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Singapore City's property market is experiencing a period of measured growth with increased supply and evolving buyer patterns as of September 2025.
Current residential property prices average SGD 2,612 per square foot for non-landed units, reflecting a modest 0.7% year-on-year increase, while the market prepares for the highest new housing supply since 2014 with 17,705 expected new units.
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Singapore's residential property market shows stable growth with average condo prices at SGD 2,612 PSF, up 0.7% year-on-year, while rental yields hover around 3.29%.
The market faces the highest new supply since 2014 with 17,705 expected units in 2025, creating opportunities for buyers but potentially moderating price growth in the near term.
| Key Metric | Current Value (2025) | Change from Previous Year |
|---|---|---|
| Average Condo Price (PSF) | SGD 2,612 (USD 1,938) | +0.7% |
| Rental Yield (Condos) | 3.29% | -0.11% from 3.40% |
| New Supply Expected | 17,705 units | Highest since 2014 |
| HDB Resale Growth | 0.9% quarterly | Slowing from 9.7% annually |
| Mortgage Rates | 1.65%-1.70% fixed | Down from 3%+ peak |
| Foreign Buyer Share | 4%-8% | Decreased from previous years |
| Price Forecast (1-year) | +1% to +3% | Moderate growth expected |
What are current residential property prices per square foot in Singapore City compared to last year?
Singapore City residential property prices have shown modest growth in 2025.
As of September 2025, non-landed residential units (condominiums) in Singapore average SGD 2,612 per square foot, which translates to approximately USD 1,938 per square foot. This represents a 0.7% increase year-on-year compared to 2024 figures.
Prime districts in the Core Central Region command higher prices at about SGD 2,228 per square foot, while the Rest of Central Region averages SGD 1,896 per square foot. Properties Outside Central Region are more affordable at SGD 1,545 per square foot.
Landed properties showed different pricing patterns in 2024, with an average of SGD 1,808.30 per square foot, while condominiums were priced at SGD 1,972.40 per square foot.
The price growth reflects a stabilizing market with measured appreciation rather than the rapid increases seen in previous years.
How many new housing units will enter the Singapore market in the next 12 months?
Singapore City is preparing for its largest residential supply increase in over a decade.
The market expects 17,705 new private residential units to be completed in 2025, including Executive Condominiums. This represents the highest new supply volume since 2014, marking a significant shift in the market dynamics.
Comparing this to recent years, the annual confirmed list supply for 2025 stands at 9,755 units, which substantially exceeds the five-year average of 6,558 units recorded between 2020 and 2024. This dramatic increase in supply reflects the government's efforts to address housing needs while managing market stability.
The surge in new completions stems from the Government Land Sales (GLS) program launched in previous years, with developers now completing projects that were initiated during earlier market cycles.
This increased supply is expected to provide more options for buyers while potentially moderating price growth in certain segments of the market.
What are current rental yields for condominiums and landed properties?
Singapore's rental yields have experienced a slight softening in 2025 compared to previous years.
Condominiums currently deliver an average gross rental yield of 3.29% as of September 2025, representing a modest decline from the 3.40% recorded in late 2024. This 0.11 percentage point decrease reflects the ongoing market adjustments and increased supply.
Landed properties typically generate lower yields, with prime landed properties achieving yields in the range of 2.7% to 3.0%. However, non-prime condominiums in certain districts can achieve yields up to 4%, offering better returns for investors willing to consider locations outside the premium areas.
Since 2020, rental yields have shown a downward trend. Gross yields were approximately 3.4% in 2020 and have gradually declined to the current range of 3.3% to 3.36% in 2025. This compression reflects both rising property prices and evolving rental market dynamics.
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How many property transactions were completed last quarter and what's the trend?
Singapore City property transaction volumes have shown strong recovery momentum.
| Period | Transaction Volume | Trend |
|---|---|---|
| Q4 2024 | 7,400+ private residential units | Highest since Q4 2021 |
| Q2 2025 | Steady volumes maintained | Consistent with Q4 2024 levels |
| 2023 Average | Subdued sales period | Below historical norms |
| Current Trend | Upward momentum | Year-on-year improvement |
| Market Sentiment | Buyer confidence returning | Positive outlook |
What are current mortgage interest rates compared to five years ago?
Singapore mortgage rates have undergone significant fluctuations over the past five years.
As of August 2025, borrowers can access some of the most competitive rates in recent years, with the lowest fixed rates starting from approximately 1.65% to 1.70%. Floating rates are available from around 1.80%, offering attractive financing options for property buyers.
This contrasts dramatically with the situation five years ago in 2020, when the SIBOR (Singapore Interbank Offered Rate) was at 0.56% in June 2020, and floating rates were typically below 1% during the pandemic period. The ultra-low rates during 2020 were part of global monetary easing measures.
The rate trajectory showed significant increases between 2022 and 2024, with rates rising to over 3% during 2023-2024 as central banks globally tightened monetary policy. However, the current easing back toward 2% by end-2025 signals potential monetary policy adjustments and improved market conditions.
This rate environment provides more favorable financing conditions compared to the peak rates of recent years, though still higher than the exceptional pandemic-era lows.
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How is the supply of unsold private homes changing?
Singapore's unsold private home inventory has increased significantly due to the current supply cycle.
The supply of unsold private homes has grown considerably as a result of the ramp-up in new Government Land Sales completions. This increase in available inventory represents a shift from previous years when supply was more constrained.
Current months of inventory levels are estimated to be above historical norms, possibly exceeding 6 to 9 months depending on absorption rates and the timing of new project launches. This elevated inventory level provides buyers with more choices but creates a more competitive environment for sellers and developers.
The inventory buildup is primarily driven by the completion of projects initiated during previous development cycles, combined with the strategic increase in GLS supply by the government to address long-term housing needs.
