Debated in Parliament on 8 Apr 2013.
Mr Png Eng Huat asked the Minister for National Development what are the average price ranges for new 3-room, 4-room and 5-room flats within the same mature and non-mature estates 12 months before and after HDB de-linked BTO flat prices from resale market prices.
Mdm Speaker, as I said, we have stabilised BTO flat prices by delinking them from the resale market. This is done by increasing the Government subsidy so that BTO flat prices do not follow the same extent of resale price increases. Let me illustrate with examples in three towns: Punggol, Sengkang and Tampines. These are the three towns where we have launched a good supply of BTO flats since 2010 and, therefore, they have comparative pricing data as requested by the Member.
Page: 26
In Punggol, 3-room BTO flat prices were between $150,000 and $210,000 in 2010, and remained the same in 2011 and 2012. Four-room flat prices were between $240,000 and $330,000 in 2010. They increased slightly to between $260,000 and $340,000 in 2011 and stayed at that level in 2012. Five-room flat prices were between $330,000 and $410,000 in 2010 and remained stable in 2011 and 2012.
In Sengkang, 3-room flat prices were between $120,000 and $170,000 in 2010, increased to between $130,000 and $210,000 in 2011, and stabilised at between $150,000 and $190,000 in 2012. Four-room prices were between $200,000 and $280,000 in 2010, increased to between $230,000 and $340,000 in 2011 and remained at that level in 2012. Five-room prices were between $280,000 and $350,000 in 2010, increased to between $290,000 and $420,000 in 2011 and moderated to between $280,000 and $410,000 in 2012. I am sorry for presenting so much data, but that is at the request of the Member.
In Tampines, a mature estate, we did not have a BTO launch in 2010. But because this is the only mature estate where there are some comparative data, I have to quote Tampines as an example. Flat prices for projects launched in 2011 and 2012 were similar: between $180,000 and $240,000 for a 3-room flat, between $290,000 and $360,000 for a 4-room flat, and between $370,000 and $440,000 for a 5-room flat.
The BTO prices are not identical as every BTO project is unique, with differences in location and flat attributes. But by and large, we have kept the BTO prices steady, even though resale prices have risen. And we will continue to do so, until the market stabilises.
PAPERCUTS