SINGAPORE – Excitement is brewing in the Singapore property market

as the first flats from the much-anticipated Bidadari housing estate have officially hit the resale market. Analysts predict a surge in interest, especially from young couples eager to secure their first homes.

Initial Transactions and Prices

In the initial flurry of transactions, Housing Board data reveals that four resale deals have been completed for flats on Bidadari Park Drive. Among these, three four-room flats sold for prices ranging between $937,500 and $1.17 million, while a larger 113 sq m five-room unit fetched a stunning $1.2 million.

Property experts caution, however, against viewing these prices as the new norm for the area, even as they may serve as vital benchmarks for future transactions. The demand is particularly acute as Alkaff Vista, which includes 199 four-room and 151 five-room flats, recently completed its five-year minimum occupation period (MOP), enabling these units to be resold.

Previous Interest in Bidadari Flats

When released as Build-To-Order (BTO) options back in November 2015, Bidadari flats were met with overwhelming enthusiasm, featuring an extraordinary ratio of applicants—up to 20 per five-room unit. Now, as these coveted flats enter the resale market, property agents are reporting robust interest, spurred by Bidadari’s attractive location on the city fringe and easy access to amenities, including nearby MRT stations and The Woodleigh Mall.

Agent Insights on Competition

Jayden Chia, an agent from PropNex, noted the fierce competition, receiving five offers for a 94 sq m unit that sold for $1.08 million, marking the new owners—a couple in their 30s—enthusiastic first-time buyers. It’s important to highlight that this transaction may take up to three months to officially appear on the HDB website.

Appealing Location and Amenities

Many prospective buyers are specifically drawn to Bidadari not only for its appealing residential options but also for its proximity to essential services and educational institutions like St Andrew’s School. When launched, four-room flats in Alkaff Vista were priced between $433,000 and $550,000, and five-room units ranged from $544,000 to $625,000.

Market Analysis: Resale Prices and Demand

Professor Sing Tien Foo from NUS Business School explained that while Bidadari is a new development, its resale prices are not surprising given similar patterns in other city fringe areas—the likes of Dawson, located within the mature Queenstown estate. The steep price rise can be attributed to limited options for average-income families in more expensive private housing markets, where condos like The Woodleigh Residences command prices above $2,000 per square foot.

Research head Wong Siew Ying pointed out that Bidadari's resale prices align closely with those seen in Toa Payoh, a mature town, demonstrating robust demand. Transactions in the more established Toa Payoh Apex have seen four-room flats exchanging hands for between $850,000 to approximately $1.057 million from November 2023 to September 2024.

Strategic Market Positioning

Christine Sun, chief strategist at OrangeTee Group, echoed these sentiments, noting that the Bidadari transactions have a per square foot (psf) rate nearing or even exceeding $1,000, a compelling indicator of demand. She cautioned potential buyers, reminding them that while the million-dollar allure draws attention, it is essential to maintain realistic expectations as the supply of flats increases, which may temper future price hikes.

Future Prospects and Trends

Indeed, the proportion of million-dollar transactions is on the rise but still constitutes only about 2 percent of all sales in the last 1.5 years. The Ministry of National Development highlighted that a mere 0.5 percent of four-room and smaller flats have sold for a million or more in the past two years.

Looking ahead, Bidadari is set to see more units hitting the resale market as more developments complete their MOPs. The 531-unit Alkaff LakeView will reach this milestone shortly, followed by the 1,258-unit Alkaff CourtView in 2025. Currently, listings show over 40 resale flats available in Alkaff Vista across various property platforms, suggesting continued strong demand.

Potential for Future Growth

With changes in BTO classifications coming in October, including the new Prime, Plus, and Standard categories, Bidadari could see further interest. These categories could prove advantageous for resale flats that are not tied to stringent resale restrictions, drawing buyers looking for conveniently located homes.

Conclusion

In sum, Bidadari stands as a dynamic prospect for first-time home buyers, offering a blend of modern living and accessibility—an enticing combination that could reshape the desirability of the Singaporean property landscape in the months to come!