Written Answer by Ministry of National Development on medium and average discount or premium for flats transacted by minority ethnic groups versus Chinese ethnic group based on HDB resale transactions in the last five years

Jan 4, 2021

Mr Chua Kheng Wee Louis: To ask the Minister for National Development in respect of HDB resale transactions in the last five years, what is the median and average discount or premium for flats transacted by minority ethnic groups versus the Chinese ethnic group, based on resale transactions within the same year and block.

Answer:

The price of a resale flat is negotiated between the buyer and seller, and is influenced by various factors, such as market conditions, flat location, lease length and whether the buyer or seller has an urgent need to complete the transaction.  This means that resale prices across ethnic groups can vary widely, and do not make for a meaningful comparison. For example, in 2019, the median resale price of 3-room flats for Chinese flat sellers was higher than those for Malay or Indian/Other flat sellers in some estates (e.g. Sengkang), but lower in others (e.g. Woodlands).

Even among resale transactions within the same year and block, flats may differ in terms of their storey height, flat condition, and other factors that can affect the final resale price. Hence, it is similarly not meaningful to compare resale prices within the same year and block across different ethnic groups. In many cases, such comparisons are also not feasible, as many blocks may see few or no resale transactions in a given year, for a particular flat type or ethnic group.