Often, the housing market can feel like a roller coaster, and the latest trends in HDB resale prices are no exception. In Q1 2025, the growth in resale prices slowed to a modest 1.6%, a significant dip from the 2.6% surge in the previous quarter, Q4 2024. This cooling pace, compared to the 2.3% average growth seen throughout 2024, hints at a market finding its footing amid changing conditions. Analysts point to a higher supply of flats as a key reason for this moderation, suggesting that with more units available, buyers are less pressured to bid prices up. It’s almost as if the market is taking a breather after a long sprint!
Despite the slowdown, the HDB Resale Price Index (RPI) still climbed to 201.0 in Q1 2025, marking 20 straight quarters of growth. That’s quite a streak, showing the market’s stubborn resilience, even if the momentum has eased for two quarters in a row. Notably, prices have risen by an impressive 53.7% since Q2 2019, underscoring the long-term upward trend despite recent moderation. This growth streak follows the pattern that began in Q1 2020, which analysts predicted could extend to 23 consecutive quarters of price increases due to limited supply.
The HDB Resale Price Index hit 201.0 in Q1 2025, showcasing 20 quarters of relentless growth despite a recent slowdown in momentum.
Transaction volumes also tell an interesting story, rising by 2.6% to 6,590 units sold, up from 6,424 in Q4 2024. Yet, year-on-year, sales dropped by 6.8%, indicating that while activity remains robust, it’s not translating into skyrocketing prices. More deals, less frenzy—perhaps buyers are getting pickier. Additionally, the largest Sale of Balance Flats exercise diverted some demand from the resale market, contributing to eased demand pressures.
Geographically, the picture isn’t uniform across Singapore. Only 19 towns saw price growth in Q1 2025, down from 20 the prior quarter, while 7 towns faced declines, up from 6. This patchwork of trends reveals uneven demand and supply dynamics, with some areas feeling the weight of increased flat availability more than others.
Meanwhile, broader forces like government policies to boost supply and a cautious economic outlook for 2025 are shaping sentiment. These measures aim to keep housing affordable and prevent overheating, a balancing act in uncertain times.
Still, the market’s ability to absorb extra supply with only slight price adjustments is remarkable. It shows grit, even as buyer caution creeps in. For now, HDB resale prices continue their upward crawl, albeit at a gentler pace, reflecting a market that’s steady, if not as wild as before.
