The less than ideal performance in the EC market has prompt developers to be less aggressive when it comes to bidding of EC land. Despite the government review of increasing the salary cap of ECs, this has not increase the demand for ECs in Singapore. This have left analyst to scramble reasons to explain the seemingly less than ideal response of ECs.
Wandervale EC Sim Lian
Some point to the fact that even though there is an increase in the salary cap from $12,000 to $14,000 and in theory should see more sales available for this particular group. However, it is noted that the newly introduced measures also include the salary of $10,000 – $12,000 who are now eligible for public housing and therefore may not be going for Wandervale Choa Chu Kang.
Sim Lian Land EC
Indeed, it is noted that the government has put up many HDB BTOs in the market and some are indeed good locations that are close to a MRT or closer to the city. Buyers are now spoil for choices particularly for buyers who are looking for good locations properties only. ECs tend only to be located further away from town and not near an MRT and this may not be too ideal. Wandervale EC is close to Choa Chu Kang MRT. However, it is located in Choa Chu Kang and not near the city area.
Wandervale Choa Chu Kang
Some real estate experts are seeing that ECs maybe losing its relevance given that there should be around a potential 7,000 EC units unsold at the end of 2016. There are many first time buyers who are looking to buy an EC unit but are continuing to stay with their parents. They are looking to profit after 10 years once the EC has became privatized. However, another group of analysts think that this is highly unlikely as there would be no buyers who are looking to lock in their money for 10 years without knowing if they are going to profit from it. Buying Wandervale EC by Sim Lian Land is purely a lifestyle choice and many buyers are looking to settle down in the Choa Chu Kang area.