Increase in HDB resale flat volumes while resale prices drop

While the number of Housing and Development Board (HDB) flats resold has increased, prices of these flats have dropped slightly by 0.1 per cent in April from March, according to SRX Property.

In a HDB resale flash estimate by SRX Property on 5 May, the fall in prices of flats was mainly due to five-room HDB flats, whose resale prices fell 0.9 per cent. Conversely, three-room HDB flats saw a rise in price by 0.6 per cent and executive flat prices rose by 0.1 per cent in April. Prices of four-room flats remained the same.

Prices have declined 0.2 per cent from the same period a year ago and 11.1 per cent from the peak in April 2013.

SRX Property also noted that a total of 1,828 HDB resale flats were sold in April, the highest volume sold since the October 2012 high of 1,955 units sold. Cooling measures, such as the Additional Buyer’s Stamp Duty (ABSD) on second properties, were implemented in the property market in 2013.

This translated to a 10.3 per cent increase from 1,657 HDB flats resold March and a 13.5 per cent increase as compared to the same period in 2015.

Generally, HDB resale flats are being sold at their market value. In mature estates such as Queenstown and Tampines, resale prices have increased by 1 per cent. The highest median price of S$11,000 over the market value was recorded in Queenstown, with the second highest median of S$8,000 over market value was recorded in Tampines.

In newer estates, resale prices decreased by 1 per cent. The lowest median prices were in Clementi and Pasir Ris, at S$10,000 and S$8,000 below market values respectively.