Five-room HDB flat at Tiong Bahru View sold for $1.2 million

By Amy Tan / EdgeProp Singapore | May 17, 2019 11:11 AM SGT
In April, a 1,205 sq ft, five-room, build-to-order (BTO) HDB flat at Tiong Bahru View in Bukit Merah was sold for a record $1.2 million. This is the first time that the price of a standard HDB flat surpassed non-standard flats such as Pinnacle@Duxton units, DBSS (design, build and sell scheme) units, terraces and maisonettes, according to OrangeTee & Tie (OTT).
Tiong Bahru View comprises three 40-storey and one 25/30-storey residential blocks with a total of 700 units of studio apartments and three- to five-room flats. It will reach its five-year minimum occupancy period (MOP) next year. Special approval has to be obtained from HDB for a flat to be sold prior to the end of its MOP.
This is not the first time that the sale of a five-room flat at Tiong Bahru View crossed the $1 million-dollar mark. In December, a similarly sized unit in the same block was sold for $1.15 million in a deal brokered by Cindior Ho and Edmund Tan, both associate directors at PropNex.
“Following this [$1.15 million] deal, some owners of four-room flats in the same development are expecting to sell their flats at similar price levels. However, only five-room HDB flats located on a high floor can command such prices because the valuation supports it. For four-room flats, the valuation is still around $900,000,” says Ho.
Limited resale units at Bukit Merah
The buyer of the unit, on Boon Tiong Road, is a semi-retired en bloc beneficiary looking for a replacement property. The buyer and seller of the unit declined to comment.
The view from the high floor of Tiong Bahru View
Tan reveals that the buyer was looking for a HDB flat that is within close proximity to the city as he was previously staying in the central area. “His children actually advised him against buying the flat because they were in favour of him buying a new condo for capital growth and wealth accumulation,” he says.
He adds: “Such buyers just want to buy the flat and pay for it with cash. They don’t need an exit strategy. They just want a convenient place to stay”.
According to Ho, it...