Is Your HDB Flat Worth $1 Million? The Reality Behind High-Value HDB Transactions
Forget the ghouls and shadows lurking in corridors — this Halloween, Singapore homeowners are haunted by something scarier than any ghost: the fear of not selling their HDB flat for a cool million dollars.
Recently, I had the opportunity to meet with several homeowners, introducing them to our new tool, HomerAI. This app offers insights into home valuations, tracks transaction histories, and lets owners assess their financial prospects in one go. While many of them were thrilled to see their valuation appreciate from their original purchase price, others were haunted by a figure that was nowhere near a million dollars.
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The mirage of the million-dollar HDB sale
It’s understandable, I suppose. There’s a certain kind of magic to that million-dollar price tag, especially when it’s been dangled in front of us by every recent property headline.
Over the last few years, the number of HDB flats sold for over a million dollars has steadily climbed, setting new records almost annually.
Million-dollar HDB flats by flat type
*The total number of million-dollar HDB transactions in 2024 is current as of year-to-date.
Million-dollar HDB flats from 2012 to H1 2024
These record-breaking figures have fuelled a wider belief that a million-dollar sale is within reach for any homeowner.
However, the reality is that only a tiny fraction of HDB flats can, and will, reach this seven-figure selling price. Data shows that specific trends set these high-value transactions apart from the rest.
Million-dollar HDB trends
#1: Larger units
Among million-dollar sales, spacious flats dominate. Buyers in this price range overwhelmingly prioritise room to grow, especially with larger layouts such as 5-room, Executive, and Multi-Generation units leading the charge. Here’s how they break down:
5-room flats average 116.8 sq m, with transaction prices around $1.159 million.
Address | Resale Date | Area (sq m) | Price |
|---|---|---|---|
96A Henderson Road | Jun 1, 2024 | 113 | $1,588,000 |
126A Kim Tian Road | Sep 1, 2024 | 113 | $1,580,000 |
139A Lorong 1a Toa Payoh | Jan 1, 2024 | 117 | $1,568,888 |
275A Bishan Street 24 | Jul 1, 2024 | 120 | $1,568,000 |
138C Lorong 1a Toa Payoh | Jan 1, 2024 | 117 | $1,540,000 |
Executive flats offer even more space, averaging 152.2 sq m at $1.095 million.
Address | Resale Date | Area (sq m) | Price |
|---|---|---|---|
447 Bright Hill Drive | Jun 1, 2024 | 174 | $1,480,000 |
278 Bishan Street 24 | Sep 1, 2023 | 172 | $1,450,000 |
241 Bishan Street 22 | May 1, 2024 | 141 | $1,448,000 |
102 Bishan Street 12 | Jan 1, 2024 | 163 | $1,380,000 |
6 Toh Yi Drive | Sep 1, 2024 | 146 | $1,370,000 |
Multi-Generation units top the list at 172.5 sq m with prices around $1.07 million.
Address | Resale Date | Area (sq m) | Price |
|---|---|---|---|
666 Yishun Avenue 4 | Jan 1, 2023 | 179 | $1,080,000 |
666 Yishun Avenue 4 | Oct 1, 2022 | 164 | $1,062,500 |
454 Tampines Street 42 | Mar 1, 2024 | 166 | $1,060,000 |
This demand for larger layouts underscores a buyer preference for adaptable spaces that accommodate family needs, privacy, and future growth.
#2: Flexible layouts and privacy
Clearly, it’s not only about the square footage but also the layout’s ability to support evolving family needs. Executive and 5-room flats are especially popular among high-value transactions, as they offer versatile configurations with additional rooms.
The flexibility appeals to families who prioritise privacy and the option to adapt spaces for different uses over time. The data reflects this, with Executive and 5-room flats fetching average prices of $1.095 million and $1.159 million, respectively.
#3: Prime location
Million-dollar flats are almost exclusively found in prime, central locations or mature estates like Queenstown and Bishan. These areas command higher prices due to their well-established amenities, connectivity, and lifestyle conveniences. Buyers seeking both accessibility and comfort are willing to pay a premium to secure a home in these highly desirable areas, where the full package of location benefits justifies the higher price tags. In some cases, even smaller units like 4-room flats in these areas can reach the million-dollar mark, showing that location can sometimes outweigh size.
Read More: Location is Still King in the Oct 2024 BTO Race – Or Is It?
The dangers of the million-dollar HDB dream
Holding out for a million-dollar HDB sale is like waiting for lightning to strike twice. Even as property values are driven upwards by demand, the government has steadily introduced cooling measures, such as Additional Buyer’s Stamp Duty (ABSD) and tighter loan limits, to curb speculative buying and temper price hikes. These efforts aim to keep the market stable and realistic, ensuring that dream prices don’t become a source of financial disappointment.
Holding out for a million-dollar sale can also backfire. Owners who insist on inflated asking prices might find themselves sitting on a property that doesn’t sell, especially with cooling measures and rising interest rates narrowing the pool of buyers. This fixation can lead to disappointment, missed profits, and even financial stagnation if the market slows down.
And perhaps worst of all, waiting for a million-dollar offer can mean missing out on a solid profit today. Recent reports from the National University of Singapore’s Institute of Real Estate and Urban Studies (IREUS) indicate that while prices have stabilised somewhat, the property market remains unpredictable. Those holding out for peak prices may watch profits slip away if demand cools down.
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Time to bust the million-dollar myth
So it’s time we face reality: selling an HDB flat for a million is possible, but for the vast majority, it’s not probable. Also, if you turn down a solid offer because you're holding out for a million that may never come, you risk missing the true value of homeownership: stability, security, and financial growth.
The value of a property is always relative — the best return is one that aligns with your needs and goals, not with headlines or myths.
Get real value with Ohmyhome and HomerAI
At Ohmyhome, we believe in helping you find the value that truly matters. Selling for top dollar isn’t just about reaching a mythical million; it’s about securing a price that aligns with your financial goals and current market realities. Drop us a message on WhatsApp to express your interest and ask any questions.
With HomerAI, you gain access to the most accurate, up-to-date valuation insights — so you know exactly where you stand. Don’t let inflated expectations lead to missed opportunities. Instead, partner with Ohmyhome to make the right moves, backed by data and a team that prioritises your goals. Sign up to HomerAI to get started.
