SINGAPORE: The latest report from EdgeProp reveals that 2024 is set to be a landmark year for Housing and Development Board (HDB) resale flat transactions in Singapore, particularly those that fetch at least S$1 million. Notably, Tampines has emerged as the frontrunner with a staggering increase in sales.

In a remarkable surge, 21 HDB resale units in Tampines were sold for over S$1 million, a striking 950% increase from just two units sold last year. According to Huttons Data Analytics, these million-dollar transactions represent 3 to 4 percent of the total market transaction volume within the HDB sector.

From January to November 2024 alone, there were 931 resale transactions at this price point, showcasing a significant jump from the 470 recorded in all of 2023. Interestingly, around 60% of these deals this year were priced between S$1 million and S$1.1 million.

As of now, all HDB towns, except for three — Choa Chu Kang, Jurong West, and Sembawang — have recorded resale flat transactions exceeding one million dollars. Recently, areas like Pasir Ris, Woodlands, Bukit Batok, Marine Parade, Tengah, and Sengkang have successfully entered this so-called "million-dollar club." Ismail Gafoor, the CEO of PropNex, indicated that Jurong West may be the next township to join this elite group.

However, it's crucial to understand that million-dollar HDB flats are still considered exceptions rather than the norm. HDB officials have reiterated that the majority of resale flats remain affordable—whereas million-dollar transactions constituted merely 2 percent of all sales over the past year and a half.

Sia Tze Ming, HDB’s Director for Policy and Property, remarked that eight out of ten first-time homebuyers who purchased resale flats in 2023 managed to meet their loan installments primarily through their monthly Central Provident Fund contributions, requiring little to no cash payments.

The EdgeProp report highlights that 19 towns experienced a rise in million-dollar resale flat sales, confirming the trend of increasing property values across the board. Kallang Whampoa led the charge with the highest number of such transactions recorded at 146, followed closely by Toa Payoh with 124 transactions. Sengkang has also seen its first major leap into the million-dollar market, totaling four transactions this year.

With this ongoing trend, 2024 looks to reshape not just the HDB resale landscape but also the perception of property values in Singapore, making it a pivotal year for homebuyers and investors alike. Stay tuned for more updates on this evolving story!