Singapore''s HDB Resale Market Records First Price Decline in Nearly Seven Years Amidst Increased Supply and Geopolitical Uncertainties
Introduction
The price of HDB resale flats went down a little in the first three months of 2026. This is the first time prices fell in almost seven years. The HDB said this happened after five periods of slow or no price growth.
Main Body
More people bought and sold HDB resale flats in the first quarter. The number of sales went up by 19.6% to 6,285. But this number was 4.6% lower than the same time in 2025. Mr. Lee Sze Teck said this was the lowest number of sales for a first quarter since 2021. He thinks the market may be slowing down in 2026. He said the increase in sales was normal for this time of year. Analysts gave reasons for the price change. Ms. Christine Sun said there are now more flats for sale. Many flats are now old enough to sell. She thinks more flats will come to the market in the next few years. This will push prices down. In June 2026, the government will build about 6,900 new flats in five areas. World problems also affect the market. Ms. Sun said if the war in the Middle East gets worse, interest rates may go up. Business costs will increase. Jobs may be harder to find. People will then have less money to buy flats. Mr. Mohan Sandrasegeran agreed. He said higher energy costs and problems with moving goods are making prices go up. Private homes showed different results. Prices of non-landed homes (like apartments) went up by 1.3%. This was a change from a 0.2% drop before. Prices in the Outside Central Region (OCR) went up by 2.2%. Ms. Wong Shanting said this was because of new projects like Pinery Residences. But prices of landed homes (houses with land) went down by 0.4%. Ms. Wong said prices for these homes were very high last year. So fewer people wanted to buy them. Analysts said the market is not weak. Mr. Sandrasegeran thinks private home prices will grow slowly by 2.5% to 3.5% this year.
Conclusion
The HDB resale market is seeing a price drop for the first time in almost seven years. More flats are for sale, and world problems are making people careful. Sales went up in the first quarter, but they were still lower than last year. The private home market showed different results. Prices for apartments went up, but prices for houses with land went down.