Will Resale HDB Price go up or down in 2025?

They are undoubtedly attention-grabbing, but rising resale HDB flat prices are not a new trend. In 2024, prices of resale flats rose by 9.6% on the year. This growth was also accompanied by an estimated 28,000 to 29,000 transactions, representing a healthy increase over the approximately 26,000 units sold in 2023.

ERA Singapore also forecasts that the Resale Price Index will continue to trend upwards this year, but at a more moderate rate of 3 to 6% year-on-year (y-o-y). Experts anticipate that HDB resale transactions will dip slightly to approximately 26,000 to 27,000 units for the full year.

So, what’s causing this anticipated rise in prices for 2025? The answer lies in the limited availability of resale HDB flats available for purchase on the secondary market. 

A quick glance at the estimated number of HDB units that have either met OR are about to fulfill their Minimum Occupation Period (MOP) shows that approximately 11,900 units reached MOP completion in 2024. However, experts predict this number will decline by 41.6%, dropping to just 6,974 units in 2025. This decline will likely create a more competitive resale market. It will drive prices higher amid sustained demand.

Similarly, over the next five years, resale HDB prices will likely face upward pressure as the number of MOP-completed flats falls from 20,800 units (2020–2024) to just 12,900 units (2025–2029).

This supply-driven price momentum coincides with a steadily rising number of million-dollar HDB flats. The volume of seven-figure HDB transactions rose from 82 units in 2020 to 1,035 units last year. It is expected to grow further in 2025 as the pool of MOP-completed flats continues to shrink. 

Still, with the continued introduction of new Build-to-Order flats offering buyers more options and increasing price resistance. This would encourage a more moderated pace of price growth. It allows for appreciation while maintaining overall stability in the HDB market.