Recent changes in the valuation process for resale HDB flats have drawn some feedback from the public. Many are wary of how this mix-up will cause some hiccups in the buy-sell procedure and how it may also affect the selling prices.
Sellers will no longer be the ones to apply for valuation of their flats. They now need to come to an agreement on a selling price with the buyer before the buyer applies for the valuation. This may favour the buyer more than the seller as COV prices have been the main bugbear in the search and purchase of a suitable resale HDB unit, but without prior knowledge of the price of a unit based on the age, location and size of the unit, buyers may also be very much left to glean information from rumours in the wind or self-research.
HDB has however tried to bring some equilibrium to this confusion by publishing resale transaction figures daily instead of fortnightly.
What HDB hopes to achieve with this procedure renewal is:
- Long-term stability of public housing prices
- Less dependency of sales on COV (cash-over-valuation) prices
- Making the HDB resale market more transparent
Will this move help them achieve all that? Or will market forces turn this around on its head and steer it in the other direction?