SINGAPORE - HDB resale prices are likely to rise at a slower pace in 2023 following two years of blistering growth, with demand and a tighter supply of resale stock offset by the latest property curbs and an expected boost in Build-to-Order (BTO) new flat supply.
Also buoying resale prices are resilient household balance sheets, a tight labour market and wage growth despite higher living costs and rising mortgage rates, OrangeTee and Tie’s senior vice-president of research and analytics Christine Sun pointed out.
“Some HDB upgraders may take longer to find buyers due to the tighter borrowing limits. With interest rate hikes and private home prices not expected to drop anytime soon, fewer upgraders may buy a private property for owner-occupation and lease their flats for rental income,” said Ms Sun.