Everything About the Feb 2024 BTO Exercise, Comprising 1 Prime Location BTO

Couples, it’s time to perk your ears, sit up straight and listen up again!

The Housing Development Board (HDB) has once again opened its doors to Singaporeans in search of affordable housing solutions with the launch of the February 2024 Build-To-Order (BTO) and Sale of Balance Flats (SBF) exercises.

Both exercises offer a total of 5,714 flats for sale, catering to the diverse housing needs of every Singaporean resident.

Here is a comprehensive breakdown on all the information that was released by HDB on 21 February 2024:

Total Number of Flats for Sale

Amongst the 5,714 flats available for sale, there are 4,126 BTO flats across seven new projects spread across different estates. 1,588 SBF units are also up for grabs, situated across various towns and estates.

Notably, more than 80% of the BTO flats launched have a waiting time of less than 3.5 years, offering prospective homeowners the promise of quicker access to their new homes.

This marks the very first BTO launch of the year, and with a total of three BTO launches planned for 2024, homebuyers can anticipate a substantial housing supply, alongside a wider selection of flats and locations at each launch, says HDB.

The reduction in the number of BTO launches from four to three allows for a more significant inventory of flats and a less congested application process, providing applicants with increased opportunities to secure a flat that aligns with their budget and preferences.

Furthermore, the extended gap between sales launches is anticipated to offer applicants a higher level of certainty in their housing selection process.

In an effort to empower applicants to make informed decisions, HDB has extended the application window from 7 to 8 days, effective from the February 2024 BTO exercise. This additional time will enable potential homeowners to carefully evaluate their options and select the most suitable housing solution for their needs.

All Project Locations and Flat Types

The seven BTO projects unveiled in the February 2024 exercise span across various locations, including Bedok, Choa Chu Kang, Hougang, Punggol, Queenstown, and Woodlands.

These projects offer a diverse range of flat types, ranging from 2-room to 5-room units, ensuring that there is something for everyone. Moreover, all new flats are competitively priced with significant market discounts to ensure affordability.

In this launch, five out of the seven BTO projects, or more than 80% of the available BTO flats, boast a waiting time of less than 3 and a half years. For flat buyers eager to move in sooner are encouraged to apply for flats in Bedok, Hougang, Punggol, and Woodlands.

First-time families can stand to benefit from the Enhanced CPF Housing Grant (EHG) of up to S$80,000. With it, eligible buyers can secure a 3-room flat in non-mature estates like Choa Chu Kang for $127,000 or a 4-room flat for $240,000, and service their monthly mortgage payments using their CPF contributions without the use of cash payments.

In mature estates like Bedok, flat prices after grants start from $406,000 for a 4-room unit. Details of the price breakdown can be found in the table below, rounded to the nearest thousand dollars:

As seen from above, these prices are considerably lower than comparable resale flats, ensuring that homeownership remains within reach for many Singaporean families.

The starting prices of the flats are typically based on 99-year leases, unless otherwise specified. For clarity, the assumed Enhanced CPF Housing Grant (EHG) amounts are as follows:

• $80,000 for 2-room Flexi flats
• $75,000 for 3-room flats in non-mature towns
• $60,000 for 4-room flats in non-mature towns, and $45,000 in mature towns and the Prime Location Public Housing Model
• $45,000 for 5-room flats in non-mature towns, and $30,000 in mature towns

These prices encompass the costs of floor finishes, internal doors, and sanitary fittings, ensuring transparency in the pricing structure for prospective buyers.

To note, however: The starting prices after grant amounts serve as illustrations on the assumption that the household incomes of eligible first-time buyers of flats in mature towns are higher. It’s essential to note that the actual grant amount disbursed will depend on the buyers’ income levels and eligibility criteria.

Prime Location Public Housing

Tanglin Halt Courtyard adopts the Prime Location Public Housing (PLH) model, offering flats at rates lower than comparable resale flats taking into consideration location, individual flat attributes, and market conditions, ensuring affordability through subsidies atop existing market discounts. 

While these flats command higher market values due to their prime locations, they are priced to remain affordable for a wider range of Singaporeans. However, owners of PLH flats will be required to return 8% of the resale price or valuation upon the sale of their flats.

