Singapore’s Housing and Development Board (HDB) resale flat prices fell 0.2 per cent in the third quarter of 2026, marking the third consecutive quarterly decline according to flash estimates released on Oct 1. The HDB Resale Price Index slipped to 202.4, down from 202.8 in the second quarter, bringing the total estimated price drop for the first nine months of the year to 0.6 per cent.
Third Consecutive Quarterly Decline in HDB Resale Prices
The 0.2 per cent drop follows a 0.1 per cent decline in the first quarter and a 0.3 per cent drop in the second quarter. Mohan Sandrasegeran, head of research and data analytics at SRI, stated that this performance represents the weakest first nine months for the resale market since 2018, when prices fell 0.8 per cent over the same timeframe. Sandrasegeran pointed to a growing pipeline of flats reaching their Minimum Occupation Period (MOP) as the year progresses, alongside an expanding resale inventory and ramped-up Build-to-Order (BTO) supply, as key factors easing competitive pressure in the market.
Transaction Volumes Remain Stable Despite Price Moderation
Even with softening prices, the volume of resale transactions stayed broadly stable. HDB reported 7,528 resale transactions recorded in the third quarter as of Sep 29, representing a 5.2 per cent increase compared to the 7,157 transactions tracked over the same period last year. Market observers noted that the removal of the 15-month wait-out period for private property owners on Jul 28 drove notable demand specifically for larger units. Lee Sze Teck, senior director of data analytics at Huttons Asia, observed that five-room and larger resale flats saw the largest sales volume gains in the third quarter.
Impact of Lifted Wait-Out Period and Private Property Market Trends
HDB confirmed it has not observed a significant surge in either prices or purchase counts by private homeowners and former private property owners since the 15-month wait-out rule was lifted. The policy, initially introduced in September 2022 to moderate housing demand, was rescinded after National Development Minister Chee Hong Tat announced that market conditions had improved. Concurrently, the private residential market told a different story, with private home prices rising in the third quarter, marking the eighth consecutive quarter of price increases according to Christine Sun, chief researcher and strategist at Realion (OrangeTee & ETC) Group.
Market Outlook and Macroeconomic Caution
Looking toward the final three months of the year, analysts expect HDB resale prices to bottom out, supported by 13,484 flats fulfilling their five-year MOP in 2026. At the same time, HDB cautioned households to exercise financial prudence due to ongoing macroeconomic uncertainties regarding global and domestic interest rates. The agency stated it will continue monitoring property trends closely to ensure a stable and sustainable market.
Did you know?
The income ceiling for BTO flat applications was recently raised from S$14,000 to S$16,000 per month, which analysts expect will drive higher application rates for the November launch of roughly 7,960 new flats.
Frequently Asked Questions About HDB Resale and Private Housing
Why are HDB resale prices falling?
Prices have dipped due to a growing pipeline of flats reaching their Minimum Occupation Period (MOP), increased BTO supply, and a broader range of housing options easing competitive pressure in the resale market.
How much have private home prices risen in 2026?
Private home prices rose by an estimated 2.8 per cent over the first nine months of 2026, driven by strong gains in landed properties and the Outside Central Region.
What should buyers consider before purchasing a flat?
HDB advises households to exercise prudence with mortgage loans due to high uncertainty surrounding global and domestic interest rates, and requires all buyers to hold a valid HDB Flat Eligibility letter.