Property market to continue to stabilize despite rising private and HDB house prices in Q1: Desmond Lee

SINGAPORE – There may be quarter-on-quarter variations in Housing Board and resale prices for private homes, but authorities expect the property market to continue to stabilize, said National Development Minister Desmond Lee.

The government will watch trends very closely over the coming quarters, added Lee, who was speaking to reporters on the sidelines of the opening of the Greenfly Allotment Garden in Boon Lay on April 27.

His comments came a day after the latest HDB resale and private housing data for the first quarter of 2024 was released.

HDB second-hand flat prices rose 1.8 per cent in the first three months of 2024, up from 1.1 per cent in the previous quarter. This was the 16th consecutive quarter of price increases since the second quarter of 2020, according to figures released by the statutory board.

Meanwhile, private residential property prices rose 1.4 percent in the first quarter, according to figures from the Urban Redevelopment Authority (URA).

“Season after season, quarter after quarter, there will be fluctuations in (HDB) resale prices. But if you look at the trends, year over year, last year’s resale price growth was much lower than the previous year, 2022, and 2022 lower than the previous year,” Lee said.

HDB resale prices increased by 4.9 percent in 2023, down from an increase of 10.4 percent in 2022 and 12.7 percent in 2021.