THE SELECTION CRITERIA OF HDB RESALE FLATS

Abstract

High-rise, high-density living in flats built by the Housing and Development Board (HDB) is a common phenomenon in Singapore today. The provision of low-cost HDB flats has attracted a high demand for these flats, this being attributed to the fact that the majority of the population find the flat units affordable. To keep pace with the increasing demand, the HDB has stepped up its housing construction programme over the years. It is, however, interesting to note that the demand for second-hand HDB flats (HDB resale flats) has also been increasing. Although one of the main reasons for the switch to HDB resale flats could be the shortage in supply of new flats in popular localities, other possible reasons cannot be overlooked. The significant role played by the HDB resale market stimulated an interest to make a study into the resale activities of HDB flats. The HDB resale flats usually command higher prices than the posted prices of new flats. However, purchasers of resale flats are often prepared to pay for this difference in price. Although price may be a major consideration for many, it is definitely no longer the sole consideration. The desire to examine other possible factors influencing the purchaser's choice prompted a research into this area by the use of the Statistical Analysis System (SAS) programme.