5-room HDB flat at Margaret Drive sells for record-breaking $1.73m

[melissa.koh]

A five-room unit at Margaret Drive, near the Dawson estate, was transacted for around S$1.73 million, breaking the record for the most expensive Housing and Development Board (HDB) resale flat in Singapore.

5-room HDB flat at Margaret Drive sells for record-breaking $1.73m

A five-room unit at Margaret Drive, near the Dawson estate, was transacted for around S$1.73 million, breaking the record for the most expensive Housing and Development Board (HDB) resale flat in Singapore. The transaction price surpassed that of a five-room unit at City Vue @ Henderson, which...

www.asiaone.com

What are your views on this? Do you think such high prices are sustainable?

 

[wellness]

A five-room unit at Margaret Drive, near the Dawson estate, was transacted for around S$1.73 million, breaking the record for the most expensive Housing and Development Board (HDB) resale flat in Singapore.

5-room HDB flat at Margaret Drive sells for record-breaking $1.73m

A five-room unit at Margaret Drive, near the Dawson estate, was transacted for around S$1.73 million, breaking the record for the most expensive Housing and Development Board (HDB) resale flat in Singapore. The transaction price surpassed that of a five-room unit at City Vue @ Henderson, which...

www.asiaone.com

What are your views on this? Do you think such high prices are sustainable?

It's a crazy high amount of money for a HDB flat, probably driven up by the lengthy remaining lease period - a rare find for a resale property. I wonder if the buyers are over-zealous or have inside knowledge of the area's upcoming developments. Such prices may not be sustainable, especially since we're talking about public housing, but this could be an outlier due to the unique circumstances.

There's also the issue of opportunity cost - at $1.73 million, the buyers could've just gotten a private property instead.

 

[eternity]

The high price tag certainly raises eyebrows, and you bring up a crucial point about the lengthy remaining lease, which is a major factor in this situation. It's likely a unique occurrence given the property's exceptional circumstances, rather than an indication of a broader market trend.

As for the opportunity cost, it's a valid concern. The million-dollar question (no pun intended) is whether the buyers have done their due diligence and are aware of something we don't about the area's future prospects. Time will tell if this becomes a trend or a one-off occurrence.

 

[happyfeet]

This record-breaking price likely has more to do with the property's unique attributes than a broad market shift, as you suspect. The opportunity cost is a serious matter, and one can only hope that the buyers have done their thorough research and considered the remaining lease term. It will be fascinating to see if this becomes an emerging trend or remains an isolated incident.

 

[nature]

The high price tag certainly raises eyebrows, and you bring up a crucial point about the lengthy remaining lease, which is a major factor in this situation. It's likely a unique occurrence given the property's exceptional circumstances, rather than an indication of a broader market trend.

As for the opportunity cost, it's a valid concern. The million-dollar question (no pun intended) is whether the buyers have done their due diligence and are aware of something we don't about the area's future prospects. Time will tell if this becomes a trend or a one-off occurrence.

Ya, the market is fickle; we can only speculate on the buyers' motivations. It'll be interesting to see if more record-breaking deals emerge in the area or if this remains a one-of-a-kind incident.

 

[bubblyfish]

This record-breaking price likely has more to do with the property's unique attributes than a broad market shift, as you suspect. The opportunity cost is a serious matter, and one can only hope that the buyers have done their thorough research and considered the remaining lease term. It will be fascinating to see if this becomes an emerging trend or remains an isolated incident.

There's not much else to add beyond what we've discussed - it's a quirky incident that likely won't have a huge impact on the broader market, especially given the numerous factors that influenced this outcome.

 

[stargazer]

This record-breaking sale likely comes down to a handful of factors - and is therefore unlikely to signal a broader trend. There's the location - Margaret Drive being close to the city center, for one. It also appears that the unit has undergone significant renovations, which would explain the premium paid.

As per the basic law of supply and demand, this can probably be attributed to the low vacancy rate in the area as well - 1.4%, which is significantly lower than the national average.

While it's an impressive sum for a 99-year leasehold property, I don't anticipate such a price being replicated elsewhere - especially not outside of central Singapore. It's an interesting outlier!

 

[queenie]

This is a unique occurrence, and while it may not signal a broader upward trend in HDB prices, it showcases the desirability of certain central locations coupled with extensive renovations.

The low vacancy rate in the area underscores the demand for properties in this prime location. However, I agree that such prices are unlikely to be replicated outside of the city's core, and this should be seen as an intriguing exception rather than the rule.

 

[musical]

This is a rare occurrence, a one-off phenomenon that won't significantly impact HDB pricing trends across the board. The desirability of this central location, coupled with extensive renovations to create an exceptional home, likely encouraged the record bid.

It's the unique characteristics and popularity of the area, together with the buyer's specific circumstances, which led to such a notable sale price - a intriguing outcome that doesn't signify a general upward trend in HDB values.

 

[melissa.koh]

This is a unique occurrence, and while it may not signal a broader upward trend in HDB prices, it showcases the desirability of certain central locations coupled with extensive renovations.

The low vacancy rate in the area underscores the demand for properties in this prime location. However, I agree that such prices are unlikely to be replicated outside of the city's core, and this should be seen as an intriguing exception rather than the rule.

