HDB resale prices grew 0.6% MoM in June

Mature estate prices went up 0.7% MoM in June 2023.

The HDB resale prices for non-mature estates went up by 0.6% as compared to May 2023, 99.co and SRX figures showed.

For room types, three-room prices increase by 0.4%, four-room prices increase by 0.8%, five-room prices rise by 1.0% whilst executive prices fell by 1.1%.

Year-on-year, the overall price growth is 7.3% from June 2022. Year-on-year, prices for all room types increase over June 2022: three-room by 6.7%, four-room by 7.8%, five-room by 7.7%, and executive by 8.4%

Mature and Non-Mature Estates prices went up by 7.2% and 7.7%, respectively from a year ago.

Data also showed that 1,858 HDB resale flats are transacted in June 2023, representing a 17.8% decrease from May 2023.

Volume

Year-on-year, resale volumes in June 2023 are 13.1% lower than the previous year.

Breaking it down by room type, in June 2023, 47.1% of the volumes come from HDB four-room, 24.2% from five-room, 23.2% from three-room, and 5.4% from Executive.

Breaking it down by estate, 61.7% of the resale volumes in June 2023 come from Non-Mature Estates. The remaining 38.3% in the month are from Mature Estates.

The highest transacted price for a resale flat in June is achieved at $1.5m by a four-Room Adjoining unit at Moh Guan Terrace.

In Non-Mature Estates, the highest transacted price is achieved at $1.018m by an Executive Maisonette at Toh Guan Road.

Luqman Hakim, Chief Data & Analytics Officer at 99.co, said the June School Holidays is usually the time when parents can bring their children to travel overseas.  

“Being the first June Holiday period in which most countries have removed remaining Covid restrictions, more Singaporean families likely took this chance to travel. Expectedly, this has impacted the transaction volume of residential properties,” said 99.co.

Comments

Some property firms said prices remain firm for HDB resale market because buyers were backed by rise in housing grants.

"The 5-room flats had the largest price gains among other flat types. Buyers were probably balancing their need for more space against the age of the flat and decided to pay slightly more for a 5-room flat," said Huttons Asia.

The muted price increase was also supported by quiet transactional activities, PropNex Realty said.

"The price increase was led by mature estate flat prices which grew by 0.7% MOM while non-mature estate flat prices grew by 0.6% MOM. In terms of flat type, larger flats led the pack in terms of price growth – 5-room and executive flats grew by 1% and 1.1% MOM respectively. On a yearly basis, prices are up by 7.3% from June 2022," it noted.

OrangeTee said previous month's lower sales are backed by the new HDB flat eligibility (HFE) letter.

"From 9 May 2023, buyers need to assess their housing and financing options before making a purchase. The HLE letter will inform flat buyers upfront of their eligibility for a resale flat purchase, CPF housing grants and loan amounts," said the property analyst.