<![CDATA[The ticking time bomb of the 99-year-leasehold HDB flats]]>Guess the only way for seniors to monetise their flat is to rent it, according to HDB


—————————————
We thank Mr Ronnie Lim Ah Bee for his letter (Seniors facing problems selling old flats; April 3).

The saleability of an HDB flat is dependent on many factors and not just the length of the lease. Other factors include location, the amenities in the neighbourhood and the physical condition of the flat.

While there has been some softening of prices in the HDB resale market, the overall transaction volumes remain fairly stable. Last year, the median resale prices of four-room flats with less than 60 years’ lease remaining were $430,000 in the mature estates and $306,000 in the non-mature estates.


The sales proceeds are more than sufficient to cover the typical price of a new two-room flexi flat. Such a flat is currently priced at around $150,000 in the mature estates, and $90,000 in the non-mature estates, for a 40-year lease. The prices are lower for two-room flexi flats with shorter leases.

Besides downsizing, seniors can also consider other ways to monetise their existing flats. They can rent out spare bedrooms, or live with their children and rent out their whole flat. Those living in four-room or smaller flats can also consider selling part of the lease back to HDB under the Lease Buyback Scheme.

Wen-Tan Hui Kuan (Mrs)




Ag Director (Resale)

]]>https://forum.kiasuparents.com/topic/91029/the-ticking-time-bomb-of-the-99-year-leasehold-hdb-flatsRSS for NodeWed, 06 May 2026 01:00:31 GMTMon, 23 Apr 2018 23:49:32 GMT60<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Tue, 17 Apr 2018 02:32:45 GMT]]>

Nebbermind:
thsheng99:

Best to pay a little more for FH. Peace of mind


That's for private props.

For hdb, then no choice.
I believe as long as you donch buy overpriced resale, it's gonna be ok.

Just sharing..when we look ard for pte 5-7yr ago, MANY MANY people, & agents(who are friends/relatives),
LAUGHed(yes, Laughed) & say we think too far & too much for trying to find a FH (tough to be within our budget)..
say no need pay so much for FH,& leasehold good enough why pay more etc etc..somehow we just don't really agree..& were not convinced..

& we always wonder, UNTIL NOW, why there is so much hype at those new leasehold condo+EC launch,
which are more ex than what we finally bought , much smaller(we felt so clautrophobic at their showrooms!!),
some at inconvenient location(ours next to a new mrt , &just 5 stations away from my gal's school within 20min),
& may even have limitation of 1 car park lot per household+not enough visitor car park lots.. :slapshead:

NOW, we are SO glad & relieved that we did not follow the crowd blindly...
If we cannot afford/find a FH within our budget, we would not have bought at all..
(not saying that it is easy on us financially, it is a stretch but i cannot imagine
after slogging to pay so much for a leasehold pte property
& it will simply \"disappear' from u/when it reach my descendants' hands, if no enbloc opportunity comes along..
JUST thinking of that makes my heart feel super pain...coz it's real HARDearned $ :moneyflies: )

the only explanation for hype for new leasehold condo, i can think of is, youngsters love NEW things, including house, obviously..
BUt amongst my peers & cousins(similar age range), all also went for NEW, smaller, leasehold which are more ex than our FH..so i think nothing to do with age?? 🤷
Well...To each his own..Just make sure consider carefully,know what u are paying for,what u are in for, & no regrets over decision.. :siam:

]]>https://forum.kiasuparents.com/post/1843364https://forum.kiasuparents.com/post/1843364Tue, 17 Apr 2018 02:32:45 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Tue, 17 Apr 2018 01:27:05 GMT]]>I guess the space is very charming. Some people are willing and able to pay for a lifestyle and their source of income is not from properties.

]]>https://forum.kiasuparents.com/post/1843341https://forum.kiasuparents.com/post/1843341Tue, 17 Apr 2018 01:27:05 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Tue, 17 Apr 2018 01:15:35 GMT]]>

floppy:

If you are referring to those along Stirling Road, 2 years ago, 1 unit was sold for $980,000. Most are still going for around $900,000 today.

