Is the HDB Resale Market Finally Cooling? Here’s What Q1 2025 Is Telling Us

It looks like Singapore’s red-hot HDB resale market might finally be taking a breather. According to the latest flash estimates from HDB, prices rose by just 1.5% in the first quarter of 2025 — a noticeable slowdown compared to the momentum we saw in previous quarters.

But here’s the twist: even with the cooling pace, the number of million-dollar HDB resale transactions actually hit a new record.

Let’s unpack that a little.

A Tale of Two Markets?

On one hand, the overall price growth is moderating, which might suggest that affordability pressures, tighter loan conditions, or even buyer fatigue could be kicking in. On the other hand, the appetite for premium units — think: executive apartments, rare corner units, or those in prime mature estates — is still going strong.

In fact, these high-end flats are bucking the trend. Demand remains resilient, and buyers are still willing to pay top dollar for space, convenience, and good views.

What’s Driving the Change?

Several things could be influencing this shift:

• Affordability Concerns: With interest rates still relatively high, some buyers may be more cautious in stretching their budgets.

• Cooling Measures: Past policy tweaks might be gradually showing their effects.

• More Supply Coming: With BTO launches becoming more regular and some projects completing soon, buyers might be weighing their options.

That said, million-dollar flats are clearly in their own league. Their appeal seems less sensitive to market shifts and more driven by location, rarity, and quality.

What This Means for You

If you’re house-hunting right now, this could be a good time to assess your options. While overall price growth has softened, competition for standout units is still fierce. If you’re selling, especially a large or well-located flat, the market still seems to be in your favour — just don’t expect runaway prices across the board.

The HDB resale market is showing signs of maturing, and that’s not a bad thing. It means a healthier balance between supply and demand may be on the horizon.

We’ll be keeping a close eye as Q2 unfolds, but for now — the heat is still on for million-dollar flats, even as the rest of the market cools.

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