Feb 2022 HDB BTO in-depth review: Tengah

In the upcoming Feb 2022 BTO launch, 1,270 units will be launched across two projects in Tengah. Here’s everything you need to know about the Tengah BTO.

Feb 2022 Tengah BTO at a glance

Feb 2022 Tengah BTO indicative price range

Since HDB hasn’t released the actual starting prices yet, you may refer to SRX’s estimations in the meantime. They’re based on nearby resale transactions and launch prices from the recent BTO launch.

Flat type	Estimated price range
3-room	$220,000 – $260,000
4-room	$300,000 – $400,000
5-room	$420,000 – $520,000

Source: SRX. These estimations take into account property age and location. If a launch is nearer to an MRT or commercial development, it’s likely to be more expensive.

Estimated down payment, monthly installment and income

Given these pricing forecasts, we can estimate the down payment, monthly installments and household income needed to pay for the Feb 2022 Tengah BTO. These estimates are based on the following assumptions:

• An HDB loan is taken, maximising the 85 per cent loan-to-value (LTV) that will take effect for new BTO launches after Dec 16, 2021
• The loan tenure is the maximum of 25 years, with the current interest rate of 2.6 per cent
• There is no other housing loan to service

In this illustration, we use the median of the price range and don’t take into account any CPF grants or savings to be used. We also use a mortgage calculator to calculate the estimated monthly instalments.

On top of that, we take into account the Mortgage Servicing Ratio (MSR), which stipulates that up to 30 per cent of the monthly household income can be used to service the home loan. This allows us to find the estimated household monthly income needed.

Flat type	Median price	Loan amount (85 per cent)	Min. downpayment (15 per cent)	Estimated monthly installment	Estimated monthly household income
3-room	$240,000	$204,000	$36,000	$925.49	$3,084.97
4-room	$350,000	$297,500	$52,500	$1,349.67	$4,498.90
5-room	$470,000	$399,500	$70,500	$1,812.41	$6,041.37

What we noticed about the Feb 2022 Tengah BTO

As mentioned in our Feb 2022 BTO overview, the two Tengah BTO projects make up around one-third of the total number of flats available in this launch. The two projects are located a couple of streets away from each other.

What stands out to us is that the Tengah Garden Avenue BTO is located along the boundary between Tengah and Jurong. So if you manage to snag a flat here, you’ll be able to enjoy quick access to amenities in Jurong. On the other hand, the project is along the Pan-Island Expressway (PIE), so it will be noisier here.

The Tengah Drive BTO is just next to the upcoming Tengah Boulevard Bus Interchange, which should be ready by the time this BTO is completed. So you’ll be able to enjoy better accessibility here as the MRT will only be ready a couple of years later. It’s also located in the heart of Tengah, where amenities such as the town centre and the Tengah MRT are closer.

ALSO READ: HDB BTO, EC & DBSS: What's the difference?

Feb 2022 Tengah BTO: The pros

Accessibility

The nearest MRT of the Tengah Garden Avenue BTO is Tengah Plantation MRT on the Jurong Region Line (JRL), located around a five-minute walking distance. The station is expected to open in 2027. Aside from that, the project is right next to the future Transit Priority Corridor (TPC) across the PIE nearby, allowing you to head to nearby Jurong quickly.

As for the Tengah Drive BTO, it’s next to Tengah Boulevard Bus Interchange that’s currently under construction. On top of that, it’s around a five-minute walk away from the Tengah MRT that will be ready in 2026.

Despite Tengah being designed to be Singapore’s first car-free town, it should be pretty accessible for drivers. The town is bounded by the PIE at the south-west and Kranji Expressway at the north-west.

Food and retail amenities

Both the Feb 2022 Tengah BTO projects are located around a five-minute walk from a neighbourhood centre currently under construction. The one near Tengah Garden Avenue BTO is next to Tengah Plantation MRT, while the one near Tengah Drive BTO will be integrated with Tengah Polyclinic.

Both neighbourhood centres should already be open when these BTOs reach their Temporary Occupation Permit (TOP) date. So you don’t have to travel out of the estate to get your daily necessities.

Nevertheless, another option is to head out to Jurong, where you can find a market and hawker centre at Jurong Central Plaza, and Yuhua Market and Food Centre.

Apart from Tengah Town Centre, there hasn’t been any announced plan to have a mall in Tengah. So for your retail therapy, you can head down to the cluster of malls such as JEM and Westgate in Jurong East, Jurong Point in Boon Lay, Le Quest Mall and West Mall at Bukit Batok.

Recreational facilities

Currently, the nearest sports facilities are at Jurong East Sports Centre, where you can find a sports hall, stadium and swimming complex. There’s a proposed sports centre next to the town centre, but we don’t know when it will be ready.

