HDB resale prices up 2.7% in 3rd quarter of 2024

Prices of Housing and Development Board (HDB) resale flats went up by 2.7 per cent from July to September 2024 — the third quarter of 2024 — marking the highest rate of increase since the fourth quarter of 2022.

Back in the second quarter of 2024, the prices of HDB resale flats had increased by 2.3 per cent.

A total of 8,142 resale transactions were made in the third quarter of 2024.

This was 10.7 per cent more than the 7,352 resale transactions made in the second quarter.

HDB noted that the vast majority of resale flats were transacted at a price much lower than S$1 million in the third quarter of 2024.

Resale transactions which surpassed the million-dollar mark continued to make up a small proportion of total resale transactions.

Factors behind increase in resale prices and volume

HDB said the increase in resale prices and volume was driven by a strong broad-based demand, as well as some supply tightness in the market, with fewer new flats meeting the Minimum Occupation Period (MOP) in 2024 as compared to 2023.

HDB added that statistics also reflect the market conditions prior to the lowering of the Loan-to-Value limit for HDB loans from 80 per cent to 75 per cent on Aug. 20, 2024 to cool the resale market and encourage greater prudence among home buyers.

HDB said:

The government will continue to monitor the property market closely and adjust its policies as necessary to promote a stable and sustainable property market. Meanwhile, households are strongly advised to exercise prudence in their property purchases as the property market moves in cycles and those who buy high will be hit harder when prices eventually come down.

Largest ever Sale of Balance Flats exercise

In February 2025, HDB will offer about 5,000 Build-to-Order (BTO) flats in Kallang/Whampoa, Queenstown, Woodlands and Yishun.

In addition, HDB will hold the largest-ever Sale of Balance Flats (SBF) exercise in February 2025, to offer more than 5,500 flats across various towns and estates.

About four in 10 flats involved in the SBF exercise will be completed units, and the remaining will be completed progressively from 2025 to 2028.

In total, there will be more than 10,000 new flats on offer in February 2025.

The final details of the BTO and SBF flats to be offered will be shared at the February 2025 sales exercise.

SBF exercises allow buyers to apply for balance flats from earlier BTO sales exercises, surplus Selective En bloc Redevelopment Scheme (SERS) replacement flats and repurchased flats.

Top photo from HDB.