We’re just barely a month into 2025 and it seems like the property market━coming off a stellar 2024━is already breaking all kinds of records. In the past few days alone, another significant milestone has been reached, this time involving a 5-room flat at The Peak, located in Toa Payoh.
Last year saw many record-breaking HDB flats exchange hands on the resale market, which led to concerns that the HDB market will spiral out of control, with prices out of reach for the average Singaporean. While there have been talks of cooling measures to ease the price hikes of high-value flats, stats show that HDB flats in popular locations continue to trend upwards, with more units crossing the $1M barrier.
While this latest transaction at The Peak is not the most expensive HDB flat that’s been sold, there are still many reasons as to why this transaction is worth noting, especially if you’re looking to purchase a resale flat this year.
5-room flat sold for staggering $1.6M
Here’s what we know about the flat:
Image credit: HDB
According to the HDB’s Resale Price Portal, the 117 sqm (1,259 sqft) 5-room flat, located between the 19th to 21st floors, was just sold for $1.6M in the past few days. This translates to around $1,270psf. The flat has a remaining lease of just over 86 years, which makes it a relatively young flat compared to many of its peers in Toa Payoh.
According to information that we found online, here were some of the launch prices for units at The Peak:
- 3-room flats: $355,000 – $398,000
- 4-room flats: $468,000 – $582,000
- 5-room flats: $539,000 – $698,000
- 24 “exclusive” 5-room flats: $700,000 to $722,000
We’re not quite sure if our $1.6M flat is just a regular 5-room flat or one of the 24 exclusive flats, but regardless the profit is indeed spectacular━assuming they’re the first owners of the unit. Assuming the highest launch price of $722K, that’s still more than double what they bought it for.
While this is not the most expensive HDB ever sold━the highest still stands at $1.73M for a 5-room flat at Margaret Drive━this transaction is particularly newsworthy for its price point, and for coming in second on the list of most expensive HDB units on record.
The $1.6M barrier has always been somewhat of a resistance ceiling for resale HDB transactions in the past year. In 2024, we saw many flats being sold for between $1M – $1.5M, with the highest being a $1.588M flat in Bukit Merah. We’d argue that $1.73M was somewhat of an outlier, and the general trend of such high-value flats has thus far been capped at just under the $1.6M mark.
Well, it seems like this psychological price barrier has been broken, and it’s certainly quite the way to start off 2025.
The Peak━home to multiple million-dollar flats
Image credit: Roots.sg
Eagle-eyed readers will recognise that the Block 138 Lorong 1A Toa Payoh address belongs to The Peak, which is a project that was under the now-defunct Design, Build, and Sell Scheme (DBSS). It has a total of 1,203 units, spread across seven blocks.
Unlike normal flats, DBSS projects are developments that are built by private developers. This sets them apart from regular HDB flats in aspects like external aesthetics, better overall build quality and interior furnishing. Typically, they resemble condos, which lends an element of being more premium and luxe, as is associated with condos. That said, the main driver of its value has to be its exclusivity; because DBSS flats are no longer in production, that scarcity will naturally drive up demand.
Of course, The Peak is no stranger to setting all kinds of records when it comes to resale price transactions. This time last year, it set the then-record for a similar 117sqm 5-room flat located between the 40th to 42nd floors, which was sold for $1.57M.
Over the past year, several other 5-rooms flats transacted at well over a million dollars at The Peak, reinforcing its status of commanding both high demand and intrinsic value in the market. In fact, out of the 23 $1.5M transacted sales last year, seven of them were units at The Peak, which even beat its DBSS counterparts in other estates.
Fantastic location with abundance of amenities and schools
Image credit: JGP Architecture
Apart from being a DBSS flat, there are plenty of other reasons which contribute to the overall appeal and demand for units at The Peak.
As you know, Toa Payoh is classified as being under the Core Central Region (CCR) of Singapore. Properties in this region tend to be priced higher, mainly because of its centrality and how easy it is for people to travel to and from other parts of Singapore. And with a mature estate like Toa Payoh, there is certainly no short supply of amenities, schools, and other lifestyle options that you would find when living there.
Public transport-wise, you’re just a short walk away from Braddell and Toa Payoh MRT Stations, otherwise there are plenty of bus services that ply routes in and around the estate. There are also quite a handful of schools across various age groups in close proximity to the development, such as CHIJ Toa Payoh, Kheng Cheng School, Toa Payoh Methodist Preschool and more, which will be a draw for families with young children.
In terms of amenities, you have the main Toa Payoh Central which is just a short walk or bus ride away. Otherwise, Toa Payoh is home to many smaller mamak shops and hardware stores peppered around the estate at the void decks of HDBs.
Where do we go from here?
It’s hard to say where the market will head from here, because it is still early days given how recent the latest $1.6M transaction was. Based on our checks, we’ve found a handful of listings for 5-room flats at The Peak going for $1.55M, but that could just mean that the market hasn’t reacted to it yet.
What is perhaps likely to happen is that since the $1.6M price barrier has been crossed, we are likely to see several more of such transactions eventually hitting the market. After all, both agents and owners alike will likely list similar flats at just over $1.6M to further test the market response at this price point. If buyers do bite, then the perceived value for such flats will naturally trend upwards and make $1.6M the new norm. The flats that are likely to move would be those situated on the higher floors, or those with a more favourable orientation.
Another huge factor to take into consideration is that The Orie, the first private condo project in Toa Payoh in eight years, will be built just across the road from The Peak. The latter will definitely benefit from The Orie coming up, because of the close association between DBSS flats and private condos.
Read more about record breaking HDB transactions:
Feature image adapted from:
Drop us your email so you won't miss the latest news.