But the highlight of the town is its abundance of lush greenery and green spaces. If you’re a nature lover, the good news is that both the Feb 2022 BTOs are located close to a Common Green.

What’s more, there’s a proposed Forest Fringe and Tengah Pond that will run across the south side of the Tengah Garden Avenue BTO. For the Tengah Drive BTO, there’s Central Park just next to the town centre.

Healthcare facilities

The polyclinic will be within easy reach of both BTOs. For Tengah Drive BTO residents, there’s Tengah Polyclinic that’s integrated with the Tengah Park Avenue neighbourhood centre within walking distance.

Likewise, residents of Tengah Garden Avenue BTO can head to Jurong Polyclinic located just a short bus ride away. (It will move 150m from its current location to the former site of the student hostel yo:HA @ Jurong in 2025.)

The nearest hospital will be Ng Teng Fong General Hospital in Jurong East.

We also noticed a proposed health and medical centre a few minutes away from the Tengah Garden Avenue BTO, but as of writing, we don’t know any other details on it.

Application rate

Since Tengah is a non-mature estate that’s still under-developed, application rates for BTO projects here have generally been lower than other projects, hovering around a rate of two to three. Another reason for the lower application rates is the higher number of units available here.

Looking at the application rates for the last Tengah BTO launch in November 2021, the overall application rate for 4-room flats was 2.1. Among first-timers, the application rate was 1.7.

So Tengah is where you want to try your luck if you really want to score a BTO during this Feb 2022 launch. As with other launches, we expect competition to be less intense here.

ALSO READ: This 4-room HDB home with a Raffles Hotel vibe costs less than $3,000 to furnish

Price appreciation

As a new town, Tengah still has land for more developments, such as the Jurong Innovation District, that should bring up property prices here in future.

However, since flats are still being built here and the first BTO projects will only enter the resale market in 2028, we’ll look at the prices of resale flats in the nearby area to look at its potential price appreciation.

Overall, resale flats in the vicinity have been experiencing high price increases.

Over the past five years, 4-room and 5-room resale flats at the south of the Tengah Garden Avenue have appreciated by 6.04 per cent.

And when we look at the 2-room, 3-room, 4-room and 5-room resale flats in Bukit Batok nearer to the Tengah Drive BTO, the overall price appreciation in the past five years is even higher at 17.35 per cent.

Feb 2022 Tengah BTO: The cons

Schools

Looking at the URA master plan, some plots are reserved for schools. But for now, there’s only one school that’s confirmed in Tengah.

If there aren’t any other schools announced in the next few years, you and your kids will have to travel out to Jurong and Bukit Batok to go to school. This also means that the Primary One Registration will be more intense, as you’ll have to compete with other residents in the neighbouring estates.

If you have kids or are planning to have kids, we think Tengah Garden Avenue BTO is the better option due to its proximity to schools. The nearest one is a proposed primary school just across the street, which we think is Pioneer Primary. The school will merge with Juying Primary in 2022, and become Tengah’s first primary school when it relocates to the estate in 2025.

Besides, Tengah Garden Avenue BTO is very close to Jurong, so you’ll have access to more school options nearby. This includes Jurongville Secondary and Jurong Primary just across the PIE. A little further southwest are Shuqun Primary, Rulang Primary, Fu Hua Secondary, Hua Yi Secondary, Yu Hua Secondary and Canadian International School.

At the southeast in Bukit Batok, there’s Princess Elizabeth Primary, Bukit Batok Secondary, Millennia Institute and Dulwich College.

Feb 2022 Tengah BTO: Where are the best stacks?

For Tengah Garden Avenue BTO, we think the best stacks are the east stacks facing a proposed sports and recreation centre (indicated in light green). Plus, these stacks face the Tengah Pond and Forest Fringe.

While the south stacks also face the Tengah Pond and Forest Fringe, they’re also the closest to the PIE. So the noise pollution will be higher here.

As for the Tengah Drive BTO, we think the best stacks are the north-facing ones since the project is mostly surrounded by other residential blocks. The plot marked in yellow at its north is currently a reserve site, so we don’t know what it will be for now. Further north of the site will be the town centre (in blue) and Central Park (in green). So those on the higher floors might just get unblocked views of the park.

Feb 2022 Tengah BTO: Should you apply?

Yes, if you don’t mind living in a new estate that’s still undergoing development. It will take a couple of years before more amenities, including the MRT, are fully operational here.

The plus side is that you have a higher chance of securing a flat here, given that the Feb 2022 Tengah BTO projects will most probably be less popular than the Geylang BTO or Kallang/Whampoa BTO.

This article was first published in 99.co.