By Romesh Navaratnarajah:Prices of resale HDB flats reached a record high in Q2 2012 amid a 19 percent quarter-on-quarter increase in transaction volumes, reported Singapore Business Review.
From just 5,900 in the first quarter, transaction volumes grew to 7,000 in Q2, pushing the resale price index up 1.3 percent to 194.0.
The report noted that resale prices and transaction volumes increased despite the availability of 12,700 Build-to-Order (BTO) flats and 3,800 Sale of Balance Flats (SBF) released in the first half of this year.
The healthy numbers indicate a strong demand for resale flats, especially among those who aren't eligible for BTO units or require immediate occupation.
Moreover, resale flat supply will remain tight until new BTO flats are completed and become available in the resale market after their five-year Minimum Occupation Period (MOP). Related Stories:Shunfu HUDC fetches record S$1.28m $1 million HDB bought by SingaporeanMore million-dollar flat prices expected