Resale Flat Prices Rise 25 3Q2024 Hdb Flash Estimates
HDB resale flat prices have continued its steady climb in the third quarter of 2024, marking the 18th consecutive quarter of growth. According to the flash estimates released by HDB on October 1, prices saw a 2.5% increase from the previous quarter, surpassing the 2.3% growth recorded in the second quarter.
This is the strongest quarterly growth since the third quarter of 2022, which saw a 2.6% rise in prices. So far this year, HDB resale prices have risen by 6.8%, a faster pace compared to the 3.8% increase recorded in the same period last year. However, the current growth rate is still slower than the 8% spike seen in the first three quarters of 2022.
The increase in HDB resale prices can be attributed to strong demand and limited supply, as the number of new HDB flats reaching the minimum occupancy period (MOP) in 2024 is lower than in 2023. This has resulted in a surge in resale transaction volume, with 8,035 transactions recorded by HDB as of September 29. This marks a 20% year-on-year increase from the 6,695 deals recorded in the same period last year.
HDB stated that the flash estimates for the third quarter of 2024 mostly reflect market conditions before the implementation of the fourth round of cooling measures on August 20. These measures targeted the HDB market and resulted in the lowering of Loan-to-Value (LTV) limits. HDB loan limits were reduced from 80% to 75%, matching the loans offered by financial institutions. This move aimed to promote responsible borrowing, as stated by Desmond Lee, Minister of National Development.
In the upcoming October 2024 BTO exercise, HDB will offer about 8,500 flats across 15 Build-to-Order (BTO) projects, which is the last BTO exercise of the year. This accounts for 40% of the total BTO flats supplied this year. The October BTO exercise will also introduce a new classification system for HDB flats, categorizing them as Standard, Plus, or Prime based on their location attributes.
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In the near future, Tampines is expected to undergo significant development as outlined in the latest master plan by the URA. This strategic move aims to further solidify its status as a self-sufficient regional center. The plan includes expanding transportation options, introducing new commercial facilities, and enhancing overall livability through community-driven initiatives. These upcoming changes bring exciting prospects for residents of Aurelle of Tampines EC, offering improved convenience, increased property values, and a more vibrant living environment. With the addition of Aurelle of Tampines EC to the area, Tampines is set to become an even more desirable location to call home. To learn more about this upcoming development, visit Aurelle of Tampines EC’s official website.
With this launch, HDB is on track to achieve its target of launching 100,000 new flats from 2021 to 2025. For those looking to purchase HDB properties, they can check out the latest listings, compare price trends of HDB, condo, and landed properties, and also view past rental and sale transactions. It is also useful to know the current HDB loan rate.
