SINGAPORE — Prices for resale Housing and Development Board (HDB) flats rose 2.3 per cent in the fourth quarter of 2022, the slowest increase in the year.

Data from HDB on Friday (Jan 27) showed that transactions fell by 12.6 per cent in the last quarter of 2022 compared with the preceding quarter.

The resale price index, which reflects the general price movements in the resale market, was 171.9 for the fourth quarter of 2022. This is a slower increase than the 2.6 per cent increase in the third quarter of 2022.

This is the 11th consecutive quarter that the resale price index has risen.

For the whole of 2022, resale prices rose by 10.4 per cent, slower than the 12.7 per cent increase in 2021. 

Resale transactions fell from 7,546 cases in the third quarter of 2022 to 6,597 cases in the fourth quarter.

Compared with the fourth quarter of 2021, resale transactions were 16.9 per cent lower.

Resale transactions fell by 10.1 per cent for the whole of 2022, from 31,017 cases to 27,896 cases.

On Sep 30, 2022, the Government introduced a slew of property cooling measures, including a 15-month wait-out period for private home owners who want to buy HDB resale flats. 

The measures include tightening the maximum loan quantum limits. For HDB loans, the loan-to-value (LTV) limit was lowered from 85 per cent to 80 per cent.

The number of approved applications to rent out HDB flats rose by 3.5 per cent in the fourth quarter of 2022 compared with the preceding quarter.

Compared with the same period in 2021, the number of approved applications in the fourth quarter of 2022 was 19.7 per cent lower.

For the whole of 2022, approved applications to rent out HDB flats fell by 15.1 per cent from 42,623 cases to 36,166 cases.

At the end of the fourth quarter of 2022, there were 56,647 HDB flats rented out, an increase of 0.5 per cent over the previous quarter.

BTO FLATS

In February, HDB will offer about 4,400 Build-to-Order (BTO) flats in areas such as Jurong West, Kallang Whampoa, Queenstown, and Tengah. 

Between 3,800 and 4,800 flats will also be offered in areas such as Bedok, Kallang Whampoa, Queenstown, Serangoon, and Tengah in the May BTO exercise.

"These numbers are subject to review as more project details will be firmed up closer to the launch dates," said HDB, adding that it plans to offer up to 23,000 BTO flats this year. 

"HDB is prepared to launch up to 100,000 flats in total from 2021 to 2025, if needed. HDB will continue to monitor housing demand and make adjustments, where necessary." CNA