SINGAPORE — Demand from singles was mixed for two-room flats launched yesterday under the latest Build-to-Order (BTO) exercise.

Application rates differed vastly across the various projects: For example, as of 5pm yesterday, more than 24 applications from singles were received for each two-room unit in the Buangkok Vale project in Hougang. In contrast, the Woodlands Dew project saw an application rate of just 0.9.

Analysts TODAY spoke to noted it was only the first day of applications and they expect the number of applicants to increase significantly before the exercise closes on Oct 2.

In this exercise, leftover two-room flats in non-mature estates from previous BTO exercises — a total of 1,137 units — were put up for sale, following the Government’s announcement on Monday that it is making available more of such units to singles to address the huge demand.

The exercise, which also offered 4,156 BTO flats, will allocate 30 per cent of all two-room units to singles. This would translate to a total of 57 BTO flats and 341 leftover units, also known as Sale-of-Balance Flats (SBFs). The figure is more than double the number of flats allocated to singles in July.

The flats offered in Hougang — a well-established estate with many amenities — saw the highest application rate of 24.2, with 96 singles vying for the four units made available for them.

Punggol also saw strong demand on the first day, with more than 600 singles applying. The 57 BTO units available for singles in Punggol Matilda Edge had an application rate of 5.4, while the 56 SBF units for singles in various developments in Punggol saw a 5.7 application rate.

However, in areas such as Woodlands, some SBF units had an application rate of only 0.9 for the 73 units.

Director at International Property Advisor, Mr Ku Swee Yong, said the application rates for some developments were “weirdly low”. But he added: “As the SBFs are all over the island, I would attribute it to people doing their groundwork before going into the market, they are most likely checking on locations before applying.”

Even though the demand on the first day ended mixed, analysts believe that two-room units will continue to be popular. SLP International Property Consultants’ Nicholas Mak expects applications from singles to exceed 10,000, and overall subscription rate for the two-room flats could vary from seven to 12 times.

A new housing type, 3Gen flats, also made its debut in this month’s exercise, and analysts were unsure how popular the flats would be, due to their size and caveats on their sale.

3Gen flats are meant to cater to multi-generation families who want to live together for mutual care and support.

“The requirement that after the five-year MOP (minimum occupation period), the 3Gen flats can only be resold in the open market to other eligible multi-generation families may not make such flats attractive to some applicants,” said Mr Mak.

The 115 sq m internal floor area for the current type of 3Gen flats may be insufficient for three generations to live comfortably together, he added.

The launch also saw the enhanced Multi-Generation Priority Scheme kicking in, where parents will be able to apply for a three-room flat. Previously, they were only allowed to apply for a studio apartment or two-room flat.