{"id":100674,"date":"2018-10-30T11:37:12","date_gmt":"2018-10-30T04:37:12","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/property-news\/falling-hdb-resale-prices-a-thorny-issue-for-singapore-government\/"},"modified":"2018-10-30T12:02:55","modified_gmt":"2018-10-30T05:02:55","slug":"falling-hdb-resale-prices-a-thorny-issue-for-singapore-government","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/falling-hdb-resale-prices-a-thorny-issue-for-singapore-government\/","title":{"rendered":"Falling HDB resale prices a thorny issue for Singapore government"},"content":{"rendered":"


\nHDB resale prices could slide by up to 2.0% this year.
\nThere could be severe political ramifications if the Singapore government fails to adequately address the downtrend in the prices of HDB resale flats and the loss of their value as the lease dwindles, reported Bloomberg recently.
\n\u201cThe government has to walk a tight rope on this,\u201d said ZACD Group research head and executive director Nicholas Mak, who expects HDB resale prices to slide by 1.0 percent or 2.0 percent for the whole of 2018.
\nFind\u00a0HDB flats for sale\u00a0or read our\u00a0HDB guides\u00a0and\u00a0BTO guides
\nThe authorities can neither extend the leases of HDB flats \u201cfor free\u201d nor let prices of such properties fall too much, he explained, as its impact on the wealth of homeowners could have serious political consequences.
\nCushman & Wakefield also thinks that the fall in values would not only dampen public sentiment, but could also negatively affect demand for private homes as fewer HDB flat dwellers will feel comfortable enough to upgrade to private condos.
\nPreviously, an HDB flat purchased for around $72,500 in 1985 is now selling for about six times that amount, translating to annual compounded price growth of 5.6 percent.
\nHowever, the value of HDB resale flats has been declining, while that for private residential properties has recovered in the last five quarters. This has resulted in a price gap of 13.8 percent, or the biggest in over 10 years.
\nLatest data published last Friday (26 Oct) by the Housing Board also shows that the HDB resale price index slid 0.1 percent quarter-on-quarter in Q3 2018. This took place even though the number of resale transactions rose 18.9 percent quarter-on-quarter and 21.6 year-on-year to 7,063 cases.
\nNonetheless, the government is carrying out measures to tackle this issue. Among them is the Voluntary Early Redevelopment Scheme (VERS), which will allow homeowners to vote on whether to sell their HDB flats to the government once the age of their block hits 70 years before the 99-year lease ends. However, Credit Suisse said VERS won\u2019t be implemented for another 20 years and won\u2019t apply to all HDB flats.
\nMeanwhile, the Housing Board announced that it will offer around 3,800 Build-To-Order (BTO) flats in Yishun, Tengah, Tampines, Sengkang and Sembawang next month. It will also hold a concurrent sale of balance flats.
\nIn particular, those buying BTO flats in Yishun, Sengkang and Sembawang will have a shorter waiting time of 2.5 years instead of the usual three to four years.
\nCan you afford an HDB flat? Check your\u00a0affordability\u00a0now.\u00a0
\n\u00a0
\nRomesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email\u00a0romesh@propertyguru.com.sg
\n
\nSource : proppertyguru.com.sg\/Property Market
\nRead more…Falling HDB resale prices a thorny issue for Singapore government<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

HDB resale prices could slide by up to 2.0% this year. There could be severe...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-100674","post","type-post","status-publish","format-standard","hentry","category-property-news"],"jetpack_featured_media_url":"","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-qbM","jetpack-related-posts":[{"id":111882,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/private-home-prices-hdb-resale-prices-up-in-q3-2019\/","url_meta":{"origin":100674,"position":0},"title":"Private home prices, HDB resale prices up in Q3 2019","date":"October 25, 2019","format":false,"excerpt":"\r Meanwhile, buyer demand for\u00a0HDB resale flats has remained surprisingly resilient, with 6,264 resale flats changing hands, which is almost on par with the 6,276 units transacted in Q2 2019. Despite rising global uncertainties, the impact of additional cooling measures and lukewarm consumer sentiment, Singapore\u2019s real estate market continued to\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"https:\/\/i2.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2019\/10\/ura-property-price-index-q3-2019-singapore.png?fit=550%2C283&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":113352,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/hdb-resale-prices-up-0-4-in-q4-2019\/","url_meta":{"origin":100674,"position":1},"title":"HDB resale prices up 0.4% in Q4 2019","date":"January 2, 2020","format":false,"excerpt":"\r As such, the HDB Resale Price Index (RPI), which measures overall price movements of resale HDB flats, is now 131.4.\u00a0 Resale prices of HDB flats have continued to climb in Q4 2019, raising by 0.4% from the 0.1% increase in Q3 2019, according to the latest HDB flash estimates.\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"https:\/\/i2.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2020\/01\/HDB-flash-estimates-Q4-2019.png?fit=600%2C343&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":108612,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/hdb-resale-prices-continue-to-fall-in-q2\/","url_meta":{"origin":100674,"position":2},"title":"HDB Resale Prices Continue To Fall In Q2","date":"July 2, 2019","format":false,"excerpt":"\r Resale prices of Housing and Development Board (HDB) flats continued its downward trend, falling 0.2 percent in the second quarter of 2019, revealed flash estimates from the HDB. Providing information on the general price movements within the resale public housing, the resale price index (RPI) fell to 130.8 in\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":122996,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/incomes-have-kept-pace-with-prices-of-new-hdb-units-resale-flats\/","url_meta":{"origin":100674,"position":3},"title":"Incomes have kept pace with prices of new HDB units, resale flats","date":"November 3, 2021","format":false,"excerpt":"\r HDB subsidies for new and resale flats keep public housing affordable; among resale flat buyers who have taken\u00a0up an HDB loan, the mortgage servicing ratio\u00a0has remained stable at 23%. New Housing and Development Board (HDB) units and resale flats continue to remain affordable as incomes of Singaporeans have generally\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"https:\/\/i1.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2021\/11\/Colour-Scheme-HDB-e1479092279776.original.jpg?fit=820%2C410&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":122742,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/hdb-resale-prices-transactions-up-in-q3\/","url_meta":{"origin":100674,"position":4},"title":"HDB resale prices, transactions up in Q3","date":"October 22, 2021","format":false,"excerpt":"\r Quarter-on-quarter, Q3 2021 HDB resale prices\u00a0increased\u00a02.9% while\u00a0transaction volumes increased 19.4%. Resale prices for Housing and Development Board (HDB) flats rose 2.9% in the third quarter of 2021, moderating from the 3% increase registered in the previous quarter, showed HDB data on Friday (22 October). Nonetheless, it is still slightly\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"https:\/\/i1.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2021\/10\/Pine-Close-HDB-flat-crop.jpg?fit=820%2C410&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":86794,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/hdb-resale-prices-down-0-8-in-q1\/","url_meta":{"origin":100674,"position":5},"title":"HDB resale prices down 0.8% in Q1","date":"April 30, 2018","format":false,"excerpt":"\r This is the highest decline seen for resale flat prices in over two years.\u00a0 Prices for HDB resale flats fell by 0.8 percent in the first quarter of 2018 \u2013 its highest decline for the last nine quarters since Q1 2016, according to more complete data released by the\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/100674"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=100674"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/100674\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=100674"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=100674"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=100674"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}