The Housing & Development Board (HDB) was established on 1 February 1960 to solve the housing crisis in Singapore. At the time, many people lived in unsanitary slums and overcrowded shanty towns. Only 9% of Singaporeans lived in government housing, while others longed for a place they could call home.
The HDB swung into action and in less than three years, a total of 21,000 flats were built. By 1965, the HDB had built 54,000 flats.
Today, over a million HDB flats have been completed across the island, providing affordable housing options for generations of Singaporeans for decades. But how much have HDB flat prices changed over the years? Read on for answers.
Source: HDB, EdgeProp.sg
1) 1970s
In the first decade of its existence, the HDB only built one- to four-room apartments. To accommodate the growing population, five-room apartments were introduced in the 1970s.
By the end of the decade, 36% of the total population lived in HDB flats. The average prices of HDB houses in the 1970s were:
3-Bedroom: Average Size – 646 square feet; Average Price – $15,000 (New Sale)
4-bedroom: Average size – 800 sq ft; Average price – $20,000 (new sale)
5-bedroom: Average size – 1,000 sq. ft.; Average price – $30,000 (new sale)
2) 1980s
The average floor area of new dwellings was increased from the early 1980s to meet the demand for more living space. During this period, housing types such as maisonettes were also introduced.
Most notably, HDB relaxed its eligibility requirements to give more people a chance at home ownership in 1989 when it relaxed the citizenship criterion to allow Singapore residents to own HDB flats. Average HDB flat prices in the 1980s were:
3-Bedroom: Average Size – 646 square feet; Average Price – $50,000 (New Sale)
4-bedroom: Average size – 800 sq ft; Average price – $80,000 (new sale)
5-bedroom: Average size – 1,000 sq. ft.; Average price – $110,000 (new sale)
Executive: Average size – 140,00 sq. ft.; Average price – $140,000 (new sale)
3) 1990s
One of the most significant changes to HDB policy for single people occurred in 1991. It was announced that single citizens aged 35 and above could buy HDB flats on their own. However, outside the central area, they were restricted to 3-room or smaller flats.
In 1995, an intermediate category of flats was introduced to bridge the gap between HDB flats and private condominiums. These projects, known as Executive Condominiums (ECs), are built and sold by private developers. ECs offer the standard of a private condominium, but at lower prices and with certain restrictions. Average prices for HDB flats in the 1990s ranged from:
3-Bedroom: Average Size – 753 square feet; Average Price – $120,000 (new sale); $200,000 (resale)
4-bedroom: Average size – 1,000 sq. ft.; Average price – $170,000 (new sale); $270,000 (resale)
5-bedroom: Average size – 124 sq.m.; Average price – $230,000 (new sale); $350,000 (resale)
Executive: Average size – 1,500 sq ft; Average price – $280,000 (new sale); $420,000 (resale)
4) 2000s
The average floor area for newly built flats in the 2000s was reduced. At the beginning of the decade, HDB singles policies were further revised to allow Singaporeans to purchase flats of any type in any location.
This period also saw the introduction of the Design, Build and Sell Scheme (DBSS) to increase the variety of public housing types in Singapore. Under the DBSS, certain plots of land were sold to private developers, who were then responsible for designing, building and selling the apartments.
Towards the end of the decade, prices rose significantly due to rising construction costs. The average prices for HDB flats during this decade were:
3-Bedroom: Average Size – 699 square feet; Average Price – $110,000 (new sale); $180,000 (resale)
4-bedroom: Average size – 968 square feet; Average price – $180,000 (new sale); $255,000 (resale)
5-bedroom: Average size – 110 sqm; Average price – $240,000 (new sale); $340,000 (resale)
Executive: Average size – 1,400 sq ft; Average price – $300,000 (new sale); $410,000 (resale)
5) 2010s – present
Since peaking in Q2 2013, the HDB Resale Price Index has been on a downward trend for five consecutive years. However, we may be at a turning point as the HDB Resale Price Index recorded a 0.1% quarter-on-quarter increase in Q2 2018.
Today, the median selling price of a four-bedroom HDB flat in Queenstown – one of HDB’s most expensive residential areas – is $718,000 in 2018. In comparison, three-bedroom condos in a similar location typically cost at least $1 million. The average HDB flat prices in 2018 are:
3-Bedroom: Average Size – 699 square feet; Average Price – $291,000 (new sale); $310,000 (resale)
4-Bedroom: Average Size – 968 square feet; Average Price – $376,300 (new sale); $435,000 (resale)
5-bedroom: Average size – 110 sq.m.; Average price – $448,700 (new sale); $530,000 (resale)
Executive: Average size – 1,400 sq ft; Average price – $535,900 (new sale); $780,000 (resale)
Want to own a home in the Central Area? Here’s how much you’ll need to spend on three-, four- and five-bedroom flats in the most expensive HDB estates.
Also check out the cheapest areas to buy a 5 room HDB resale house near MRT.
Note: The information is taken from HDB and various online sources. It is intended as a guide and should not be used for official purposes.
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HDB resale price index up 0.1% quarter-on-quarter in Q2 2018: Are we at a turning point?
4-room HDB designs that are not your run-of-the-mill house
