Tuesday, July 14, 2009

HDB flat prices likely to rise if selected for lift upgrading


Source : Channel NewsAsia – 14 Jul 2009

Property agents said on Tuesday that flat prices in opposition-held wards, Hougang and Potong Pasir, are likely to rise if they are selected for lift upgrading.

This is after the government announced on Monday that the two are among the 65 precincts in Singapore that are eligible for the popular improvement programme this financial year.

Selected precincts will be announced in two to three months. Once their lifts are upgraded, realtors said flat owners would have more bargaining power to demand more cash over the valuation price.

They estimated that this cash amount over valuation could double from the current S$5,000 to S$10,000.

Hougang and Potong Pasir have a total of 120 blocks of flats that do not have lifts on every floor.

Some agents whom Channel NewsAsia spoke to said flats in opposition wards currently sell for 10 to 15 per cent less than other flats. But with lift upgrading in a year or two, the price gap would narrow.

David Poh, senior group district director, PropNex, said: “After they are upgraded, I think it’ll be good news to residents. Property prices will start to rise slightly, in the region of maybe 5 per cent.”


No comments: