HDB rents dipped 0.5% in November

Rising flat supply will ensure that leasing costs remain cheap.

Rental rates for Housing and Development Board (HDB) flats slipped 0.5% MoM in November, with HDB Executive rents leading the fall as their rents dipped 2.3%, SRX Property revealed.

HDB 3-rooms and 4-rooms also recorded a slip in rental rates by 0.5% and 0.7%, respectively. Meanwhile, HDB 3-rooms saw a 0.3% rent increase.

Also read: HDB rents rose 0.3% in October

SRX Property noted that rents in both mature and non-mature estates dipped 0.5% and 0.6%, respectively on an MoM basis.

HDB rental volumes also saw a 10.1% fall as only 1,706 HDB flats were rented compared to the 1,897 units rented in October. On a YoY basis, rental volumes in November dropped 13.7% compared to the 1,976 units rented in November 2017.

“HDB rents may continue to see weakness in the coming months as the increasing supply of HDB flats will inevitably raise competition amongst landlords,” OrangeTee & tie head of research and consultancy Christine Sun commented.