Being a mature HDB estate means Hougang could be saturated in its housing and population. But this gungho town is certainly not satisfied to wait by the sidelines, in many ways. Real estate-wise, private properties are inserting themselves in a big way in this area made up of mainly HDB flats. Opening up the path for home buyers hoping to live in the HDB town, private properties are entering a market which has probably been long waiting for new players.
New projects in the area is expected to bring 2, 319 additions to the 12, 457 private homes already in the area. Current private condominiums and executive condominiums (ECs) include recent launches such as Boathouse Residences, Riversails, Parc Vera and Heron Bay. Prices of condo units in Hougang range from $840 to $920 psf, a considerably manageable entry-level pricing for upgraders and investors. Besides, R’ST Research director Ong Kah Seng considers the existing pool of HDB upgraders within the estate itself a ready audience for new properties. Nearby Punggol is establishing itself as a hub for waterfront living, but the buyers it attracts are mainly those from far-flung estates.
Resale home transactions within Hougang itself has been steady since Q3 of 2011. It has not gone above 200 units in a quarter, and this could be because the accessibility and availability of schools and amenities in its vicinity have kept residents close to home. Resale prices were also maintained at a $835 to $1,000 psf constant.
With the rise of popularity with mixed-use developments, its no wonder the latest Midtown Residences launch has appealed to investors. This project is situated near the Hougang MRT station and bus interchange and prices were sold at a premium of $1, 220 and $1, 660 psf. Although quite a bit higher than the average resale home prices of properties in the proximity, the location means units will command higher rents. Following in the footsteps of other mixed-use projects like Bedok Residences, Watertown and The Hiller, and perhaps also King Albert Park Residences, could it be the era of these multi-purpose commercial-residential developments?