SINGAPORE: The Housing and Development Board (HDB) reported an acceleration in resale-price growth for the third quarter of 2024, with prices increasing by 2.5% compared to a 2.3% rise in the previous quarter.

This growth marks a significant increase from the 1.3% recorded in the same period last year, as indicated by HDB’s flash estimates released on 1 October.

Transaction volumes of resale flats also showed robust performance, reaching 8,035 units sold as of 29 September. This figure represents a 20% increase from the same period last year and a notable rise from the 7,352 units sold in Q2.

Despite the rise in prices and volumes, million-dollar transactions continued to make up a small proportion of total resales, with the majority of flats being transacted at “much lower prices,” according to HDB.

The agency attributed the surge in both resale prices and transaction volumes to “strong broad-based demand,” coupled with a tightening supply in the market.

Fewer new flats have met the minimum occupation period this year compared to the previous year.

HDB noted that these trends reflect market conditions prior to the recent policy change that lowered the loan-to-value limit for HDB loans from 80% to 75%, effective 20 August.

This move aims to cool the resale market and encourage greater financial prudence among homebuyers.

“The government will continue to monitor the property market closely and adjust its policies as necessary to promote a stable and sustainable property market,” HDB stated.

It also urged households to exercise caution in their property purchases, warning that the cyclical nature of the market means those who buy at high prices may face greater challenges when prices eventually decline.

Since the beginning of the year, HDB resale prices have risen by 6.8%, a faster pace than the 3.8% increase observed during the same timeframe last year.

However, this growth rate still lags behind the 8% spike recorded in the first three quarters of 2022.

Looking ahead, HDB is set to offer approximately 8,500 flats across 15 Build-to-Order (BTO) projects in its October 2024 BTO exercise, which is the final exercise scheduled for the year.

This offering will account for 40% of the total BTO flats supplied this year.

The October BTO exercise will also introduce a new classification of HDB flats into Standard, Plus, or Prime categories based on their location attributes.

SINGAPORE: The serene residential enclave of Bukit Panjang has witnessed its first-ever million-dollar Housing and Development Board (HDB) flat sale, sending shockwaves through the local real estate market.

The record-breaking transaction occurred in September when a spacious 127 square meter (1,367 square feet) executive apartment, situated on levels 28 to 38 of Block 181 Jelebu Road, changed hands for a staggering $1.02 million, equating to a price per square foot (psf) of $746.

As per Singapore Realtors Inc (SRI), this highly coveted flat boasts a prime location nestled between the 28th and 30th floors of Block 181, a well-established development along Jelebu Road, completed in 2003.

Block 181 is renowned for its diverse mix of four-room, five-room, and executive flats.

The flat’s lease commenced in 2003, making the development approximately 20 years old.

SRI highlighted that Bukit Panjang has faced a scarcity of Build-to-Order (BTO) projects in recent years, with the last BTO launch dating back to 2016.

Consequently, resale properties within this sought-after enclave of Bukit Panjang have become a preferred choice among homebuyers seeking a place to call their own.

The strategic positioning of this development further enhances its appeal, offering close proximity to key amenities such as the Bukit Panjang MRT station on the downtown line (approximately 148 meters away), the bustling Hillion Mall, and the Bukit Panjang Integrated Transport Hub, just a short 5-minute walk away.

This enviable accessibility to public transportation and shopping centers positions this resale flat as an attractive and practical option for those seeking a convenient and comfortable living experience in Bukit Panjang.

A range of schools is conveniently located within a 1 to 2-kilometer radius of the HDB resale flat, including West View Primary School, Zhenghua Primary School, Greenridge Primary School, Bukit Panjang Primary School, Chua Chu Kang Secondary School, and West Spring Secondary School.

322 Million-Dollar deals to date

According to SRI, to date, a total of 322 million-dollar HDB resale deals have transpired within the first nine months of 2023, in contrast to the 369 million-dollar deals recorded in 2022.

Over the past few years, numerous residential estates across the island have borne witness to the phenomenon of million-dollar transactions, with notable exceptions being Choa Chu Kang, Jurong West, Sembawang, and Sengkang.

Singapore in August this year witnessed a significant surge in the resale market for HDB flats, a total of 54 HDB resale flats were transacted for at least $1,000,000, marking a notable increase compared to July 2023, which saw 32 such transactions, and June of the same year, with 34 million-dollar flat sales.

This is also the highest volume of resale flats transacted for at least $1 million to date, according to data from the Singapore Real Estate Exchange (SRX) issued on September.