August 2016 HDB Resale Prices decrease by 0.7%; Volume increases by 19.5%

1. HDB resale prices decrease in August 2016. There was a decrease of 0.7% in HDB Resale prices in August 2016 compared to that of July 2016. The resale prices of HDB 3 Room, HDB 4 Room and HDB 5 Room Flats decreased by 0.6%, 1.0% and 0.6% respectively. On the other hand, the resale prices of HDB Executive Flats increased by 0.8%.

According to the SRX Property Price Index for HDB Resale:

• Year-on-year, prices have decreased by 0.2% from August 2015;
• Prices have declined by 11.5% since the peak in April 2013; 

According to the SRX Property Price Sub-Indices for HDB Resale:

• In August 2016, HDB resale prices of mature estates and non-mature estates decreased by 0.4% and 1.0% respectively.
• Year-on-year, prices in mature estates have increased by 0.6% from August 2015;
• Year-on-year, prices in non-mature estates have decreased by 0.9% from August 2015;

2. Resale volume increases in August 2016. According to HDB resale data compiled by SRX Property, 1,879 HDB resale flats were sold in August 2016, a 19.5% increase from 1,573 transacted units in July 2016.

• Year-on-year, resale volume increased by 29.9% compared to 1,447 units resold in August 2015.
• Resale volume was down by 48.5% compared to its peak of 3,649 units in May 2010.

3. Overall median Transaction Over X-Value (T-O-X) is NEGATIVE $1,000 in August 2016. According to SRX Property, the median T-O-X for HDB was NEGATIVE $1,000 in August 2016. The median T-O-X for HDB measures whether people are overpaying or underpaying the SRX Property X-Value estimated market value.

• Overall Median T-O-X was NEGATIVE $1,000 in August 2016, remained the same as the figure in July 2016;
• Median T-O-X for HDB 3 Room, 4 Room, 5 Room and Executive flats in August 2016 were NEGATIVE $1,000, ZERO, NEGATIVE $1,000 and NEGATIVE $7,000 respectively.

4. Bishan posts the highest median T-O-X. For HDB towns having more than 10 resale transactions with        T-O-X in August 2016, Bishan reported the highest median TOX of POSITIVE $15,000 followed by POSITIVE $11,800 in Serangoon.


This means that majority of the buyers in these towns have purchased units above the computer-generated market value.

5. Among relatively active towns, Kallang/Whampoa posts the most negative median T-O-X. Among HDB towns having more than 10 resale transactions with T-O-X in August 2016, the lowest median T-O-X was in Kallang/Whampoa at NEGATIVE $12,500, followed by Toa Payoh at NEGATIVE $11,000.

This means that majority of the buyers in these towns have purchased units below the computer generated market value.