Public housing resale prices post first dip in nearly 7 years in Q1 2026
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The HDB said that 6,285 transactions were completed in the first quarter of 2026 – a 19.6 per cent increase over the 5,256 transactions in the fourth quarter of 2025.
ST PHOTO: BRIAN TEO
- HDB resale flat prices fell 0.1% in Q1 2026, the first drop in nearly seven years, per HDB. Quarterly transactions rose 19.6%, but year-on-year fell 4.6%.
- Cooling measures and increased HDB Build-To-Order supply tempered demand, leading to price moderation and a more balanced market, according to analysts.
- Analysts predict moderate price increases for 2026. More MOP flats and BTO launches could stabilise prices and provide wider housing options.
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SINGAPORE – Prices of resale HDB flats have declined for the first time in close to seven years, even as more flats were sold.
This “comes on the back of five consecutive quarters of slower or no price growth”, said the Housing Board on April 24.
HDB resale prices fell by 0.1 per cent in the first quarter of 2026, compared with the previous quarter. This tallies with flash estimates published earlier in the month.
A total of 6,285 flats were sold in the first quarter. This was higher than the 5,256 transactions in the fourth quarter of 2025.
However, 4.6 per cent fewer flats were sold this quarter compared with a year ago.
Ms Christine Sun, chief researcher and strategist of Realion Group, which property firms OrangeTee and ETC come under, said that the year-on-year drop shows that the resale market “has generally slowed down this year”.
“We’ve observed that deals are taking longer to close in recent months, as buyers have more housing options and buyer sentiment has slowed in view of the uncertain macroeconomic conditions,” she said.
Mr Mohan Sandrasegeran, head of research and data analytics at Singapore Realtors Inc, added that the year-on-year transaction decrease may “reflect a more balanced market environment, with a steady supply of units in Build-To-Order (BTO) and Sale of Balance Flats exercises, as well as more flats reaching their minimum occupation period (MOP), offering buyers a wider range of options”.
“This could be redistributing demand across different housing segments rather than concentrating it solely within the resale market,” he said.
The resale price index for the first quarter of 2026 was 203.4, down from 203.6 in the previous quarter.
On the slight decrease in flat prices, Mr Eugene Lim, key executive officer of ERA Singapore, said: “We are likely seeing the snowball effect of previous cooling measures, such as the 15-month wait-out period for private-property right-sizers, alongside the sustained ramp-up in BTO supply.
“These policy moves have successfully tempered resale price growth by dampening demand and expanding supply for first- and second-timers.”
He added: “While a broader correction in HDB prices might be under way, growth could persist in specific segments of the resale market, such as million-dollar HDB flats.”
He noted that 412, or about 6.6 per cent, of resale flats in the first quarter of 2026 transacted for at least $1 million – a figure similar to the last quarter of 2025, when about 6.7 per cent of resale units fell in this category.
Mr Lim said that flats at this price point changed hands mainly in popular towns such as Toa Payoh, Queenstown, Bukit Merah and Ang Mo Kio, reflecting a persistent demand for flats in central locations that are not subject to the tighter resale conditions that come with Prime and Plus BTO units.
“Even in a more selective market, some buyers may still be willing to pay a premium for well-located flats near amenities, particularly those with long remaining leases,” he said.
Mr Sandrasegeran said that rather than signalling weakness, the overall decline in prices “reflects a market that is gradually transitioning towards a more sustainable pace of price growth”.
He noted that in recent quarters, quarterly gains have been narrowing, with price moderation seen across the four quarters of 2025.
“The moderation in the first quarter of 2026 can therefore be seen as a natural extension of this trajectory, as price growth stabilises after a strong run-up in previous years,” he said.
Over the whole of 2026, analysts expect resale prices to increase, albeit at a moderate rate.
“The resale market continues to act as a crucial outlet for unmet housing demand, especially for buyers who value immediacy or are not keen on the locations announced for the upcoming BTO exercises,” said Mr Lim, noting that the increase in flats exiting their MOP in 2026 will expand the resale pool and, in turn, sustain transaction volumes.
Mr Sandrasegeran added that the broader supply base “should help distribute buyer interest more evenly across different segments”.
“In turn, this supports a more stable and sustainable pace of price formation,” he said, adding that plans to launch more BTO flats in mature towns will also help to anchor resale price stability in the longer term.
About 6,900 new BTO flats will be launched in June 2026, in towns such as Ang Mo Kio, Bishan, Bukit Merah, Sembawang and Woodlands. The board advised buyers who are keen to participate in the June exercise to apply for an HDB Flat Eligibility letter by May 15.
The Government had previously said about 19,600 BTO flats would be launched in 2026, with 4,692 already launched in February.
This means that about 8,000 flats are expected to be launched in the third and final BTO exercise of the year in October, including more than 1,000 flats in a 1,600-unit project in Toa Payoh West that will also house about 230 rental flats.
