No recovery yet for HDB resale demand since cooling measures: analyst

HDB sales are 11.3% lower and below the 12-month average.

The HDB resale demand may have recovered in July but the figures have not returned to the trend before the December 2021 cooling measures were enforced, OrangeTee said.

SRX and 99.co recently posted the July 2022 HDB resale flats, where 2,363 units were sold, which is a 10.5% increase from June. But OrangeTee said on a yearly basis, July figures are below the 12-month average sold.

“However, last month's sales recovery may not be considered strong since it is below the monthly sales seen in 2021. When compared to a year ago, last month's sales are 11.3 per cent lower and below the 12-month average of 2,386 units (July 2021 to June 2022),” said OrangeTee, in a statement.

READ MORE: HDB rents 'may reach peak soon': OrangeTee

Government’s build-to-order flats in different locations also impacted demand for HDB resale flats, OrangeTee also said. 

Comments from Huttons Asia showed that the count of HDB resale transactions improved in July after a quiet season.

It also sees that the pace of price gains in the HDB resale market is moderating and will stay this way for the rest of the year. 

“Transaction volume should be around 27,000 flats and prices may increase up to 10% in 2022,” it added.