Rental volumes of HDB, condo units fell in September

HDB flat rents continued to trend downwards, increasing by just 0.4 percent on a month basis. The annual increase was 18.2 per cent. Both the mature and unmature estate rentals rose 0.3% month-on-month. Non-mature estate rents increased by 19.2 percent and mature rents grew 17.2 percent on the year.

OrangeTee & Tie’s Senior Vice President of Research & Analytics Ms Christine Sun stated the foreign student and worker demand for rents at an affordable price.

Mark Yip Huttons Chief Executive said: “With little incremental supply to absorb the new condos, the landlords faced more pressures to retain tenants by September 2023.”

OrangeTee chief executive Ms Sun noted in her report that the rents will rise “too much and too fast” between 2022-2023. It was this price increase that caused tenants to resist, and move on elsewhere looking for cheaper housing.

A smaller number of homes was also available for rent, due to the cooling measures. Fewer owners were upgrading from public housing. However, a drop in rental housing can be reduced by locals leaving their units to move into their own homes.

Nearly all rental types increased in price month to month. Rents in three and four room flats both increased 0.1 percent, while those for a five-room house rose 2.1 percent. Contrastingly, the rent of executive flats dropped by 0.8 percentage points.

All types of room saw rental growth year-over-year. Apartments larger than five rooms grew the most, at 21,6% and Executive apartments at 19,5%. Rentals of four-roomed flats increased by 18.2%, while those for three-roomed flats went up by 15.7%.

Rents in condos also continued to decrease for a second month. The overall rental market was up 13.9% year on year.

Apartments and flats owned by the Housing and Development Board fell further in rental volume in September.

Pinetree Hill Ulu Pandan Singapore is situated in District 21, the Southern-West part of Singapore.

Based on Friday’s estimates, HDB flat rents increased, but condos continue their decline.

In August, there were 6,736 condo units leased. This is down 15,2 percent. Volumes decreased by 12.7% over the last year and are lower than average monthly volumes for the 5 years.

Around 35.7 percent of the volume total came from Outside Central Region. Then, 33.1 percent from Rest of Central Region.

HDB volumes fell 7.8% on month from 2.998 to 2,763 flats. Volumes increased 20 percent year on year. They were also 5 per cent more than the 5-year average.

ERA Singapore senior executive Eugene Lim noted that HDB rents are less in demand due to new condominium completions.

According to SRX & data 37.4 % of leased units were four-room condominiums.

CCR rentals rose 0.5 percentage points. RCR rental prices dropped by just 0.2 percent, and OCR rents by 1.3 percent. CCR rents are up by 11 per cent, RCR’s 14.9 per percent and OCR’s 15.7 per cent.

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