Long revered for their affordability, HDBs have slowly risen in price – today, it’s not uncommon to see one sell for close to a million dollars. In March, however, a 5-room resale flat in the Pinnacle@Duxton development sold for over $1.38M, setting a new record as the most expensive flat ever sold in Singapore.
A new sales record for resale flats in Singapore
Million dollar flats are nothing new – in 2021 alone, 261 flats broke the million dollar mark, marking the start of an age where such high sales prices no longer make the news the way they used to.
Just when we thought prices couldn’t get much higher, the sale at Pinnacle@Duxton for $1.38M showed us all that they could, bringing the top sales price closer to $1.5M, from what was previously an already impressive figure of $1M.
Image credit: @estherbunnymo
The record-breaking sale surpasses the previous record of $1.36M for a 1,292sqft, 5-room flat in Bishan, which sold in November 2021. Before that, the record was held by yet another 5-room flat in Bishan, which sold for $1.296M in July 2021.
Where is this pricey flat?
The million dollar flat in question is located in the 50-storey Pinnacle@Duxton development along Cantonment Road. This should come as no surprise – the public residential development is notoriously expensive, with the added premium attributed to its status as one of the most luxurious public housing developments in the country.
The spacious units allow homeowners plenty of freedom in designing the space.
Image for illustration only.
Image credit: @buildwith.ben
The development is unique for a couple reasons – its prime location, right by the Central Business District (CBD) makes it ideal for those working in the area, while its condo-style design and amenities such as a badminton court and multi-purpose hall make it a step up from the typical HDB.
The view from the 26th floor sky garden is one of the draws of the development.
Image credit: @ngedward
Just like its units, the development itself is record-breaking. The seven connected towers that make up the development are collectively the world’s tallest public residential buildings. Additionally, the development features the two longest sky gardens ever built on skyscrapers, each at over 500m long.
Units in the development typically start at around $900,000, so million dollar sales are not unheard of. A $1.38M sale, however, places the excess at nearly half a million.
What does it mean for future HDB sale prices?
What does this mean for HDB sale prices moving forward? Is what we’re seeing the formation of a property bubble or is this demand real and going to continue to push prices even higher?
Image credit: HDB
A quick analysis of resale price trends on the HDB resale price checker reveals that this is definitely not the end, and if anything, prices are likely to continue rising. In fact, the $1.38M flat may not be the record holder for much longer, as there is even a 1,130sqft unit listed in the same development for $1.4M right now.
But why are Singaporeans willing to pay top dollar for government housing? There are several reasons, but they all boil down to demand and supply.
With more home buyers than ever, and more HDBs being built in prime estates such as Kallang and Whampoa through the Prime Location Housing (PLH) model, we can only expect prices to rise as buyers bid for their homes, driving up prices exponentially.
Although this will take time, it is likely to continue in perpetuity, as demand will only increase while supply struggles to keep up. If you’re soon to be one of the hopeful home buyers, you’d better start saving.
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