications, while the 252 five-room units received only 718 bids.

However, demand for balance flats, which offer units that are ready to move in within months, remained strong, receiving 10,968 applications for 1,624 flats available, or about seven bids for every flat.

Some industry analysts said the demand for new flats revealed that the cooling measures implemented recently have started to affect the property market. In comparison, BTO projects in the past few years have attracted six applications for every flat.

Meanwhile, HDB said it is launching a land parcel at Bedok Reservoir Crescent for sale through a public tender under the DBSS scheme. The site has a total area of 502,362 sq ft and can yield up to 430 new flats. The tender will close on November 2.