4 Bidadari flats sold above S$1 million within 2 months after MOP

A Housing and Development Board (HDB) estate in Bidadari has accounted for four million-dollar resale flat transactions, after reaching its minimum occupancy period (MOP).

These flats, from the four blocks in the Alkaff Vista Build-to-Order (BTO) project, were sold in the span of two months, from August to September.

Out of the five flats that have been sold, four have been over S$1 million.

According to 99.co, when the BTO units in Alkaff Vista were first launched, prices for 4-room units started at S$433,000.

Four million-dollar flats sold in 2 months

The most expensive sale so far in the estate was a five-room flat at Block 106A Bidadari Park Drive that changed hands for S$1.2 million in September.

It is categorised as an "improved" flat model and is situated at a mid-level in the the 17-storey building.

Three other flats were sold for more than S$1 million.

A high-floor unit at Block 106B was sold for S$1.17 million.

A unit at Block 106A between the 13th and 15th floors was sold for S$1.13 million.

A unit at Block 106B between the 10th and 12th floors was sold for S$1.08 million.

The last unit, a low-floor flat at Block 105A, was sold for S$937,500.

Alkaff Vista was completed in 2019, meaning that flats there have about 95 years left on their lease.

The Alkaff Vista estate is a five-minute walk from Potong Pasir MRT Station, and a 13-minute walk from Woodleigh MRT.

Unsurprising to find high resale prices in city fringe area

Christine Sun, chief researcher and strategist at OrangeTee Group, said in an interview with Lianhe Zaobao that most of the Bidadari resale units have fetched a per sq ft (psf) price of more than S$1,000, which reflects the strong demand from buyers.

"These prices are comparable to those of some older resale apartments," Sun added.

Sing Tien Foo, a real estate professor at the National University of Singapore (NUS), told Zaobao that the high resale prices in Bidadari are not surprising given that other BTO projects located in city fringe areas, such as Dawson Road at Queenstown, have also commanded high resale prices.

Sing noted that Bidadari is a new estate accessible to public transport, and said the price of nearby condominiums could be over S$2,000 psf, which would lead to middle-income families opting for HDB flats instead.

HDB flats with very high resale prices "a minority"

While record HDB resale prices frequently appear in headlines, units with very high resale prices make up "a very small proportion of all transactions", said Minister for National Development Desmond Lee on Aug. 20.

Such transactions make up only 0.5 per cent of all four-room or smaller flats transacted in the last two years, are very central, and are well served by transport connectivity and comprehensive amenities, he added.

Lee noted that more than half are also located on very high floors, above 30 storeys, and have good views.

However, they have caused Singaporeans to be concerned about "the affordability of resale flats as a whole":

"Flat sellers who are reading such news raise their expectations about how much the flat could bring, while flat buyers become anxious to secure flats before prices get higher.

If we are not careful, such market dynamics can cause the resale market to run out of line with economic fundamentals and cause a bubble."

Flats that cross the million-dollar mark make up about 2 per cent of all resale transactions over the last 1.5 years.

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