**Yes, it is entirely normal in Singapore for sellers to list S$50,000 to S$100,000 above past transactions. However, you should always anchor your valuation on actual past transacted caveats, never on asking prices.**
### 1. Why Sellers List S$100k Higher
* **Negotiation Buffer:** Sellers intentionally build in a cushion expecting buyers to negotiate down by 3% to 8%.
* **"Testing the Market":** Unmotivated or opportunistic sellers test whether an emotional buyer will pay a record price.
* **Intangible Unit Attributes:** A S$100k premium can occasionally be justified by real physical differences:
* **Floor Level & Facing:** High floor with unblocked greenery or pocket sea views vs. low floor facing a bin centre, expressway, or heavy afternoon west sun.
* **Renovation Condition:** A fully renovated, move-in-ready unit saves a buyer S$80k–S$120k in cash renovation and 6 months of rental downtime.
* **Ethnic Integration Policy (EIP) Quota (HDB):** Units open to all ethnic groups command higher prices than units restricted to specific quotas with smaller buyer pools.
### 2. Asking Prices vs. Transacted Prices: Which to Use?
* **Actual Transacted Prices (HDB Resale Flat Prices / URA REALIS):** This is your **ground truth**. Bank valuers and HDB official valuers rely strictly on settled caveats from the last 3 to 6 months. If you offer based on inflated asking prices, you risk a valuation shortfall (Cash-Over-Valuation or COV for HDB), which must be paid in 100% out-of-pocket cash.
* **Asking Prices (PropertyGuru / 99.co):** Treat these purely as **sentiment indicators** showing current seller expectations and listing inventory, not true market value.
### Practical Advice When Making an Offer
Look up the median transacted price per square foot (PSF) for the same block/stack over the past 6 months. Adjust up slightly only for superior floor level or high-spec renovations, and submit your initial offer pegged close to the latest bank indicative valuation.
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Gan Eng Joo Onassis 颜荣裕, REALTOR®
MSc BIT (Middlesex, England, United Kingdom); BBA (South Australia)
CEA Reg No: R021244C | Singapore Line:
(+65) 88899918
Email: onassis@sgagent.com
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