Rental prices for condos & HDBs start to slow albeit rising volumes

As per the recent flash report done by our Data Team, we see some movement in the condo and HDB rental price market. We will cover most of the points presented in the report as simply and straight as possible.

Let’s start with the condo rental market.

Condo rental market price trends

Right off the bat, we see a decrease in rent prices by 0.7% from December 2023. You can read the December flash report on the rental price market here: December 2023 condo and HDB rental market: A comprehensive analysis

You can also take a look at the rental price range trend in this nifty graph done by the Data Team:

Next, we take a look at the trends based on OCR, RCR, and CCR:

If you haven’t concluded yet, rent prices decreased by 1.6% for RCR and 1% for OCR. We also see an increase of 0.4% for CCR.

From the commentaries of the flash report, we can conclude that overall rents increased by 0.4%, based on year-on-year. Additionally, rents in the OCR increased by 2.4%, CCR by 0.7%, and 0.6% for RCR.

Next, we move to the volume trends of condos.

Condo rental market volume trends

We see an increase of 6.2% in volumes for condo rentals. The flash report stated that there was an estimate of 6,016 units being rented out in January 2024, compared to 5,665 units in December 2023.

There’s also a lower rental volume of 4.6% on a year-on-year basis, with additional commentaries that the volumes are lower by 13% than the 5-year average volume.

Let’s look at the volume graph which also shows data covering OCR, CCR, and RCR:

As we can see in both the above and below charts, 38.5% of the total volumes are from OCR, with 32.6% of it from RCR, and finally 28.8% from CCR.



Here’s another nifty chart but in pie form:

Now, we dive into the HDB part of the flash report.

HDB rental market price trends

Coincidentally, the rental price trend for HDB rentals mirrors the decrease of its counterpart for the condo market of 0.7% and, on a year-on-year basis, the overall rent prices increased by 8.5%, as seen in the graph below:

As for Mature and Non-Mature Estates, we see a decrease in rental prices by 1.2% and 0.3% respectively. Year-on-year, both Estates had an increase in rental prices by 7.5% and 9.7% respectively. Take a look at both the graph and table below showing the overall changes in the prices for a better outlook:

To top it off in the HDB rental market, all room types see a rental price increase, with 3R by 7.8%, 4R by 8.7%, 5R by 9.2%, and Execs by 8.2%, and that rounds up this section.

We move to the final part of this article, which is the volume trends of HDB rentals.

HDB rental volume market trends

On a month-on-month basis, we see a volume increase of HDB rentals by 4.6%. Additionally, we also see an increase of 5.3% on a year-on-year basis and the volume rate is 1.4% higher than the 5-year average. We can see the changes in detail in the graph below:

As mentioned in the flash report, we see an estimation of 3,024 HDB flats being rented out in January 2024, compared to 2,892 units rented out in December last year.

For the final nifty chart, we take a look at the volume changes via room type, which are 33.6% for 3R, 38.4% for 4R, 22.8% for 5R, and 5.2% for Execs. You can see the distinction between the room types in the pie chart below:

Closing remarks

In the first month of the new year, every renter out there can rejoice in the lower prices seen throughout, a good start, so to say. Couple that with healthy increases in volume, it shows that the rental markets for both condos and HDBs had a great start. Let’s hope for a steady and stable market for both throughout the year.

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