IMHO, that’s terrible value for money for an ‘asset’ with around 40 years to go (unless you are gambling on them being chosen for ‘SERS’).
why would anyone pay so much money for such an old house? taking a gamble on SERS is too risky unless one has insider news :evil:

]]>https://forum.kiasuparents.com/post/1843335https://forum.kiasuparents.com/post/1843335Tue, 17 Apr 2018 01:15:35 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Tue, 17 Apr 2018 01:13:21 GMT]]>

thsheng99:
Another enbloc : Faber Garden in Upper Thomson up for collective sale at S$1.18 billion. Think this is the fifth or sixth enbloc for private property within these couple of months


Tulip Gardens in Holland last wed.. average 1 enbloc every 2 weeks....

Look like election will be announce soon 😄
it's really enbloc fever going on.
tulip gardens have been aiming for this several times. it's a big and estate.
residents can get a tidy amount starting from $4.3m but they can forget about staying in district 10 unless they are willing to make do with a small unit.
d' leedon is super expensive.

]]>https://forum.kiasuparents.com/post/1843333https://forum.kiasuparents.com/post/1843333Tue, 17 Apr 2018 01:13:21 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 14:32:48 GMT]]>

love1001:
Maybe this kind is more worth it than the 50 years at Stirling Road.


30 Years:
https://www.propertyguru.com.sg/listing/hdb-for-sale-452-sin-ming-avenue-21238302

https://www.propertyguru.com.sg/listing/hdb-for-sale-286-bishan-street-24-21203039
Some of these appeal to those original owners of enbloc privatised hudc/condo. Big windfall and looking for a replacement with equally large space, almost as old and still have loads of cash to spare after buying.

]]>https://forum.kiasuparents.com/post/1843317https://forum.kiasuparents.com/post/1843317Mon, 16 Apr 2018 14:32:48 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 14:25:33 GMT]]>Maybe this kind is more worth it than the 50 years at Stirling Road.


30 Years:
https://www.propertyguru.com.sg/listing/hdb-for-sale-452-sin-ming-avenue-21238302

https://www.propertyguru.com.sg/listing/hdb-for-sale-286-bishan-street-24-21203039

]]>https://forum.kiasuparents.com/post/1843315https://forum.kiasuparents.com/post/1843315Mon, 16 Apr 2018 14:25:33 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 14:18:59 GMT]]>Another enbloc : Faber Garden in Upper Thomson up for collective sale at S$1.18 billion. Think this is the fifth or sixth enbloc for private property within these couple of months


Tulip Gardens in Holland last wed.. average 1 enbloc every 2 weeks....

Look like election will be announce soon 😄

]]>https://forum.kiasuparents.com/post/1843314https://forum.kiasuparents.com/post/1843314Mon, 16 Apr 2018 14:18:59 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 14:00:23 GMT]]>

love1001:
Nebbermind:


Q'town hdb terrace houses...like 50 yrs old going for $800k to 900k. Can buy?

HDB就如女人。40来岁的人家都不想要，嫌她老了。Low value. 所谓50-60岁的，你说呢？ :siam:

If you are referring to those along Stirling Road, 2 years ago, 1 unit was sold for $980,000. Most are still going for around $900,000 today.

IMHO, that’s terrible value for money for an ‘asset’ with around 40 years to go (unless you are gambling on them being chosen for ‘SERS’).

]]>https://forum.kiasuparents.com/post/1843312https://forum.kiasuparents.com/post/1843312Mon, 16 Apr 2018 14:00:23 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 13:44:28 GMT]]>

Nebbermind:

Q'town hdb terrace houses...like 50 yrs old going for $800k to 900k. Can buy?
HDB就如女人。40来岁的人家都不想要，嫌她老了。Low value. 所谓50-60岁的，你说呢？ :siam:

]]>https://forum.kiasuparents.com/post/1843309https://forum.kiasuparents.com/post/1843309Mon, 16 Apr 2018 13:44:28 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 10:59:23 GMT]]>You can second guess what will happen when it's your turn based on this precedent that will take place in our lifetime.


http://www.straitstimes.com/singapore/housing/geylang-private-homes-to-be-returned-to-the-state-when-leases-expire-in-2020-no

Hopefully, the govt of the day- when your 99yr lease is up - will instruct your MP and SLA to assist you during the transition and relocation.


