and 8 monthsHDB Resale Flats Expected to Keep Their Appeal in The Current MarketHDB resale volume in March up 89.2% y-o-y ending the quarter on a high noteCache Apr May 17 2021″[rewrite_sentence]The latest flash estimates from the HDB showed a 2.5% quarter-on-quarter increase in resale flat prices during the fourth quarter of 2024, marking the 19th consecutive quarter of price growth in the HDB resale segment. This represents a slight slowdown from the 2.7% growth seen in the previous quarter. According to Christine Sun, chief researcher and strategist at OrangeTee Group, while the prices for HDB resale flats have increased by 9.6% in 2024, doubling the 4.9% growth seen in 2023, it is still not as high as the 10.4% increase in 2022 and 12.7% growth in 2021. The latest data from data.gov.sg also showed a decrease in the rate of price growth for some flat types, such as four-room flats which saw a 2.5% increase in price during the fourth quarter of 2024, compared to a 3.4% growth in the previous quarter. Similarly, two-room flats and executive flats also saw a slower rate of growth in the fourth quarter of 2024.”The resale volume for HDBs during the fourth quarter of 2024 declined by 3.6% year-on-year to 6,314 units, which is lower than the 8,142 units seen in the previous quarter. Sun attributed this decline to the release of over 8,500 new flats in the October Build-to-Order exercise, which attracted buyers due to their prime locations and desirable features, as well as the seasonal year-end school holidays where many Singaporeans tend to travel. Wong Siew Ying, head of research and content at PropNex, also attributes the slower pace of growth in the fourth quarter of 2024 to government intervention in August 2024, where the loan-to-value limit for HDB loans was reduced by five percentage points to 75%. However, despite this slowdown, the total resale volume for 2024 was 28,876 units, which is 8% higher than the previous year and second only to the peak of 31,017 units in 2021. On the other hand, the number of million-dollar flat transactions dropped to 283 units in the fourth quarter of 2024, from 331 units in the third quarter of 2024. Overall, the total number of million-dollar transactions reached a record high of 1,033 units in 2024. “The rise in million-dollar transactions can be attributed to the new classification of Plus and Prime BTO flats, which have driven more homebuyers towards central locations,” says Eugene Lim, key executive officer of ERA Singapore, adding that these buyers are not willing to accept resale restrictions such as the 10-year minimum occupation period (MOP), rental restrictions, resale resale income cap on future buyers. OrangeTee expects HDB resale prices to continue rising in 2025, but at a slower pace due to affordability concerns and the availability of BTO flats. However, the number of BTO flats released in the upcoming years will play a big role in price stabilization. In February 2025, HDB will launch its largest sale of balance flats exercise, which is expected to offer more than 5,500 units across various towns. With fewer MOP flats coming on the market, PropNex anticipates that HDB resale prices may rise by 5% to 7% in 2025, while ERA expects a more measured pace of growth at 3% to 6%. Meanwhile, Huttons projects a slower growth rate of 5% to 8%, with the resale volume expected to range from 26,000 to 28,000 units by the end of 2025.