Your search results

HDB Owners Have Identified This Reason as the Primary Barrier to Upgrading in 2024. Surprising? Not Really.

Posted by Jayson Ang on November 25, 2025

| All, Buying Tips, Opinion, Selling Tips

| 0

TLDR

High property prices in Singapore make it difficult for most to upgrade from HDB flats to private condos, despite periodic calls to relax policies like the Additional Buyer’s Stamp Duty (ABSD) for upgraders. The ABSD controls demand and helps prevent runaway price increases by discouraging rushed upgrades and encouraging realistic resale pricing. Executive Condominiums (ECs) are an exception, as they don’t require upfront ABSD for existing HDB owners. Homeowners benefiting from SERS (Selective En bloc Redevelopment Scheme) can upgrade easily due to windfall gains, but this impacts only a small minority. Whether you should buy, sell, or wait depends on your personal situation—there’s no one-size-fits-all answer. Strategic planning and market knowledge are essential for navigating Singapore’s real estate landscape.

At what moment has the typical Singaporean claimed, “The high costs aren’t an issue when it comes to purchasing a condominium?”

It’s surprising that a property agency needs a survey to discover that high home prices make upgrading difficult and that people prefer HDB flats. This isn’t a new insight.

Every year, media stories emerge about real estate players pushing to relax certain policies. This year’s focus is on adjusting the Additional Buyer’s Stamp Duty (ABSD) for upgraders. Currently, if you buy a new property first, you pay the ABSD upfront, but can apply for a refund if you sell your old home within six months. This rule doesn’t apply to Executive Condominiums (ECs), where you can buy first without paying ABSD.

But should we change the ABSD just to assist upgraders?

The ABSD acts as a control on demand. Without it, show flats could be more crowded, with more buyers rushing to secure early discounts. The ABSD also influences resale flat prices—if homeowners must sell quickly to avoid losing the ABSD, they are likely to price their flats realistically. This differs from a scenario where they can buy a new condo first and take their time seeking the best price for their current flat.

Additionally, if buying first isn’t an option, fewer people might decide to upgrade due to the hassle of temporary housing and storage when selling before buying. The ABSD can lead some homeowners to delay upgrading altogether.

Ultimately, if fewer homeowners rush to upgrade, it puts less upward pressure on prices.

Do you know who will have no trouble upgrading, though?

Someone whose flat is chosen for SERS. One clever homeowner we met at Stacked gained from SERS at Tanglin Halt. They received a new unit in 2021 at Dawson, near SkyOasis @ Dawson, which recently had a record sale of a $1.73 million flat.

If that seller upgraded, I hope they’re enjoying their $3 million condo; they can likely afford it.

This makes me wonder: now that the government has somewhat addressed the windfall effect of mature estate housing with the Prime model, will there be something similar to SERS? Only about four or five per cent of flats benefit from SERS currently – but the impact has been quite uneven for some.

I don’t think fairness is an issue; to me, benefiting from SERS isn’t any more unfair than winning 4D. However, I’ve noticed that Singaporean homeowners care a lot about fairness, and more stories about expensive SERS replacement flats will likely lead to complaints.

Should You Buy, Sell or Wait?

If you’re reading this, you must be trying to figure out the best course of action right now: is it the right time to buy or sell?

It’s difficult to give an exact answer since everyone’s situation is unique and what works for one person may not necessarily work for you.

I can bring you a wealth of on-the-ground experience and a data-driven approach to provide clarity and direction. From beginners to experienced investors, our top-down, objective approach will help you on your real estate journey.

I can help you by:

Offering Strategic Real Estate Advice – I can help create a comprehensive plan to guide you through your property journey.
Connecting Your Home with the Perfect Buyers – Through stunning visuals, an effective communication strategy, and an in-depth knowledge of the market, we’ll ensure your home is presented in the best possible way to fulfill your goals.

You May Also Like …

All Opinion

Is Housing Policy an Unintended Factor in Singapore’s Birth Rate?

Jayson Ang – April 29, 2026 –

TLDR Singapore’s housing policies contribute to its declining birth rate through a complex mix of factors beyond just price. Flat...

Mandarin Top 5

Top 5 Benefits Of Singapore’s Cooling Measures For Home Buyers

Jayson Ang – April 11, 2025 –

Singapore's real estate market has experienced rapid growth in recent years, leading to concerns about affordability and sustainability. In response,...

All Blog Posts Opinion

What Has Been The Most Significant Development In The Real Estate Market In 2022

Jayson Ang – December 24, 2022 –

TLDR In 2022, the real estate market saw significant interest rate hikes affecting home loan rates. Despite concerns, the market...

