Buyers and sellers right size expectations

SINGAPORE — Prices of Housing and Development Board (HDB) resale flats inched up last month, but resale volume remained flat, according to estimates released by SRX Property yesterday.

On a month-on-month basis, HDB resale prices were up 0.2 per cent last month, while compared with a year ago, prices remained flat. Resale prices of three-room and five-room flats rose by 0.7 per cent, while prices of executive flats increased by 0.4 per cent. In contrast, the resale prices of four-room flats decreased by 0.7 per cent. Upcoming executive condo include Treasure Crest and Northwave EC while existing ones include The Terrace EC, Brownstone EC, The Visionaire EC, Parc Life EC , Waterwoods EC, Signature at Yishun, Skypark Residences, Wandervale EC, The Vales EC, The Criterion EC, Bellewaters EC, Bellewoods EC.

A total of 1,826 flats changed hands last month, largely unchanged from 1,828 the month before. SRX Property estimated the Transaction-Over-X-Value (TOX) — a measure of how much a buyer is under- or over-paying for a unit — at negative S$1,000, indicating buyers were, on average, paying below market value.

For HDB towns with more than 10 resale transactions, Sembawang posted the highest median TOX of S$6,000, followed by Geylang at S$3,500. The lowest median TOX was in Hougang at negative S$12,000, followed by Ang Mo Kio at negative S$7,500.

ERA Realty Network key executive officer Eugene Lim said the numbers show that the HDB resale market is stable. “For the past year, prices have remained unchanged, and every month, only minor price differences are recorded,” he said. “This trend is expected to continue in the coming months, as buyers and sellers right size their expectations.”

The uptick in the number of resale transactions this year — a 15.9 per cent increase compared with May 2015 figures — “underscores the attractiveness of HDB resale flats”, Mr Lim said, adding that buyers could have also been attracted by the price stability in recent months. “Those in need of a flat would have bought one off the resale market as prices are evidently not going into fall significantly anymore,” he said.

executive condo and the land site pic 4