Record-Breaking HDB Resale Flat Transactions Exceeding S$1 Million in Singapore for 2024

SINGAPORE – A recent report from EdgeProp reveals that 2024 has marked a historic milestone in the Housing and Development Board (HDB) resale flat market, with transactions surpassing the S$1 million mark hitting unprecedented levels. Notably, Tampines has emerged as the leading district for these high-value sales.

This year saw a staggering surge in million-dollar HDB transactions in Tampines, skyrocketing from just two units last year to an impressive 21 units—an astonishing increase of 950%. According to Huttons Data Analytics, these transactions represent about 3 to 4 percent of the total market volume, indicating significant activity at this price point.

From January to November 2024 alone, there were 931 resale flats sold for over S$1 million, compared to only 470 such transactions for the entirety of 2023. A notable trend observed is that around 60% of these deals fall within the S$1 million to S$1.1 million range.

Currently, all HDB townships have experienced at least one resale flat transaction exceeding the million-dollar benchmark, with the exceptions being Choa Chu Kang, Jurong West, and Sembawang. In recent years, a number of areas—including Pasir Ris, Woodlands, Bukit Batok, Marine Parade, Tengah, and Sengkang—have entered the so-called "million-dollar club." Ismail Gafoor, CEO of PropNex, has speculated that Jurong West may soon follow that trend.

That said, transactions over a million dollars remain relatively rare. In September, the HDB reiterated that, for most buyers in the market, resale flats remain quite affordable. Sia Tze Ming, Director for Policy and Property at HDB, emphasized that only a small percentage of flats are sold at such high prices. In fact, million-dollar transactions constituted only about 2% of sales over the last 18 months.

For first-time buyers, the market offers further encouragement; around 80% of families purchasing resale flats in 2023 managed to cover their loan payments through their monthly contributions from the Central Provident Fund (CPF), requiring either minimal or no cash outlay at all.

The report also highlights that 19 different districts reported sales of resale flats at the million-dollar threshold. In particular, Kallang Whampoa led the charge with 146 transactions, closely followed by Toa Payoh with 124. Sengkang also made headlines with its first-ever transaction exceeding one million, totaling four high-value sales for the year.

As the HDB resale market continues to flourish, it paints a vibrant picture of Singapore's real estate landscape, sparking interest from both potential buyers and investors alike.

Stay tuned for more updates on Singapore's evolving housing market and whether other districts will soon join the millionaire's club!