Stacked Homes readers often face a difficult choice between a large resale HDB flat and a smaller private condo. One couple earning $30,000 a month can afford a private home but prefer a specific HDB unit, prompting a question about whether paying an extra S$280,000 for a five-room flat is a wise financial move. The pair is deciding between a S$1.2 million four-room unit with a park view and a S$1.48 million five-room flat on a higher floor with a more obstructed view.
Space versus location and price premiums
The five-room flat costs about 23% more for roughly 15% more floor area compared to the four-room option. The extra space usually translates to a larger living and dining area or a yard, which could be useful if the couple plans to expand their family or needs a home office. However, if current needs fit comfortably within a four-room flat, paying an extra S$280,000 for unused space may not be advisable. A fourth-floor unit with an unblocked park view often feels brighter and more enjoyable than an eighth-floor unit facing a neighbouring block.
Some buyers may favour the number eight, viewing it as lucky, while others avoid four. Yet transaction records do not show a reliable price premium for higher floors. The resale value of a flat depends more on daily living comfort than on superstition. The couple must decide what matters more to them: the larger communal area or the specific floor and view of the four-room unit.
Price data for The Pinnacle @ Duxton shows that prestige and scarcity drive values higher. Four-room flats along Cantonment Road, where the development is located, commanded an average price of S$1.36 million from June 2025 to June 2026. This is S$335,000 more than the same flat types at HDB projects along nearby Cantonment Close, which started nearly a decade earlier. The price gap is even wider for five-room flats, which sold for an average of S$1.54 million at The Pinnacle compared to S$1.15 million at Cantonment Close and S$896,000 at Everton Park.
The flats at Cantonment Close have leases only about nine years older than those at The Pinnacle, yet they sell for roughly a quarter less. This suggests that the development’s prestige and the scarcity of five-room flats in the central region are significant factors, not just the remaining lease term. The five-room flats at Dawson Road in District 3 face a different market dynamic. Here, nearby substitutes like Strathmore Avenue create a narrower price gap.
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Price growth over the past decade has not clearly rewarded the larger flat types at either development. At The Pinnacle, four-room and five-room flats appreciated by nearly identical rates of 52.4% and 51.4% respectively from 2016 to the first half of 2026. In the Dawson Road estate, the pattern is harder to pin down due to varying lease start dates, but leases commencing in 2016 show five-room prices growing at 51.4% while four-room prices rose 36.3% over the same period. These averages can shift with a few high or low transactions in a year, indicating that paying more for a larger flat has not reliably translated into stronger growth at either address.
Resale prospects and financing details
The monthly income of $30,000 allows for a loan of up to $1.89 million at a 4% interest rate. The $1.2 million four-room flat requires a loan of $900,000, which fits well within this limit. The five-room flat at $1.48 million would require a loan of $1.11 million. In both cases, the Mortgage Servicing Ratio remains under 30% of the gross income.
Upfront costs differ between the two options. The four-room flat has a Buyer’s Stamp Duty of $32,600 and total upfront costs of about $96,100. The five-room flat incurs $43,800 in stamp duty and total upfront costs of roughly $121,300. The additional cash needed for the larger flat is about $25,200.
Private residential alternatives offer less space for the same price. A two-bedroom condo in District 3 costs about $1.5 million for units under 950 square feet. A $1.2 million budget in the private market buys a unit that is significantly smaller than the 1,000 square foot HDB option.
