No. Of Applications May Not Reflect Take-Up Rate

Source : The Straits Times, Nov 6, 2007

I REFER to the letter, ‘10,200 applicants chasing after 354 flats’ (ST, Oct 30), by Mr George Matthews.

The writer opined that HDB should have closed application or shortened the time to three days once it was known that the number of applications far exceeded the number of flats offered.

Buyers are given one week to submit their applications so that they have ample time to check out the flats available.

HDB does not set a limit to the number of applications as this may result in buyers rushing to submit their applications.

It is also unfair to close application or shorten the time midway through the application period.

As HDB updates the number of applications received daily on the HDB website, interested buyers can decide whether to submit their application, taking into account the number of applications already submitted.

We would like to point out that the number of applications received during the one-week application period may not be a true reflection of the take-up rate for the flats, as some of the initial applicants may eventually decide against selecting a flat under the exercise.

For example, in the April 2007 bi-monthly exercise for flats in the North and West zones, HDB received 2,308 applications during the initial phase for the 1,269 flats on offer. However, only 604 of the initial applicants (roughly one in four) subsequently booked a flat under this exercise.

Under the June 2007 exercise for flats in the North-east Zone, only 819 of the 3,955 initial applicants (about one in five) proceeded to book the 922 flats on offer.
Tay Koon Quie Deputy Director (Sales) for Director (Estate Administration & Property) Housing and Development Board