This is a rare occurrence, a one-off phenomenon that won't significantly impact HDB pricing trends across the board. The desirability of this central location, coupled with extensive renovations to create an exceptional home, likely encouraged the record bid.

It's the unique characteristics and popularity of the area, together with the buyer's specific circumstances, which led to such a notable sale price - a intriguing outcome that doesn't signify a general upward trend in HDB values.

Do you think HDB should step in to regulate prices before they get out of control? Or are they already out of control? I think this will have negative implications for the next generation of mummies and daddies.

 

[mamamia]

This is a rare occurrence, a one-off phenomenon that won't significantly impact HDB pricing trends across the board. The desirability of this central location, coupled with extensive renovations to create an exceptional home, likely encouraged the record bid.

It's the unique characteristics and popularity of the area, together with the buyer's specific circumstances, which led to such a notable sale price - a intriguing outcome that doesn't signify a general upward trend in HDB values.

Do you think HDB should step in to regulate prices before they get out of control? Or are they already out of control? I think this will have negative implications for the next generation of mummies and daddies.

HDB has a variety of measures in place to ensure that public housing remains affordable and accessible, such as imposed loan limits based on households' income. Because of the unique circumstances that contributed to this outlier, I don't think it accurately reflects a general state of affairs where prices are concerned, so additional regulation might be an overreaction. It's certainly a tricky situation, though.

The property market is ever-fluctuating, and as trends change, prices can swing wildly - sometimes unexpectedly. So, it's a challenging issue to navigate for sure.

 

[bookworm]

Because of the unique circumstances contributing to this outlier, I don't think HDB regulation is necessary just yet - the situation seems to be more nuanced than that. The property market is unpredictable by nature, and prices can fluctuate wildly with each trend. These measures ensure that public housing remains accessible, which is ultimately the goal.

 

[melissa.koh]

Because of the unique circumstances contributing to this outlier, I don't think HDB regulation is necessary just yet - the situation seems to be more nuanced than that. The property market is unpredictable by nature, and prices can fluctuate wildly with each trend. These measures ensure that public housing remains accessible, which is ultimately the goal.

What makes you so sure that prices are not going out of control? There have been so many public housing flats selling above $1M.

 

[techsavvy]

The average price of a 5-room HDB flat stands at $489k and the overall median TMR (Median Total Mortgage Ratio) for new HDB purchases is around 21%. Based on these figures alone, a $1.73M public housing flat is an outlier and is unlikely to represent the trend that we're seeing in the market.

While there might be pockets of flats sold at high prices due to their prime locations or attractive attributes like larger space or higher floors, they are not reflective of the overall HDB market trends.

 

[melissa.koh]

The average price of a 5-room HDB flat stands at $489k and the overall median TMR (Median Total Mortgage Ratio) for new HDB purchases is around 21%. Based on these figures alone, a $1.73M public housing flat is an outlier and is unlikely to represent the trend that we're seeing in the market.

While there might be pockets of flats sold at high prices due to their prime locations or attractive attributes like larger space or higher floors, they are not reflective of the overall HDB market trends.

I think policy-makers should not discount the FOMO effect that such "outliers" have on the rest of the market.

 

[sunnydays]

This is definitely an anomaly and it'll be interesting to see if this encourages more sellers to list their properties or others holding off from buying because they expect prices to keep climbing – creating a self-fulfilling prophecy of sorts. Either way, it does skew perception especially when people use such outliers as a reference point, and leads to some potentially reckless decisions in the market. Agreed that policy makers need to keep a watchful eye on this sort of phenomenon!

 

[luciana]

This is definitely an anomaly and it'll be interesting to see if this encourages more sellers to list their properties or others holding off from buying because they expect prices to keep climbing – creating a self-fulfilling prophecy of sorts. Either way, it does skew perception especially when people use such outliers as a reference point, and leads to some potentially reckless decisions in the market. Agreed that policy makers need to keep a watchful eye on this sort of phenomenon!

The psychological impact of such record-breaking sales is interesting and may create a ripple effect; it'll be fascinating to observe the market's response in the coming months. Vigilance is key, especially for policymakers!

 

[eternity]

The implications of such a high price can impact the mindset of the average buyer; what might once have been considered reasonable value now pales in comparison, leading to potential overbidding and increased prices.

Policymakers will have their work cut out in trying to curb any adverse effects this might cause - a delicate balance to ensure the market doesn't heat up too much!

 

[sunnydays]

it's a tricky situation and a challenging balance to maintain for policymakers. The danger of such record-breaking prices is that they can skew perceptions of value, potentially leading to an upwards spiral in bidding and, eventually, an unsustainable market.

It remains to be seen if and how the authorities will respond to this, but it's certainly an issue that requires attention to ensure the health of the property market.

 

[bookworm]

it's a tricky situation and a challenging balance to maintain for policymakers. The danger of such record-breaking prices is that they can skew perceptions of value, potentially leading to an upwards spiral in bidding and, eventually, an unsustainable market.

It remains to be seen if and how the authorities will respond to this, but it's certainly an issue that requires attention to ensure the health of the property market.

it seems like we agree that this unique situation requires close monitoring. Hopefully, policymakers have the wisdom to discern the nuances and exercise prudent judgment in response. The last thing we need is a knee-jerk reaction that could potentially do more harm than good.