HDB prepares for a record exercise amid rising resale market prices.

In February 2025, the Housing Development Board (HDB) will offer more than 5,500 balance flats, marking the largest Sale of Balance Flats (SBF) exercise to date. About 40% of the available units will be completed flats, while the remaining units will be progressively completed between 2025 and 2028. This move comes amid a continued surge in HDB resale prices, with a 2.7% increase from July to September 2024, surpassing the previous quarter’s growth of 2.3%.

The resale market remains vibrant, with 8,142 HDB resale flats changing hands in the third quarter of 2024, a 10.7% increase from the prior quarter. Million-dollar transactions also saw a rise, with 331 resale flats sold for over $1 million, up from 236 in the previous quarter. This increase is attributed to strong demand and tight supply, as fewer new flats reach their minimum occupation period in 2024 compared to the previous year.

HDB’s data highlights that while million-dollar transactions make up a small portion of the market, the total number of such transactions in 2024 has surged. Flats in prime locations like Bishan, Serangoon, and Kallang/Whampoa continue to see high demand and prices. Despite the rise in prices, the HDB encourages financial prudence as market cycles can lead to price fluctuations.