Moreover, due to the intricacies involved in constructing a high-rise development spanning 48 storeys, this project entails the longest waiting time among those launched in this cycle.

20% of the PLH flats in Tanglin Halt Courtyard are reserved for first-timer families, while 2% are allocated for second-timer families under the Married Child Priority Scheme. This constitutes two-thirds of the typical quota for BTO flats in mature estates.

HDB’s Advice for Prospective Flat-buyers

According to current regulations effective since the October 2023 BTO sales exercise, BTO/SBF applicants who secure a queue position within the flat supply (e.g., in the December 2023 BTO exercise) cannot apply for a flat in subsequent BTO/SBF exercises (e.g., in the February 2024 BTO/SBF exercises) until after their flat booking appointment.

This rule aims to prevent these applicants from overshadowing others who have not secured a queue position. HDB encourages all flat applicants to carefully deliberate on when to apply for a new flat and to proceed with booking when invited to do so.

To enhance their prospects of securing a flat, applicants are advised to consider applying for flats in non-mature towns, where at least 95% of the 4-room and larger flats are allocated for first-timer families.

Additionally, applicants should seek out projects with lower application rates to boost their chances further. Information regarding the application rates of each BTO project is accessible on the HDB Flat Portal, which undergoes updates multiple times daily throughout the 8-day application window.

It is strongly encouraged that applicants meticulously plan their finances and carefully select a flat that aligns with their budget, requirements, and preferences.

Sale of Balance Flats Exercise

The February 2024 SBF exercise offers 1,588 flats at various locations, with 12% of the flats completed while the rest are in various stages of construction.

Similar to BTO flats, prices of SBF flats are heavily subsidised and start significantly lower than comparable resale flats. You can refer to the prices of SBF flats below, before and after the EHG, rounded to the nearest thousand dollars:

The starting prices of the flats are primarily based on 99-year leases or remaining leases unless specified otherwise. The Enhanced CPF Housing Grant (EHG) amounts, for illustrative purposes, vary according to flat type:

• Community Care Apartment: $80,000
• 2-room Flexi flat: $80,000
• 3-room flat: $75,000 in non-mature towns and $60,000 in mature towns
• 4-room flat: $60,000 in non-mature towns and $45,000 in mature towns
• 5-room flat: $45,000 in non-mature towns and $30,000 in mature towns

To note: The prices of Community Care Apartments (CCAs) cover the expenses for pre-installed senior-friendly fittings and features. However, they do not encompass the costs associated with the mandatory Basic Service Package or optional services.

Application for the February 2024 BTO and SBF Exercises

Applicants seeking to participate in the February 2024 BTO and SBF exercises must possess a valid HDB Flat Eligibility (HFE) letter when submitting their flat application. 

The application period runs from 21 to 28 February 2024, and interested parties may apply online through the HDB Flat Portal.

Applicants are restricted to applying for only one flat type/category in one town under either the BTO or SBF exercise.

HDB employs a computer ballot system for shortlisting, not on a first-come-first-served basis. Hence, there’s no urgency to submit applications within the initial days; they can apply anytime within the 8-day period.

Applicants without Internet access may seek support from their family members. Those who need further assistance, such as seniors without family support, may call the HDB Sales/Resale Customer Service Line at 1800 – 866 3066.

Upcoming BTO Exercise in June and Future Plans

In June 2024, HDB plans to release approximately 6,800 flats in Jurong East, Kallang/Whampoa, Queenstown, Tampines, Woodlands, and Yishun.

The supply is subject to review as project details are finalised closer to the launch date. Interested flat buyers must possess a valid HDB Flat Eligibility (HFE) letter to apply.

HDB advises all prospective buyers to secure their HFE letters early and submit all necessary documents by 15 May 2024, if they intend to participate in the June 2024 sales launch.

HDB remains steadfast in its commitment to offering affordable and accessible housing options to buyers. The organisation will diligently monitor housing demand and make necessary adjustments to meet the needs of Singaporeans.

HDB foresees launching a total of 100,000 flats from 2021 to 2025, ensuring that housing remains accessible and attainable for all.