HDB Launches Over 10,000 Flats in February, but Supply Remains Tight Amid Strong Demand
Singapore’s Housing and Development Board (HDB) has launched 10,622 flats in its February 2025 sales exercise, comprising 5,032 Build-To-Order (BTO) units across five projects and a record-breaking 5,500 Sale of Balance Flats (SBF). Despite this substantial launch, the numbers fall short of alleviating the ongoing supply crunch as demand for public housing continues to surge.
The current market remains tight, with rising resale prices and an increasing pool of first-time buyers struggling to secure affordable homes. While the government has ramped up BTO supply in recent years, the pace still lags behind the growing demand, particularly from young couples and singles eager to secure housing.
Fewer Flats, Longer Wait Times
One of the key concerns in this launch is the limited supply relative to demand. Many applicants face stiff competition, especially for mature estate flats in Queenstown and Kallang/Whampoa, where availability remains scarce. Even in non-mature estates like Yishun and Woodlands, demand is expected to outstrip supply due to affordability concerns in the resale market.
Adding to the challenge, while some projects—like Chencharu Vines and Chencharu Green in Yishun—offer relatively shorter waiting times of just over three years, many homebuyers still face a waiting period of up to four years before they can move in. For those needing homes urgently, this remains a significant hurdle.
Resale Market Pressures to Continue
With limited supply and high competition for BTO flats, many potential homeowners are turning to the HDB resale market, further driving up prices. Resale flat prices have been on a steady climb, hitting record highs in recent years due to pent-up demand. The government’s Plus and Prime housing models may help manage future resale price increases, but for now, buyers seeking immediate housing options have few alternatives.
More Supply Needed to Ease Demand
Despite efforts to increase BTO supply, demand continues to outstrip available units. Singapore’s growing population, coupled with shifting housing preferences, means that more frequent and larger-scale launches may be necessary to stabilize the market. Until then, first-time buyers will continue to face intense competition, long waiting times, and increasing financial pressure in the resale market.
✅ Key Takeaways:
- 10,622 flats launched in February 2025, but supply remains tight.
- High competition expected for mature estate BTO flats.
- Waiting times of up to four years continue to be a challenge for buyers.
- Resale prices likely to stay high as more buyers turn away from limited BTO options.
- More supply is needed to ease demand pressures and stabilize prices.
Let me know if you'd like any refinements!