Sales volume of HDB flats fell by 11.6% last month, possibly due to the rise in demand for private properties as new launches brought about a buzz of market activity once more. 1,753 resale HDB flats were sold in June, down from 1,984 in May.
Part of the reason for the fall could also be due to the June school holidays but also, property analysts are positive about the figures as it shows a stabilising of the resale flat market. The government’s ramped-up supply of build-to-order (BTO) flats in recent years has also meant demand from young families and flat seekers have been met in a more timely manner and fewer are now looking within the resale market.
The sector has come a long way from the days where cash-over-valuation (COV) prices were the talking point of the real estate market. In the current market, the valuation process has adjusted well and COVs are rarely mentioned or demanded these days.
Although it is yet purely a buyers’ market, competition has heightened. Supply has however also been suppressed as more owners are sitting on their units since the declination of resale flat prices. In mature estates however, HDB resale prices rose 0.8% in June while that in non-mature estates fell o.9%.