The Housing and Development Board (HDB) in Singapore has revealed plans to launch approximately 19,600 Build-To-Order (BTO) flats in 2024, spread across three sales exercises scheduled for February, June, and October.
Aligned with their previously outlined goal of offering 100,000 flats from 2021 to 2025, HDB has significantly increased BTO flat supply over the last three years, exceeding 63,000 flats. The annual figures for flat offerings were 17,100 in 2021, 23,200 in 2022, and 22,800 in 2023.
Starting in 2024, HDB will undergo a shift in the frequency of BTO launches, reducing them to three per year and introducing one Sale of Balance Flats (SBF) exercise. An SBF exercise is set for February 2024, concurrent with the BTO sales exercise. Additionally, October 2024 will see the introduction of flats under the Standard, Plus, and Prime categories.
The reduced number of BTO launches aims to provide a larger flat supply at each event, enabling applicants to choose from a wider range of flats and locations. HDB anticipates that this change will enhance the chances of applicants finding a flat that aligns with their budget and needs while minimizing overlaps between selection exercises.
The decision to decrease the number of BTO sales exercises is based on the stabilization of BTO application rates in 2023. With first-timer (FT) homebuyer application rates falling to 1.9 for all flat types, HDB notes a significant decrease from the pre-pandemic rate of 3.7 in 2019.
HDB also disclosed that over 14% (2,800) of the 19,600 new flats will be Shorter Waiting Time (SWT) flats, with a completion waiting time of less than three years—four times the number offered in 2023. The goal of launching around 2,000 to 3,000 SWT flats annually has been achieved one year ahead of schedule.
Furthermore, HDB aims to have 75% of the new flats slated for launch in 2024 with waiting times of four years or less, building on the success of close to 70% achieved in 2023. Various measures, including prioritizing construction-ready sites and breaking up larger BTO projects, are being implemented to expedite project completion and reduce waiting times.
The first BTO launch of 2024 is scheduled for February, featuring approximately 4,100 BTO flats across multiple towns, alongside about 1,500 SBF flats. As details are finalized closer to the launch date, HDB encourages potential homebuyers to apply for an HDB Flat Eligibility (HFE) letter early and submit all required documents by January 15, 2024.
