Despite falling prices of resale HDB flats, the number of units sold last month climbed steadily. The number of transactions in the resale HDB market rose over the past few months, surging 11.2% in the last.
Sales volume of resale HDB flats rose by 11.2%
1,980 transactions were recorded in November, an 11.2% rise from October’s 1,781 units. The increase in sales volume the month before stood at 5.9%. Resale values dipped 0.1% from October but the fall was slight considering November’s price decline of 0.2%.
Overall, November’s resale HDB flat prices were 2.3% lower than the same month last year. Prices have since fallen 12.6% from the peak in April 2013. Sales volume is also 45.7% lower than its peak in May 2010 when 3,469 units exchanged hands.
5-room HDB flats exception to the norm
3-room HDB flat prices fell the steepest at 0.3% while that of 4-room flats and executive apartments fell 0.1% each. Faring well, however, was the 5-room HDB flat segment. Prices here rose 0.4%.
Jalan Tenteram. Picture: iProperty
Units in mature estates withstood the change of tide with a 0.3% increase in flat prices while that in non-mature estates fell 0.4%. Overall, the demand for resale HDB flats remains strong.
Related: Private condominium prices on the rise
What remains to be seen is the activity in this sector over the next 2 to 3 years as the condominium market becomes possibly saturated with new launches.
Coupled with a slowing population growth and as more new HDB flats become available, how would the resale HDB flat market fare?
