A jumbo HDB flat in Woodlands transacted for $1.15 million in the resale market last month, setting a new record for the district in the process.
According to Shin Min Daily News, the 1,905 sq ft unit was the most expensive HDB flat sold in a non-mature estate for the month of July.
And based on statistics, Shin Min also found that a flat of the same size just three floors down at Block 816 Woodlands St 82 was sold for $930,000 in the same month — a whopping difference of about $220,000.
Why the disparity?
Analysts whom Shin Min Daily News spoke to shared several reasons, including the interior decoration and how well the flat is maintained.
They pointed out that while aesthetics may be subjective, an appreciative buyer would be more willing to offer a good price for a better decorated flat to save on renovation and design costs.
Nicholas Mak, chief research officer of real estate platform Mogul.sg, shared how in addition to the interior design, having good-quality furniture and electrical appliances bundled with the flat may also bump up the selling price.
Director of Altitude Real Estate, Lin Jincai (transliteration), told Shin Min that some buyers may resist buying units sitting on lower floors, such as those from the second to fourth floors, and would not mind paying more for units on a higher level.
Shin Min reported that the Woodlands district has already seen a total of 17 million-dollar HDB flats change hands, with the first to emerge in May 2022.
But one commonality among all these flats is that they are jumbo units of at least 1,894 sq ft, with the biggest flat measuring at 2,067 sq ft.
Lim shared that for July's record-breaking flat, the block is close to amenities such as the MRT station as well as the Woodlands town centre. In addition, the rarity of jumbo flats means that it comes at a premium, and buyers who enjoy a large living area would be willing to foot a higher price for such units.
According to the Chinese daily, the Toa Payoh district has continued to see the emergence of more million-dollar HDB flats.
Based on the statistics for July, the most expensive flat sold was in Toa Payoh — a five-room flat under the Design, Build and Sell Scheme (DBSS), priced at $1.38 million.
The second-highest transaction was for another five-room unit in the same block, sold for around $1.33 million.
A four-room flat at Block 131A Toa Payoh Lorong 1 also set a new record by breaching the million-dollar mark, transacting at $1.1 million — $50,000 more than the previous transacted price for a four-room flat in the area.