The government has provided substantial subsidies and continues to build and sell new HDB flats at below-market prices.

As a result, the average price of four-bedroom pre-purchased HDB flats in immature towns has remained relatively stable, reaching $348,000 in the first three quarters of 2022, not far from $341,000 in 2019.

HDB resale prices have risen for 10 consecutive quarters and are expected to decrease in the coming months.

According to estimates released by the Housing Development Board on October 3, HDB resale prices increased by 2.4% in the third quarter from a year earlier, down from 2.8% in the second quarter.

New cooling measures, such as tighter loans from the URA and private financial institutions, stricter TDSR and MSR, will affect almost all HDB buyers, including those who bought their HDB homes in advance.

Some private owners will have to wait 15 months after selling their homes before they can buy resale flats, which will also affect larger and higher quality flats in the market.

However, elderly people aged 55 or above who sell their private premises to buy a four-bedroom or smaller resale flat will be exempted from the waiting list. It may push up the demand and lead to more three- or four-bedroom million units on the market.

Resale prices of the flats are not expected to drop significantly due to strong underlying demand and the cooling measures will ensure a more sustainable growth rate of resale prices.

Resale prices of HDB flats will rise by 9% to 10% for the year, down from 12.7% in 2021. Resale volumes are expected to reach 27,000 to 28,000 units.

As of September 29, 2022, 275 million flats were sold, with 111 units sold in the third quarter alone, 35.4% more than in the second quarter.

There were also more million apartment transactions in immature towns, with seven transactions in the third quarter, up from four transactions in the second quarter.

Resale prices of HDB condominiums are expected to moderate in the fourth quarter of 2022 due to cooling measures.

Meanwhile, the URA's largest-ever HDB pre-purchase sales campaign in November is believed to absorb some of the HDB resale demand.

The HDB will launch about 9,500 flats in November in Bukit Batok, Kallang Whampoa, Queenstown, Tengah and Yishun.

Bukit Batok, Tengah, Yishun and Queenstown will have two-bedroom flexible units.

Queenstown will be the second Community Care HDB project with approximately 200 units that will provide a combination of residential and care model housing options for the elderly.

In February 2023, 2,900 to 3,900 pre-purchased HDB units will be launched in Kallang Whampoa, Queenstown Town and Denga, with the exact number to be finalized.

Next year, HDB will launch up to 23,000 pre-purchased HDB units, and if necessary, the authority will launch a total of 100,000 HDB units from 2021 to 2025.