HDB Resale Prices Slip 0.3% in Q2 as Back-to-Back Decline Hits Seven-Year First

Prices declined across 16 towns in Q2. Serangoon posted the steepest drop at 7.9%, followed by Marine Parade at 7.6%, Geylang at 6.9%, Ang Mo Kio at 5.1%, Sembawang at 3.3%, and Yishun at 2.7%.

Ten towns recorded price gains. The Central Area led with a 19.7% jump, while Clementi rose 4.5%, Jurong East and Queenstown each gained 4%, and Woodlands climbed 3%.

By flat type, the decline was driven primarily by 3-room flats (down 0.5% to an average of S$442,888) and 5-room flats (down 0.9% to S$738,000). In contrast, 2-room flats rose 1.6%, 4-room flats edged up 0.3%, and executive flats gained 2.2%.

Despite the overall price softness, million-dollar HDB resale transactions reached 491 in Q2, up from 411 in Q1. The first-half tally stands at 902 deals, compared with 763 in the same period last year. June alone saw 176 million-dollar transactions, a record monthly high.

The average price of million-dollar flats was S$1.147 million, down marginally from S$1.151 million in Q1. For the first time, more than 7% of all resale transactions crossed the million-dollar mark. In non-mature estates, million-dollar deals accounted for 10.6% of transactions, the highest proportion since Q1 2023.

Key projects fuelling million-dollar activity included Bedok South Horizon and Hougang RiverCourt, with the bulk of transactions concentrated in Toa Payoh, Queenstown, and Bukit Merah. Mogul.sg chief research officer Nicholas Mak noted that the diverging growth rate between high-end and mass-market HDB flats “represents a growing wealth gap between the richest 25% and the masses.”

Market activity has been sluggish, with flats typically taking two to three months to sell. OrangeTee senior vice-president of research and analytics Lee Sze Teck reported few inquiries and subdued foot traffic. Realion (formerly OrangeTee) chief researcher Christine Sun said buyers are pivoting to BTO flats or older resale units as a flight to affordability.

On the supply front, the June 2026 BTO exercise offered 2,520 flats in Sembawang and Ang Mo Kio with an estimated waiting time of about three years. The larger October BTO launch is expected to release approximately 7,960 flats across Bedok, Geylang, Sembawang, Tengah, Toa Payoh, and Yishun. HDB also reminded buyers that the deadline for the Flat Eligibility Letter is September 5.

Looking ahead, Mak described the current softness as temporary and expects a recovery in the last three months of 2026. Both HDB and URA cautioned that the macroeconomic outlook remains highly uncertain, urging buyers to plan within their means.