From MP Yaacob Ibrahim's Facebook on his residents affected by this:

\"Owners of the terrace houses at Lorong 3 Geylang were informed that they would need to vacate their properties and return the land to the State when the lease runs out on 31 December 2020.

While the policy is to recover State land upon the lease expiry, I am glad that the relevant agencies will be facilitating the families and occupants to relocate. Singapore Land Authority (SLA) will assign an officer to each owner to guide him or her over the next three and a half years.

Most of the owners have already moved out of their units. For those who are still staying at Lorong 3 Geylang, they have various housing options and schemes that they can consider, if they do not already have their own plan. Owners who need help can approach the SLA officer. Similarly, the other occupants will be guided to relocate their tenants or activities.

My grassroots leaders and I are paying close attention to the developments and we will also render our assistance to facilitate residents’ relocation.\"

]]>https://forum.kiasuparents.com/post/1843294https://forum.kiasuparents.com/post/1843294Mon, 16 Apr 2018 10:59:23 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 10:35:09 GMT]]>

love1001:
In conclusion, unless extremely enticing, one should be extra careful not to purchase a flat that is close to 35 years. Imagine the moment you stay for 5 years and try to re-sell, it already hit the big 40 and it is going to be extremely challenging.


I realize property agents do not even indicate age of flat when they list the unit in property guru, especially those in mature estate.
Q'town hdb terrace houses...like 50 yrs old going for $800k to 900k. Can buy?

]]>https://forum.kiasuparents.com/post/1843292https://forum.kiasuparents.com/post/1843292Mon, 16 Apr 2018 10:35:09 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 10:20:31 GMT]]>In conclusion, unless extremely enticing, one should be extra careful not to purchase a flat that is close to 35 years. Imagine the moment you stay for 5 years and try to re-sell, it already hit the big 40 and it is going to be extremely challenging.


I realize property agents do not even indicate age of flat when they list the unit in property guru, especially those in mature estate.

]]>https://forum.kiasuparents.com/post/1843283https://forum.kiasuparents.com/post/1843283Mon, 16 Apr 2018 10:20:31 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 09:59:00 GMT]]>

mummychua:


other than those development that got en-bloc, i have never heard of pte condo getting a lease extension. correct me if im wrong.

it is possible for those underdeveloped plots to be en-bloc, but what about those that had max out their plot ratio? which developer will en-bloc them 20-30yrs down the road?

the use of cpf and the amt of bank loan is the same for the purchase of old leasehold condo and hdb.
You are not wrong about not hearing of pte condo getting a lease extension.
Probably due to a combination of factors:
1. None is at risk of running out of their lease... yet. Oldest probably still has 50(?) more years to go.
2. Most at-risk has chosen the enbloc route (and let someone deal with the problem). Pearl Bank Apartments is probably one such example. I suspect others like Golden Mile Complex, The Plaza, Hillcrest Arcadia, etc would be taking this route (if they haven't) as well.

As for which developer will en-bloc those that had max out their plot ratio 20-30yrs down the road? The developer that can get a good bargain out of them. If profit = revenue less cost, as long as the cost of redevelopment is reasonable, it's always possible. While owners shouldn't be expecting a profit in such cases (and why it makes no sense for owners to run down the lease), it is about mitigating their losses (compared that vs zero when lease runs out).

]]>https://forum.kiasuparents.com/post/1843275https://forum.kiasuparents.com/post/1843275Mon, 16 Apr 2018 09:59:00 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 09:14:38 GMT]]>

floppy:
mummychua:

by the way we have 99yr leasehold pte condo too. for these ppl their loss is even bigger.

