The price index of HDB resale flats increased by 3.9% in 4th Quarter while the number of transactions decreased by 23% in the same quarter. This brings the price gain for the whole year of 2009 to 8.2%.

Interestingly, the median cash premium or Cash-Over-Valuation amount reached a record high of $24,000, twice that of the $12,000 in 3rd Quarter 2009.

The total number of resale transactions for the whole of 2009 saw a jump of 31% over 2008, pointing to the high levels of activity in the HDB resale market.

“Generally, the last quarter (of the year) tends to be quieter,” explained PropNex Realty CEO Mr Mohamed Ismail. “Furthermore, the steady launch of new Build-To-Order (BTO) projects, the Government’s continued assurance of more BTO projects in the pipeline and the increased chances for first-time buyers of BTO flats, have all helped to assuage demand.”