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 …

Mandarin Top 5

Top 5 Reasons : Why Ultra-Rich Families Racing To Park Wealth In Singapore

Jayson Ang – October 9, 2024 –

Singapore, a small island nation in Southeast Asia, has become a magnet for the world's ultra-rich families seeking to park...

Mandarin Top 5

Top 5 : Greatest Challenges That Investors Face In Singapore’s Real Estate Market

Jayson Ang – May 8, 2025 –

Singapore's real estate market is a dynamic and attractive investment landscape for both local and international investors. Known for its...

All Blog Posts Buying Tips

6 Myths About Using Your CPF For Housing

Jayson Ang – February 2, 2023 –

TLDR When it comes to purchasing a house in Singapore using CPF funds, there are several myths that need to...

All Buying Tips Opinion

2024 Will Be A Buyers Market

Jayson Ang – January 23, 2024 –

TLDR 2023 saw a roller-coaster ride in the real estate market, with various challenges like high interest rates and geopolitical...

Mandarin Top 5

Top 5 Reasons : Why Penthouses In Singapore Are Popular With Crazy Rich Asians

Jayson Ang – October 7, 2024 –

Singapore, a city-state known for its stunning skyline and luxurious lifestyle, has become a popular destination for the ultra-wealthy. Among...

Mandarin Top 5

Top 5 Factors : Singapore Real Estate Investing vs Stocks and Bonds: Which is Better?

Jayson Ang – October 23, 2024 –

Investing is an essential aspect of wealth creation and financial planning. With a plethora of investment options available, it can...

All Buying Tips Opinion Selling Tips

My Dad’s Agent Utilised Misleading Information to Coerce Him into Selling His HDB” – 4 Pushy Sales Techniques You Should Be Aware Of

Jayson Ang – September 16, 2025 –

TLDR While Singapore’s real estate sector is more regulated, some agents still use high-pressure tactics that make buyers uncomfortable. Common...

All Blog Posts

SP Utilities Guide – Quick Guide To Setting Up Utilities In Singapore For Your New Home

Jayson Ang – April 16, 2023 –

TLDR Setting up utilities in Singapore for a new home is hassle-free. Contact SP Services for electricity and water accounts,...

Mandarin Top 5

5 Top Primary Schools in Singapore Popular with Expat Chinese Community

Jayson Ang – May 25, 2023 –

5 Top Primary Schools in Singapore Popular with Expat Chinese Community When it comes to education, Singapore is a top...

All Opinion

What Is The Cost Of Constructing A Landed Property In Singapore?

Jayson Ang – February 24, 2025 –

TLDR Building a landed property in Singapore can be a costly endeavor, with prices ranging from $300 to $500 per...

All Buying Tips Opinion Reports Selling Tips

Rise In Private Home Ownership Among Those Under 35

Jayson Ang – September 12, 2025 –

TLDR Youth homeownership in Singapore’s private housing sector is rising, with residents under 35 living in private properties hitting 380,459...

All Blog Posts Buying Tips Opinion

Methods to Beat ABSD and Own Multiple Properties in 2024 (Updated)

Jayson Ang – November 19, 2024 –

TLDR Navigating the Additional Buyers Stamp Duty (ABSD) in Singapore can be daunting for property investors. To save on ABSD...

Mandarin Top 5

Top 5 Vegetarian Restaurants in Singapore

Jayson Ang – March 14, 2024 –

Singapore, a melting pot of cultures and cuisines, offers a diverse range of dining options for food enthusiasts. For vegetarians,...

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 Opinion

Ouch! Our $1.8 Million Condo Investment Blunder: Unpacking 5 Crucial Takeaways from Our Bad Experience

Jayson Ang – December 14, 2023 –

TLDR The blog post delves into the complexities of real estate investments using Bob's experiences as examples. It highlights the...

All Blog Posts Buying Tips

Exploring the Resale Condo Market? Here’s What to Watch Out For!

Jayson Ang – March 22, 2023 –

TLDR The impact of COVID-19 on Singapore's real estate market has been significant, leading to a surge in demand for...

All Blog Posts Buying Tips

An Essential Guide to Buying a Home in Singapore 2023

Jayson Ang – January 17, 2023 –

TLDR When navigating the complexities of purchasing a property in Singapore, ensure you meet eligibility criteria, consider affordability factors, and...