HDB resale flat prices rise 0.1% in Q3; first increase in four quarters: Flash estimates

HDB said it will offer about 4,500 Build-To-Order flats in Ang Mo Kio (pictured), Tampines and Tengah next month. PHOTO: ST FILE

SINGAPORE - Housing Board resale prices rose 0.1 per cent in the third quarter of this year compared with the quarter before, according to the latest HDB flash estimates released on Tuesday (Oct 1).

The resale price index was 130.9, up from 130.8 in the second quarter of the year.

It is the first increase after four consecutive quarters of decline.

The final figures, with more detailed public housing data, will be released on Oct 25.

As for new flats, the HDB said it will offer about 4,500 Build-To-Order (BTO) flats in Ang Mo Kio, Tampines and Tengah next month.

In February next year, it will offer some 3,000 BTO flats in Sembawang and Toa Payoh.

Some flats are still available for open booking. Eligible flat buyers may apply online at HDB InfoWEB.

OrangeTee & Tie's head of research and consultancy Christine Sun noted that the uptick is the first rise in HDB resale prices since the second quarter of last year.

She said the price rebound is in line with expectations as market sentiment in the public housing segment has picked up significantly.

In recent months, the Government has announced a series of policy changes that include allowing buyers to use more of their Central Provident Fund monies to buy HDB flats, enhancing housing grants for first-time buyers and raising the income ceiling for eligible buyers.

Ms Sun said that the demand for resale flats is expected to continue to rise.

However, she added that a dramatic price rebound in the next few months is unlikely as the supply of flats reaching their five-year Minimum Occupation Period is expected to increase, putting more resale flats in the market.

Meanwhile, PropNex Realty chief executive officer Ismail Gafoor said that resale prices are expected to remain flat for the rest of the year but they can increase next year due to a higher volume of transactions.

"With the recent initiatives introduced by the government... we can expect to see a rejuvenation in the HDB resale segment paving way towards a positive growth in the coming quarters," he said.

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