Newly MOP-ed flats appeal to largely to younger families or singles who want a new home without the wait.
With the Singapore government recently announcing an increase in grants for first-time buyers of resale HDB flats, we expect at least some home-seekers to set their sights (i.e. budgets) higher when home hunting. In the coming months, we could be seeing a boost in demand for newer HDB flats – especially projects that have recently attained their Minimum Occupation Period (MOP).
Why buy a newly MOP-ed HDB resale flat?
Under HDB regulations, owners must live in a newly-bought HDB flat for five years before they are allowed to sell their property – a move intended to curb speculation and ‘flipping’. This applies to both Build-to-Order (BTO) and resale flats.
For BTO projects, the entire cluster of blocks will tend to hit MOP at around the same time. Once this happens, there will inevitably be a handful of first-time owners looking to cash in a profit for their unit, thanks to the below-market-value price of flats sold in BTO sales launches.
With around 94 out of 99-years of lease remaining, newly MOP-ed flats certainly appeal to buyers, especially among younger families and singles alike who want a new flat without the wait, while getting a remaining lease that can last their lifetimes with potential for upside in a 5- to 15-year time frame.
At the very least, the newer a flat, the more resilient its value would be even if the economy or the property market doesn’t do so well in the same time period.
So even though newly MOP-ed HDB flats command a significant price premium over older flats, there are still buyers able and willing to pay the extra money. This is the case with Clementi, where new flats typically command a 50% price premium or more compared to older flats:
Source: 99.co’s Researcher tool
Keen to scope out which new HDB projects have reached their MOPs? We’ve compiled a list for you:
West Region
Newly MOP-ed HDB #1: Boon Lay Fields
Proof that a good location does not necessarily have to mean “walking distance to MRT”
Town: Jurong West
Number of units: 491
Unit types: 3-room, 4-room, 5-room
BTO launch price (4-room): $270,000 – $321,000
Average listed price (4-room): $494,000
Number of units: 491
Unit types: 3-room, 4-room, 5-room
BTO launch price (4-room): $270,000 – $321,000
Average listed price (4-room): $494,000
What’s hot:
What’s not:
View all Boon Lay Fields units for sale
North Region
Newly MOP-ed HDB #2: Montreal Ville
A recreational haven for those who love peace and quiet
Town: Sembawang
Number of units: 578
Unit types: 2-room, 3-room, 4-room
BTO launch price (4-room): $255,000 – $310,000
Average listed price (4-room): $425,000
Number of units: 578
Unit types: 2-room, 3-room, 4-room
BTO launch price (4-room): $255,000 – $310,000
Average listed price (4-room): $425,000
What’s hot:
What’s not:
View all Montreal Ville units for sale
Newly MOP-ed HDB #3: Yishun Riverwalk
A large development with childcare facilities
Town: Yishun
Number of units: 1,408
Unit types: Studio, 3-room, 4-room, 5-room
BTO launch price (4-room): $214,000 – $268,000
Average listed price (4-room): $420,000
Number of units: 1,408
Unit types: Studio, 3-room, 4-room, 5-room
BTO launch price (4-room): $214,000 – $268,000
Average listed price (4-room): $420,000
What’s hot:
What’s not:
View all Yishun Riverwalk units for sale
East Region
Newly MOP-ed HDB #4: Costa Ris
Pasir Ris Town’s one and only BTO project so far
Town: Pasir Ris
Number of units: 1,386
Unit types: 2-room, 3-room, 4-room, 5-room
BTO launch price (4-room): $294,000 – $347,000
Average listed price (4-room): $550,000
Number of units: 1,386
Unit types: 2-room, 3-room, 4-room, 5-room
BTO launch price (4-room): $294,000 – $347,000
Average listed price (4-room): $550,000
What’s hot:
What’s not:
View all Costa Ris units for sale
Newly MOP-ed HDB #5: Tampines Greenleaf
No other BTO project is as near to Tampines Town Centre as this
Town: Tampines
Number of units: 960
Unit types: 2-room, 3-room, 4-room, 5-room
BTO launch price (4-room): $320,000 – $361,000
Average listed price (4-room): $595,000
Number of units: 960
Unit types: 2-room, 3-room, 4-room, 5-room
BTO launch price (4-room): $320,000 – $361,000
Average listed price (4-room): $595,000
What’s hot:
What’s not:
View all Tampines Greenleaf units for sale
North-East Region
Newly MOP-ed HDB #6: Punggol Emerald
A development with ample communal landscaped spaces and within touching distance of Punggol MRT station
Town: Punggol
Number of units: 856
Unit types: 2-room, 3-room, 4-room, 5-room
BTO launch price (4-room): $262,000 – $323,000
Average listed price (4-room): $505,000
Number of units: 856
Unit types: 2-room, 3-room, 4-room, 5-room
BTO launch price (4-room): $262,000 – $323,000
Average listed price (4-room): $505,000
What’s hot:
What’s not:
View all Punggol Emerald units for sale
Newly MOP-ed HDB #7: Fernvale Riverbow
An idyllic setting along Sungei Punggol, a legit river (not a longkang)
Town: Sengkang
Number of units: 1,154
Unit types: 3-room, 4-room, 5-room
BTO launch price (4-room): $246,000 – $315,000
Average listed price (4-room): $460,000
Number of units: 1,154
Unit types: 3-room, 4-room, 5-room
BTO launch price (4-room): $246,000 – $315,000
Average listed price (4-room): $460,000
What’s hot:
What’s not:
View all Fernvale Riverbow units for sale
Source: 99.co