HDB plans to offer over 10,000 new flats to meet demands
By Wong Siew Ying, Channel NewsAsia | Posted: 28 November 2007 2134 hrs

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	Related News • HDB's plan to release more flats will take some heat off housing market

SINGAPORE : The Housing and Development Board (HDB) is building up the supply of new flats by 10,362 units to meet rising demand.

These will cut across different flat types and suit different budgets, said National Development Minister Mah Bow Tan.

For a start, two new Built-To-Order (BTO) projects have been launched in Sengkang and Bukit Panjang.

The new Compassvale Beacon in Sengkang will offer 750 flats, comprising 2, 3 and 4-room units, while the other BTO project is the 412-unit Segar Meadows in Bukit Panjang.

The BTO exercise will end on December 18.

Priced between S$69,000 and S$231,000, the two projects will help address housing needs, especially those of young couples.

This is good news for 26-year-old Mohammad Harris, who is looking to buy his first flat but could not afford a resale unit.

He said: "As long as I can get a house for myself and my family, it's okay. But my wife will consider the journey time to her workplace."

"The new flats will give me more options and I can select based on my budget," said Chong Poh Ying, also a first-time flat buyer.

Separately, the HDB plans to build another 6,000 units under its BTO system in the first half of next year.

The total number of flats offered under BTO this year is 4,800 units, double that of last year.

The National Development minister urged buyers not to be too choosy when offered a new flat.

"Be realistic about the chances of getting a flat. If you need a new flat, please take up the new flat even if it's not something you like, even if it's not ideal for you. Take it up and then gradually over time, you may upgrade to the flat that you like," said Mr Mah.

Those looking for premium flats will also have more choices.

Given its success, the HDB will release four more sites for its Design, Build and Sell Scheme for about another 1,900 new units.

The first, at Bishan Street 24, will be launched next month. Those in Simei Road, Lorong 1A Toa Payoh and Bedok Reservoir Crescent will be offered next year.

In addition, another three executive condominium sites comprising some 1,300 units will be progressively released under the Reserve List of the government land sales programme.

These will be in Yishun Avenue 11, Jurong West Street 42 and Seng Kang East Avenue.

Mr Mah also addressed concerns about flat prices.

"For HDB, the market has moved in recent months, but it hasn't moved to the extent of the private (market). Just looking at the numbers, I don't see any bubble forming at the HDB market. For a start, it's a bigger market and it's a much more stable market. The growth that we are seeing is a healthy one, in the resale market," said the National Development minister.

In view of the construction boom, Mr Mah said the rising construction costs will not have a direct impact on the prices of new HDB flats, as they are pegged to the average resale market prices. He also assured that the HDB flats will remain affordable.

As for the lower income families, Mr Mah said they've been helped by various schemes.

Among them, the Additional CPF Housing Grant which has provided S$50 million to 4,100 households. - CNA /ls