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Subscription rates up for July's BTO exercise

Analysts say this is partly due to the strong response for units in the mature town of Toa Payoh, where new BTO projects are rare. 

SINGAPORE: Applications for HDB's latest Build-To-Order (BTO) exercise close at midnight. As of 5pm, the overall subscription rates of 3.4 are up compared to the previous launch in May. The overall application rate was 2.1 during the May launch, 2.9 in March and 3.7 in January.

Analysts attribute this to the strong response for units in the mature town of Toa Payoh, where new BTO projects are rare. The Toa Payoh units on offer were oversubscribed - especially by second time applicants.

As of 5pm, there were about 43 second-timers applying for each three-room unit. For four-room flats, there were close to 49 second-time applicants per unit. Only 5 per cent of flats are allocated to second-timers in mature estates.

Overall, demand for two-room flats in Yishun was the highest - with about 10 people applying for each unit. This is largely due to the overwhelming response from singles - around 30 singles applied for each available unit. Only 120 two-room flats are on offer in the project, and 30 per cent are set aside for singles.

Another closely watched project is Kampung Admiralty - an upcoming mixed development in Woodlands. It has 104 studio apartments designed for the elderly on offer. As of 5pm, there were close to six applicants for each available studio apartment.

In this month’s exercise, 3,841 flats were launched. They are spread across five projects in Punggol, Sembawang, Woodlands, Yishun and Toa Payoh.

Analysts say although this month's BTO launch is more heavily subscribed , subscription rates for second-timers are still higher than first-time applicants.

With signs that first-timers have been largely taken care of, they add the Government could consider gradually adjusting the quota to allocate more units to second-time applicants.

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