Are public resale flats under threat from the massive wave of BTO units?

Here’s how to keep buyers interested.

Households looking to sell their HDB flats will face stiff competition in coming months, with a total of 12,000 Build-to-Order (BTO) flats set to be launched in November.

But should resellers be threatened by the supply glut? Not really, says Ismail Gafoor, CEO of PropNex Realty.

“I personally think that the impact on resale flats will be marginal, given the outlying towns of Bidadari, Bukit Batok, Choa Chu Kang, Hougang, Punggol Northshore and Sengkang in the upcoming launch, the buoyant HDB resale market with competitive prices and No or Low Cash Over Valuation, some homebuyers may still opt to purchase a resale flat,” he said.

The bumper crop of BTO and Sale of Balance Flats in November is to meet the increase in the demand for such public housings especially after the implementation of the new 2R Flexi Scheme, an increase in the income ceiling, and enhancements to the Special CPF Housing Grant (SHG).

“I think it is a good idea to merge the two launches into one mega launch in November, as the overall supply of 25,000 flats for this year is not changed (even there is a bumper crop this November) and the same group and number of homebuyers will now have more choices and a higher chance of getting their dream home in the upcoming November launch,” he noted.