16 HDB estates see quarterly price increases in 4Q2022, prices of flats in Bukit Timah climb 24% q-o-q: OrangeTee & Tie

Tengah Plantation EC . Although prices of resale flats took a hit last quarter, the slowdown in price growth was not uniform across the various estates.OrangeTee & Tie’s new HDB market report showed that the average prices at 10 out of 26 HDB towns slipped last quarter, decreasing by 0.3%–6.5%. 16 towns recorded a 0.4%–24% rise in prices, with the highest quarterly increases in Bukit Timah (24%), the Central Area (11.6%), Geylang (6.4%) and Bukit Merah (3.8%).HDB resale prices are expected to remain moderate this year, increasing at a slower pace of 5%–8% in FY2023. With housing supply expected to remain tight over the next few years, prices are unlikely to rise extensively due to the combined effects of property cooling measures and higher interest rates.

The HDB resale market experienced a slowdown in price growth last quarter, with the combined effects of property cooling measures and higher interest rates taking a toll on prices. According to OrangeTee & Tie’s new HDB market report, the average prices of HDB resale flats decreased 0.3%-6.5% q-o-q in 10 out of 26 HDB towns. The report was released following the public housing statistics by HDB on Jan 27, which showed a 10.4% y-o-y increase in resale prices for the whole of 2022.

Serangoon and Jurong East experienced the highest q-o-q price decline of 6.5%, followed by Toa Payoh (6.0%) and Queenstown (5.0%). On the other hand, prices of resale flats in 16 towns rose by 0.4%-24%. The highest quarterly increases were in Bukit Timah (24%), the Central Area (11.6%), Geylang (6.4%) and Bukit Merah (3.8%). Flats in Bukit Timah fetched the highest average price at $855,231 last quarter. Meanwhile, six HDB towns saw a price increase of less than 1%.

Tampines, Bedok, Ang Mo Kio, Kallang/Whampoa and Toa Payoh were the top mature estates for resale transactions in 4Q2022. On the other hand, Woodlands, Punggol, Sengkang, Yishun and Jurong West were the non-mature estates with the most resale transactions.

Senior Vice-President of research and analytics at OrangeTee & Tie Christine Sun believes that despite the drop in supply this year, prices are unlikely to rise extensively due to the cooling measures and high cost of living. She expects HDB resale prices to increase only 5%–8% in FY2023, a slower pace compared to the 12.7% rise registered in 2021.