Singapore records strongest quarter of HDB resale volume in three years

A total of 8,035 flats were resold in Q3 2024.

Flash estimates released by the Housing and Development Board (HDB) showed that prices of resale flats in Singapore climbed at a faster pace yet again, rising by 2.5% QOQ in Q3 2024, following the 2.3% QOQ growth in Q2 and the 1.8% QOQ increase in Q1. 

According to PropNex, taking in the latest data, the HDB resale price index has risen by a cumulative 6.8% in the first nine months of 2024. For the full year 2024, PropNex expects HDB resale prices to climb by 8% to 9% - outpacing the 4.9% price growth in 2023.

Here’s more from PropNex:

The price growth can be attributed to the healthy demand for HDB resale flats, which have seen higher transactions in recent quarters. The HDB said that 8,035 flats have been resold in Q3 2024 (till 29 Sep 2024). 

This has surpassed the 7,068 units resold in Q1 2024, and 7,352 units transacted in Q2 2024 – marking what would be the strongest resale volume since Q3 2021 where 8,433 flats were resold. In the first nine months of 2024, HDB resale volume reached 22,455 units.

PropNex expects the HDB resale volume could potentially come in at 28,500 to 29,500 units for the whole of 2024, outperforming the 26,735 flats resold in 2023.

During the quarter, the government rolled out further cooling measures – a 5 percentage-point reduction in the loan-to-value (LTV) limit for HDB loans to 75% – to tame rising resale flat prices. The measure which took effect from 20 August is not expected to affect the vast majority of resale flat buyers.

“The third quarter of 2024 is shaping up as the strongest quarter of sales for the HDB resale market in about three years, and we expect the HDB resale volume in 2024 may potentially outperformed that of 2022 and 2023, underpinned by healthy demand for resale flats,” said Wong Siew Ying, Head of Research and Content, PropNex Realty.