SINGAPORE: Prices of Housing and Development Board (HDB) resale flats climbed 0.9% in April, and more units were sold as the market picked up following a dip the month before.

HDB resale flat prices grew at a quicker pace in April than the 0.3% rise in March, flash data from real estate portals Singapore Real Estate Exchange (SRX) and 99.co showed.

Year-on-year, prices climbed by 9%.

The number of resale flats sold in April rose by 15.7% to an estimated 2,387 units, in contrast with the 3.3% decline the month before.

Compared with April 2023, resale volume was 6% higher.

Property analysts said the rebound in demand for resale flats, which helped to prop up prices, could be attributed to the less frequent Build-to-Order (BTO) and Sale of Balance Flats exercises.

From 2024, BTO flats will be offered across three sales exercises - in February, June and October - down from the previous four launches a year.

Mark Yip, chief executive of property firm Huttons Asia, said home seekers who were unsuccessful in the only Sale of Balance Flats exercise in 2024, which took place in February, could have turned to the resale market rather than wait till 2025.

Such launches, which give applicants a chance to apply for balance flats from earlier BTO sale exercises, previously took place twice a year.

On the supply end, the healthy resale market could have led to more homeowners putting up their flats for sale, said Christine Sun, chief researcher and strategist at property firm OrangeTee Group.

“Some sellers may be motivated by the prospect of earning a substantial profit, while others may want to upgrade to a bigger home,” she added.

Sixty-eight flats changed hands for at least S$1mil each in April, higher than the 61 such transactions in March.

Of the million-dollar HDB resale flats sold in April, 24 are four-room units, 22 are five-room flats and 22 are executive apartments.

Most of them are in mature estates such as Kallang/Whampoa, Toa Payoh and Bukit Merah, while seven are in non-mature towns, including Jurong East, Sengkang, Bukit Panjang and Hougang.

These transactions made up about 2.8% of total transactions in April.

The most expensive resale flat was a five-room, 1,259-sq-ft unit between the 22nd and 24th floors at The Peak@Toa Payoh, which sold for S$1.438mil.

A 1,539-sq-ft executive flat on Toh Guan Road in Jurong East fetched S$1.088mil, the top transaction in a non-mature estate in April.

The non-mature town of Sengkang recorded its first million-dollar flat transaction in April, noted Mohan Sandrasegeran, head of research and data analytics at Singapore Realtors.

The 1,539-sq-ft executive maisonette in Compassvale Lane changed hands for S$1mil.

Still, Sandrasegeran does not expect significant shifts in resale prices in the Sengkang area.

“Million-dollar resale transactions are generally exceptional and not indicative of broader market trends,” he said.

The analysts also noted that in April, Kallang/Whampoa recorded 15 million-dollar flat transactions, a record high for a town.

Yip said 11 of the 15 transactions were at the St George’s Towers project, which recently reached its five-year minimum occupation period.

“Eight of the 11 transactions at St George’s Towers are located on the 19th floor and above. Hence, they are likely to have unblocked views,” he said.

 - ANN