This inventory situation is expected to influence market dynamics in the near term, potentially moderating price growth and providing buyers with better negotiating positions.
What are government forecasts for GDP and population growth and their impact on housing?
Singapore's government maintains measured optimism for economic and demographic growth that will support housing demand.
For 2025, the government projects GDP growth of up to 2.0% and continues to expect moderate economic expansion in the coming years. This steady economic outlook provides a foundation for sustained housing demand from both local residents and international professionals working in Singapore.
Population growth initiatives include major housing programs targeting 80,000 new homes over the next decade to manage expected urban population increases. This ambitious housing development plan reflects the government's commitment to maintaining adequate housing supply for a growing population.
The combination of steady GDP growth and managed population expansion is forecast to moderately increase housing demand across different segments of the market. This balanced approach aims to support property values while ensuring housing accessibility.
The government's integrated urban planning approach considers both economic development and housing needs, creating a framework that supports sustainable property market growth over the medium to long term.
What percentage of property purchases are made by foreign buyers now versus five years ago?
Foreign buyer activity in Singapore's property market has decreased significantly due to regulatory changes.
As of 2025, foreign buyers account for approximately 4% to 8% of all private property transactions, representing a notable decline from peak levels in previous years. This reduction reflects the impact of government policies aimed at managing foreign investment in residential properties.
Five years ago, foreign buyer participation was higher before the implementation of stricter regulations and increased Additional Buyer's Stamp Duty (ABSD) rates for non-residents. These measures, imposed progressively since 2018 through 2021, have effectively reduced foreign speculative activity.
The regulatory framework includes higher stamp duties for foreign purchasers, making Singapore property investment more costly for non-residents. This policy approach aims to prioritize housing access for Singapore citizens and permanent residents.
The current level of foreign buyer activity represents a more balanced market where international investment continues but at levels that don't significantly impact local affordability.
It's something we develop in our Singapore property pack.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Singapore versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
How have HDB resale flat prices evolved in the last 12 months?
HDB resale flat prices have shown continued growth but at a moderating pace in 2025.
Over the 12 months leading to Q4 2024, HDB resale flat prices increased by 9.7% year-on-year, continuing a strong appreciation trend. However, this growth has decelerated significantly, with quarterly growth slowing to just 0.9% in Q2 2025.
The resale price growth represents the 21st consecutive quarter of increases, demonstrating the sustained demand for public housing resale units. Current median HDB resale prices hover around SGD 590,000, reflecting the ongoing appreciation in this important housing segment.
The most recent annual growth rate has moderated to approximately 4% to 5.5%, indicating that the HDB resale market is entering a more stable phase after periods of rapid appreciation. This moderation suggests that the market is finding a new equilibrium between supply and demand.
The slower growth rate reflects various factors including increased supply, government cooling measures, and evolving buyer preferences in the current market environment.
What is the forecasted rental demand growth rate for the next two years?
Singapore's rental market is expected to experience steady but modest growth over the next two years.
Rental demand is projected to grow by 1% to 3% annually through 2027, driven primarily by economic recovery and demographic trends. This growth rate reflects a measured expansion rather than the dramatic increases seen in some previous periods.
The rental market benefits from Singapore's position as a regional business hub, attracting international professionals and companies establishing operations in Southeast Asia. However, the growth is tempered by increased housing supply and evolving work patterns.
Demand drivers include the gradual return of expatriate workers, expansion of multinational corporations in Singapore, and the continued appeal of the city-state for international talent. These factors support steady rental demand across various property segments.
The moderate growth forecast suggests a balanced rental market where landlords can expect stable returns while tenants benefit from reasonable rental increases.
How do current vacancy rates compare with historical averages?
Singapore's property vacancy rates are currently running above historical norms due to increased supply.
Vacancy rates for private apartments are marginally above the historical average as of 2025, reflecting the impact of increased completions and somewhat softer expatriate demand. This increase in available units provides tenants with more choice while creating additional competition among landlords.
Landed properties report lower vacancy rates compared to apartments, maintaining relatively tight supply-demand balance in this premium segment. The landed property market benefits from limited new supply and sustained demand from high-net-worth individuals.
The current vacancy trend represents a shift from the immediate post-pandemic period when vacancy rates were generally lower due to constrained supply. The increase reflects the completion of projects initiated during previous development cycles and changing demand patterns.
These vacancy levels are considered manageable and represent a more balanced market where neither landlords nor tenants face extreme conditions.
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What is the projected price growth for Singapore property over the next 1, 3, and 5 years?
Singapore property price forecasts indicate moderate and sustainable growth over multiple time horizons.
| Time Horizon | Projected Annual Price Change | Cumulative Growth |
|---|---|---|
| 1 Year (2026) | +1% to +3% | +1% to +3% |
| 3 Years (2026-2028) | +2% to +6% cumulative | +2% to +6% |
| 5 Years (2026-2030) | +5% to +12% cumulative | +5% to +12% |
| Expected Trend | Gradual appreciation | Sustainable growth |
| Risk Factors | Policy changes, global economy | Market stability focus |
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Singapore City's property market in 2025 presents a balanced investment landscape with moderate growth expectations and increased supply providing more buyer options.
Current conditions favor both investors seeking stable returns and owner-occupiers looking for long-term value, though careful market timing and location selection remain important for optimal outcomes.
Sources
- Global Property Guide - Singapore Price History
- SmartWealth - Singapore Housing Cost Statistics
- SmartWealth - Average House Price Singapore
- IQRate - Singapore Property Market Analysis
- Let's Talk Property - Housing Supply 2025
- URA - Media Release
- Global Property Guide - Singapore Rental Yields
- SHE Real Estate - Rental Yield Calculator