HDB resale prices increase by 9.6% in 2024 with 'strong broad-based demand' in Q4

In 2024, the resale prices of Housing and Development Board (HDB) flats rose by 9.6 percent.

This is according to a flash estimate shared in a press release from HDB on Jan. 2.

HDB also said the total resale volume for the entire year of 2024 was 28,875, an 8 percent increase from 2023, when the volume was 26,735.

"Strong broad-based demand" in last quarter

HDB also shared the resale volumes and price movements for the last quarter of 2024.

The resale volume in the fourth quarter of 2024 was 6,314, 3.6 percent lower than the same period in 2023.

The resale price index for the fourth quarter of 2024 increased by 2.5 percent, lower than the 2.7 percent increase in the third quarter of 2024.

HDB attributes the resale prices in the fourth quarter of 2024 to a strong broad-based demand and some supply tightness in the market.

HDB also noted that in August 2024, the government lowered the Loan-to-Value limit for HDB housing loans from 80 percent to 75 percent to cool the market and encourage greater prudence among home buyers.

"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 if prices weaken," said HDB, adding that the government will monitor the property market closely and will adjust its policies as necessary to "promote a stable and sustainable property market".

Upcoming flats

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

It will also concurrently launch more than 5,500 flats across various towns and estates in its largest-ever Sale of Balance Flats (SBF) exercise.

As such, more than 10,000 new flats will be on offer in February 2024.

HDB said that for the February sales exercise, flats launched before October 2024 would not come under the new flat classification framework.

More details will be shared during the February 2025 sales exercise.

In 2024, HDB launched 21,225 new flats, which comprised 19,637 BTO flats and 1,588 flats offered in the SBF exercise.

HDB said it remains on track to launch 100,000 flats between 2021 and 2025.

Top photos via Unsplash