HDB resale price drops but number of transactions rises

This article is more than 12 months old

The HDB market had a bet each way last month, with resale prices dipping but the number of transactions soaring.

Resale values continued to edge down, falling 0.1 per cent compared with October, while sale volumes kept rising, surging 11.2 per cent, according to SRX Property flash estimates yesterday.

Last month's price dip was smaller than the 0.2 per cent decline from September to October. October's figure was revised from a 0.3 per cent drop.

HDB resale prices last month were 2.3 per cent lower than in the same month last year and 12.6 per cent below their peak in April 2013.

Only prices of five-room flats rose from October to last month, increasing 0.4 per cent.

Three-roomers were down 0.3 per cent, while four-room flats fell 0.1 per cent, the same fall recorded by executive apartments.

Resale prices in mature estates reversed October's drop with a 0.3 per cent rise, while flat values in non-mature estates declined 0.4 per cent.

Demand for HDB resale flats was stronger, both on a monthly and yearly basis.

SRX Property said 1,980 resale flats were sold last month up from 1,781 in October, a rise of 11.2 per cent and well ahead of October's 5.9 per cent increase. Resale volumes were 24.1 per cent higher than the 1,596 transactions sold in November last year.

Still, the HDB resale market has yet to return to its heyday.

Sale volumes in October was 45.7 per cent lower than their peak in May 2010, when 3,649 resale flats were moved.