On private property, it depends. Private property owners have several tools at their disposal which is not available to HDB ‘owners’ which can effectively mitigate their losses.

Firstly, there’s the enbloc tool. As long as private property owners don’t wait till the lease on the land runs low (e.g. < ~ 50 years), they can, collectively, opt to sell their property - something that HDB dwellers can’t decide on their own.

Secondly, developers can opt to top up the lease to 99 years by paying all the relevant charges as long as it makes economic sense to do so. Developer would be less concerned about paying high if they can effectively sell higher (say hi to new citizens / immigrants and investors who love Singapore).

Third option is probably the owner’s nuclear option. If the private property gets too old and too expensive to maintain, there is less incentive for private owners to continue to own / maintain it to a very high standard (see Pearl Bank Apartments). HDB, being public housing, the G LPPL has to maintain it. If the threat of urban blight increases, the G of the day will probably have to incentivize developers to buy / redevelop and for owners to sell.

other than those development that got en-bloc, i have never heard of pte condo getting a lease extension. correct me if im wrong.

it is possible for those underdeveloped plots to be en-bloc, but what about those that had max out their plot ratio? which developer will en-bloc them 20-30yrs down the road?

the use of cpf and the amt of bank loan is the same for the purchase of old leasehold condo and hdb.

]]>https://forum.kiasuparents.com/post/1843263https://forum.kiasuparents.com/post/1843263Mon, 16 Apr 2018 09:14:38 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 07:15:15 GMT]]>Funny that HDB RESALE prices have fallen but condo resale price is going up and up

————————————————-
HDB resale prices have fallen for six consecutive quarters: Flash data from the HDB showed that resale flat prices fell 0.8 per cent in the first quarter of this year from the previous quarter, a faster rate of decline compared to the 0.2 per cent drop seen in the last three months of 2017.

As of December 2016, there were a total of about one million HDB flats in Singapore. Among these, about 7 per cent were at least 40 years old. Another 29 per cent were between 30 and 40 years old, HDB had previously said.

Singapore’s oldest estates include Queenstown, Tanjong Pagar and Bedok South. Most, if not all, the older HDB flats have at least 40 years of the 99-year lease remaining, and there is still a resale value, analysts had noted.


https://www.todayonline.com/singapor...-will-not-last

]]>https://forum.kiasuparents.com/post/1843242https://forum.kiasuparents.com/post/1843242Mon, 16 Apr 2018 07:15:15 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 06:22:35 GMT]]>https://imgur.com/H1BPdDY.png\">


https://www.prolificskins.com/forum/current-affairs/40-years-old-hdb-flats-resale-price-collapse

]]>https://forum.kiasuparents.com/post/1843225https://forum.kiasuparents.com/post/1843225Mon, 16 Apr 2018 06:22:35 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 01:16:50 GMT]]>

mummychua:
by the way we have 99yr leasehold pte condo too. for these ppl their loss is even bigger.
On private property, it depends. Private property owners have several tools at their disposal which is not available to HDB ‘owners’ which can effectively mitigate their losses.

Firstly, there’s the enbloc tool. As long as private property owners don’t wait till the lease on the land runs low (e.g. < ~ 50 years), they can, collectively, opt to sell their property - something that HDB dwellers can’t decide on their own.

Secondly, developers can opt to top up the lease to 99 years by paying all the relevant charges as long as it makes economic sense to do so. Developer would be less concerned about paying high if they can effectively sell higher (say hi to new citizens / immigrants and investors who love Singapore).

Third option is probably the owner’s nuclear option. If the private property gets too old and too expensive to maintain, there is less incentive for private owners to continue to own / maintain it to a very high standard (see Pearl Bank Apartments). HDB, being public housing, the G LPPL has to maintain it. If the threat of urban blight increases, the G of the day will probably have to incentivize developers to buy / redevelop and for owners to sell.

