HDB resale prices, volume rebound in October as BTO launch underwhelms: SRX, 99.co

Nov 09, 2023

RESALE prices of Housing and Development Board (HDB) flats rebounded in October, after booking their first decline in six months in September.

The number of flats that changed hands also recovered, rising 10.8 per cent on the month to 2,200 flats transacted, flash estimates from 99.co and SRX showed on Thursday (Nov 9).

Stricter rules for the non-selection of a Build-To-Order (BTO) flat likely led buyers to look towards the resale market instead, property analysts observed.

To recap, the application rate for the October BTO exercise fell to its lowest in recent years. Some 9,848 applicants applied for the 6,800 new flats offered, translating to 1.4 applicants for each available unit.

The tighter rules governing the non-selection of units took effect from this exercise.

Analysts said the “underwhelming” response was a result of stricter rules governing the non-selection of units which take effect from this exercise.

Data from SRX and 99.co highlighted that resale prices rose 0.5 per cent in October from the month before, with units in non-mature and mature estates booking gains of 0.8 per cent and 0.6 per cent, respectively.

Prices increased for most room types. The largest resale price gain was for executive flats at 1.7 per cent, followed by four-room flats (0.7 per cent) and three-room flats (0.3 per cent). Resale prices for five-room units, however, fell by 0.4 per cent.

Year on year, overall resale prices were up 5.3 per cent. Non-mature estate resale prices were up 5 per cent, while mature flat prices rose 5.7 per cent.

All room types recorded gains in resale prices year on year. Executive flat prices climbed 7.4 per cent, followed by four-room flats at 6.2 per cent, three-room flats at 4.9 per cent, and five-room flats at 4.5 per cent.

Resale volumes were 12 per cent higher year on year. More than half (62.2 per cent) of resale flat deals took place in non-mature estates, and the remaining 37.8 per cent were from mature estates.

Four-room flats made up the bulk (47.4 per cent) of resale volumes, followed by 25.2 per cent from three-room flats, 21.9 per cent from five-room flats and 5.5 per cent from executive flats.

The most expensive HDB flat resold was a five-room flat in Henderson Road for S$1.45 million. Among non-mature estates, the highest transacted price was S$995,888 for an executive apartment in Jurong East Street 21.

The number of million-dollar flat transactions in October was nearly flat at 41 deals, compared with 42 transactions recorded in September. SRX and 99.co said the number of such flats sold comprised 1.9 per cent of total resale volumes in the month.

Bishan and Bukit Timah recorded seven such transactions in the month, followed by Queenstown, where six deals took place. The rest of the million-dollar deals came from Clementi, Kallang/Whampoa, Ang Mo Kio, Toa Payoh, Central Area, Bukit Timah, Geylang and Serangoon.