HDB rental rates increased by 24.1% from July 2022 to July 2023 — Report

SINGAPORE: Rental prices for HDB flats increased by 2 per cent in July, according to data released by the Singapore Real Estate Exchange (SRX) on Aug 30 (Wednesday).

SRX showed that overall, HDB rentals have increased by 24.1 per cent year-on-year, as rates for all room types in both mature and non-mature estates have gone up by more than 20 per cent. Specifically, from July 2022 to July 2023, rental rates in mature estates went up by 23.2 per cent, while in non-mature estates, they rose by 25.2 per cent.

Year-on-year, rental rates went up the most in executive apartments, rising by 30.2 per cent. The smaller the flat, the smaller the increase from last year to this year, with rental rates for three-room flats going up by 21.1 per cent, four-room flats by 24.0 per cent, and five-room flats by 26.2 per cent.

And on a month-on-month basis for July 2023, rentals in mature estates rose by 2.1 per cent, while in non-mature estates, they increased by 2 per cent. In three, four, and five-room flats and executive apartments, they rose by 1.4 per cent, 2.4 per cent, 1.9 per cent and 4.0 per cent respectively.

Condominium rentals showed a slightly better picture, as rates increased by 1.1 per cent from the previous month. Year-on-year, overall rents for condominiums increased by 21.6 per cent.

However, not only rates have increased, but the volume of rentals as well.

In June, 2,990 HDB flats were rented, while in July, an estimated 3,320 HDB flats were rented out, showing an 11 per cent month-on-month increase.

The highest number of renters chose four-room flats (37.8 per cent), followed by three-room flats (32 per cent). Meanwhile, 24.7 per cent of renters chose five-room flats, and 5.4 per cent chose Executive apartments. From July 2022 to July 2023, rental volumes rose by 9.5 per cent.

Condominium rentals rose by 25.3 per cent month-on-month, with an estimated 7,282 units rented in July, while 5,810 units were rented in the previous month. /TISG

Jamus Lim: Rental rates, even for HDB flats, have spiked, with recent record of $6.6K/month