THE boom time in Singapore's property market has also spiked the demand for public housing.
According to HDB's flash estimates of the Composite Resale Price Index, the increased demand of HDB flats has caused prices to skyrocket by about 4.2 per cent in the first half of 2007.
So, a four-room flat can now change hands for about $250,300.
The growing property frenzy is also pushing up property valuation.
About 70 per cent of resale flats were sold above evaluation, or a high Cash-Over-Valuation (COV) premium, in the last three months.
On average, property buyers had to cough out about $10,000 more for resale flats.
But to ease a potential public housing crunch amidst the rising market demand, the HDB is planning to offer about 3,000 new flats under the Build-to-order (BTO) exercises over the next six months.
This is up from the 1,400 new flats built under BTO exercises in the first half of this year.
HDB said in a statement that it will provide details of the flat supply when the sales exercises are launched.
HDB also urged potential property buyers to exercise prudence in making their housing purchase decisions.