All Blog Posts Buying Tips

A Beginner’s Guide to Homebuying: How to Choose the Perfect Property

Jayson Ang – May 20, 2023 –

TLDR When considering property investments, understanding your motives is crucial. Factors like accessibility to amenities, remaining lease, transaction history, rentability,...

All Buying Tips Opinion

Mega Developments vs. Regular Condos in Singapore: A Data-Driven Comparison

Jayson Ang – March 22, 2026 –

TLDR Mega-developments (1,000+ units) in Singapore, once seen as chaotic, now offer competitive pricing and extensive facilities, making them attractive...

All Buying Tips

44 Exciting New Condo Launches in 2024 Starting at $1,402!

Jayson Ang – June 4, 2024 –

Alright, let's talk about 2024. We're not expecting the same kind of shortages we've seen after COVID-19. Some folks are...

All Opinion Selling Tips

6 Factors Making Singaporean Properties Difficult to Sell (Even in a Strong Market)

Jayson Ang – June 2, 2026 –

TLDR Properties in Singapore may linger on the market due to several key factors. Small boutique developments face price volatility,...

All Buying Tips

Here’s How Property Data Can Be Misleading: Navigating Through Common Misunderstandings

Jayson Ang – April 14, 2024 –

TLDR When comparing property prices, discrepancies can arise due to various factors like timing of purchase, scarcity in niche projects,...

All Opinion Selling Tips

Beyond Profit: Singaporean Homeowners Share Stories of Purpose-Driven Property Purchases

Jayson Ang – January 18, 2026 –

TLDR In Singapore, some homeowners prioritize personal comfort, convenience, and family needs over financial gains in property purchases. YC bought...

Mandarin Top 5

Top 5 : Risk Factors For International Buyers Investing In Singapore Real Estate And How Can They Be Mitigated?

Jayson Ang – December 15, 2024 –

Singapore, a thriving global city-state, is known for its business-friendly environment, low tax rates, and high standard of living. The...

All Opinion Selling Tips

Is it Better to Sell Your Newly Launched Condo Before or After Completion? Here’s What the Statistics Indicate

Jayson Ang – March 14, 2025 –

TLDR Determining the best time to sell a newly launched condo involves weighing the benefits of selling before or after...

All Buying Tips Opinion

Planning for a Future Landed Property Purchase After Selling Your BTO: Investment Tips

Jayson Ang – September 2, 2024 –

TLDR Transitioning from a BTO to a landed property necessitates understanding market trends, meticulous financial planning, exploring financing options, enhancing...

Buying Tips Mandarin Top 5

Why Chinese Investors Should Not Be Deterred by ABSD: 5 Reasons

Jayson Ang – June 26, 2023 –

Why Chinese Investors Should Not Be Deterred by ABSD: 5 Reasons Here are the top 5 reasons why Chinese investors...

All Buying Tips Opinion

2-Bedroom vs. 2+Study Units: A Decade of Performance Analysis

Jayson Ang – May 21, 2026 –

TLDR Over the past decade, 2+Study units (compact 3-bedroom layouts) consistently outperformed standard 2-bedroom units in resale gains across most...

Mandarin Top 5

5 Factors : Why Now Is The Perfect Time To Invest In Singapore Property

Jayson Ang – May 12, 2024 –

Investing in property is an excellent way to build wealth and secure a stable source of passive income. If you...

All Opinion

Singapore’s Housing Phenomenon: A Success Tale Calling for Tweaks – Insights from the Experts

Jayson Ang – February 17, 2024 –

TLDR Singapore's housing system has been praised for its effectiveness in meeting citizens' homeownership desires. The public housing program by...

All Blog Posts Buying Tips

Checklist for First-Time Homebuyers in Singapore: A Guide to Viewing Condos

Jayson Ang – May 4, 2023 –

TLDR The checklist provides essential steps for first-time homebuyers in Singapore to consider when viewing a condo. It includes aspects...

All Buying Tips

Buying a Mega Development Condo? Here are 5 Overlooked Issues You Should Know

Jayson Ang – April 20, 2024 –

TLDR In the world of mega-developments, living in a large condo with over 700 units can bring challenges like ongoing...

All Buying Tips

How Much You Need to Earn to Afford a Condo 2023

Jayson Ang – October 30, 2023 –

TLDR When considering investing in a private property in Singapore, it's important to understand your borrowing capacity. Financial experts recommend...