]]>https://forum.kiasuparents.com/post/1843142https://forum.kiasuparents.com/post/1843142Mon, 16 Apr 2018 01:16:50 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 01:08:36 GMT]]>

Cloud Cloud:

Youngsters now tend to spend on luxurious wedding. I recently attended a wedding banquet which cost the couple about $80k. I thought the money could have been used to clear part of the housing loan.

My neighbour (bought bto 10 years back) told me she cleared her loan within 7 years. She then quit her job to be sahm.
given the job insecurity now, it's really risky to take mortgage stretched to the max.
buying a flat which costs $700K onwards without parents' help means the couple will be a slave to the flat.
neither can quit...especially the wife if she decides to be a SAHM to attend to the kids.

true, not many beyond 99...but after some time, people may want to have a change of environment. for those who buy 99 lease hold condo, it will be harder to sell.

]]>https://forum.kiasuparents.com/post/1843141https://forum.kiasuparents.com/post/1843141Mon, 16 Apr 2018 01:08:36 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 01:08:10 GMT]]>

mummychua:
by the way we have 99yr leasehold pte condo too. for these ppl their loss is even bigger.


everyone in Singapore see property as a way to get rich. it might be true 20, 30yrs ago but it is hardly true now. with the price so high, how much higher can regular Singaporean afford to pay?
The size of the unit has been shrinking to maintain affordability. However the psf has been climbing steadily over the years. The recent splat of enblocs has caused it to rise even more steeply. Areas like Bukit Timah already surpased $2000psq and still going up quickly

]]>https://forum.kiasuparents.com/post/1843140https://forum.kiasuparents.com/post/1843140Mon, 16 Apr 2018 01:08:10 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 00:54:50 GMT]]>by the way we have 99yr leasehold pte condo too. for these ppl their loss is even bigger.


everyone in Singapore see property as a way to get rich. it might be true 20, 30yrs ago but it is hardly true now. with the price so high, how much higher can regular Singaporean afford to pay?

]]>https://forum.kiasuparents.com/post/1843137https://forum.kiasuparents.com/post/1843137Mon, 16 Apr 2018 00:54:50 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 00:48:37 GMT]]>Dont forget that the 99yrs lease starts when the developer acquire the land, not when it TOP or collect your keys. Many people forget about this pt

]]>https://forum.kiasuparents.com/post/1843136https://forum.kiasuparents.com/post/1843136Mon, 16 Apr 2018 00:48:37 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 00:37:20 GMT]]>Well, I think everything has to be taken in context. The original buyers of a bto in a new-ish town will usually be able to get a reasonable profit since they bought it with subsidies, and with time, amenities improve and make the location more attractive. So there is reasonable appreciation in value in the first 30 years.


The whole thing starts to fall apart when people begin overpaying the premium simply because everyone else is doing so :? without taking into account their actual circumstances (eg some take it as renting considering location eg proximity to workplace and relatives, and their earnings) and looking at the facts (proper price comparison, years left, opportunity cost, economic cycle and property cycle etc). I cannot tell you how many times I have heard people saying they are paying what to me is an eye-watering amount for a resale in a popular old town simply because that is the going rate. Just because it is the going rate doesn't mean it makes sense. :slapshead:

]]>https://forum.kiasuparents.com/post/1843135https://forum.kiasuparents.com/post/1843135Mon, 16 Apr 2018 00:37:20 GMT<![CDATA[Reply to The ticking time bomb of the 99-year-leasehold HDB flats on Mon, 16 Apr 2018 00:06:23 GMT]]>https://kenjeyaretnam.com/2018/04/13/i-was-saying-publicly-as-long-ago-as-the-2011-ge-that-paps-asset-enhancement-scheme-was-a-scam-whatever-the-independent-and-others-may-claim/


Written by a fellow who has probably very low EQ, zero leadership qualities but unquestionably economic credentials.

P/S: Then again, I think anyone with basic economic background (apart from the diehard supporters in FAP) would have realized the fallacy of an asset enhancement scheme aeon ago.

]]>https://forum.kiasuparents.com/post/1843134https://forum.kiasuparents.com/post/1843134Mon, 16 Apr 2018 00:06:23 GMT