Will HDB resale prices continue to rise in 2024?

In 2023, resale prices rose by 4.9%.

Real estate experts believe that HDB resale prices will continue to increase in 2024, albeit "modestly" as more buyers resist paying higher prices for resale flats.

OrangeTee and Huttons predict resale flat prices to consolidate in the range of 3%-5% in 2024, whilst PropNex predicts a 4%-5% price growth.

"Buyers are increasingly resisting paying higher prices and cash-over-valuation (COV) for an HDB resale flat unless the flat possesses superior attributes like excellent central location, unblocked views, high floor or loft design," Huttons commented.

OrangeTee, for its part, said the lower number of MOP flats will affect prices in 2024.

"As MOP flats slip, the dwindling stock will help prop up prices in some locations and prevent a steep price correction," OrangeTee said.

Huttons underscored that the lower number of MOP flats may mean fewer flats available for rental.

PropertyGuru shared a similar sentiment, saying: " Asking prices may remain high, given the lower supply of newer HDB resale flats and the rarity of attractive units."

Commenting on sales volume, Huttons said it expects transactions to come between 25,000 to 27,000  in 2024. PropNex had a similar forecast of 26,000 to 27,000 units.

Factors like longer waiting time for BTO sales exercises and lesser Sale of Balance Flats (SBF) exercises will see more buyers turning to the resale market, said Huttons.

PropNex, for its part, said resale volume will remain stable in 2024, given that the segment continues to cater to the masses.