Resale flat prices rise 2.5% in 3Q2024: HDB Flash Estimates

HDB resale flat prices in 3Q2024 has continued its upward trajectory for the 18th consecutive quarter. Flash estimates released by HDB on October 1 show that HDB resale prices rose by 2.5% q-o-q in 3Q2024, accelerating from the 2.3% q-o-q growth recorded in 2Q2024. This marks the fastest quarterly growth since 3Q2022 which saw a 2.6% q-o-q rise in HDB resale prices. Since the start of the year, HDB resale prices have risen by 6.8% - a faster rate of price growth when compared to the 3.8% increase measured over the same period last year. However, the HDB resale price growth to date is still slower than the 8% spike recorded over the first three quarters of 2022. Read also: Is it a Good Deal?: $838,000 for a three-room HDB flat along Holland Drive Advertisement Advertisement The rise in HDB resale prices was underpinned by strong broad-based demand coupled with supply tightness as fewer new HDB flats meet their minimum occupancy period (MOP) in 2024 as compared to 2023. HDB also recorded a surge in resale transaction volume. As of Sept 29, HDB recorded 8,035 HDB resale transactions this year. This translates to a 20% y-o-y increase over the 6,695 resale deals recorded over the same period last year. According to the HDB, the 3Q2024 flash estimates are largely reflective of market conditions prior to the lowering of Loan-to-Value (LTV) limits that took effect on August 20. It was the fourth round of cooling measures targeted at the HDB market since 2021. The LTV limits on HDB loans were lowered from 80% to 75%, bringing them in line with loans offered by financial institutions. Effectively, the lowering of LTV limits increased the downpayment amount required for HDB flats in a bid to “encourage prudent borrowing”, according to Desmond Lee, minister of national development.

October BTO exercise

HDB will offer about 8,500 flats across 15 Build-to-Order (BTO) projects in its October 2024 BTO exercise, the last BTO exercise scheduled for the year. It accounts for 40% of BTO flats supplied this year. The October BTO exercise will also mark the debut of the new classification of HDB flats into Standard, Plus or Prime flats based on their location attributes. Read also: October 2024 BTO Part 2: Eight projects in the suburbs Advertisement Advertisement With this new launch, HDB is on track to hit its goal of launching 100,000 new flats from 2021 to 2025. Check out the latest listings for HDB properties Ask Buddy What is the HDB loan rate? Past HDB rental transactions HDB loan vs Bank loan Past HDB sale transactions Listings for HDB flats What is the HDB loan rate? Past HDB rental transactions HDB loan vs Bank loan Past HDB sale transactions Listings for HDB flats