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What is happening in Singapore’s real estate market? Are prices on the rise or decline? Is the city-state still a prime destination for international investors? How are Singapore’s government policies and taxes shaping the real estate landscape in 2025?
These are the questions we hear every day from industry professionals, potential buyers, and sellers, from Marina Bay to Orchard Road and beyond. Perhaps you’re curious about these trends too.
We understand this because we maintain close connections with local experts and individuals like you, exploring the Singaporean real estate market daily. That’s why we crafted this article: to deliver clear answers, insightful analysis, and a comprehensive view of market trends and dynamics.
Our aim is straightforward: to make sure you feel informed and confident about the market without needing to search elsewhere. If you think we missed something or could improve, we’d love to hear your feedback. Feel free to message us with your thoughts, and we’ll strive to enhance this content for you.
1) Mass-market residential property prices will rise moderately due to strong local demand
In 2023 and 2024, HDB resale prices rose by 6.9% in the first nine months of 2024 alone.
Expect this trend to continue, with prices predicted to increase by 5% to 8% in 2025, especially in popular districts like Bedok, Bishan, Bukit Batok, and Bukit Merah. These areas are hot spots due to their convenient locations and amenities, making them attractive to buyers.
The demand for affordable housing is strong, as seen in the high transaction volumes in the HDB resale market. In October 2024, there were over 35,678 applicants for just 8,573 BTO flats, showing how many are turning to the resale market due to long BTO waiting times.
Government policies are also boosting local homeownership. The increase in BTO subsidies in June 2024 is expected to push HDB resale prices higher. Measures like the additional buyer's stamp duty (ABSD) rates are designed to keep the property market sustainable and focus on housing for owner-occupation.
These policies underscore the emphasis on local demand, ensuring that residents have access to housing. The government's approach aims to balance the market, making it more accessible for those looking to buy their first home.
With these factors in play, mass-market residential properties are likely to see moderate price increases, driven by strong local demand and supportive government measures.
Sources: The Independent, Cushman & Wakefield, 99.co
2) Foreign buyers will increasingly target Singapore’s luxury market for its safe-haven status
Foreign buyers are increasingly drawn to Singapore's luxury market because of its safe-haven reputation.
In 2023, the number of non-landed homes purchased by foreigners in Singapore more than doubled from the previous year. This surge highlights the growing appeal of Singapore's real estate to international investors. The city-state's consistent high rankings in global safety and stability indices make it particularly attractive to wealthy individuals and celebrities seeking secure investments.
Singapore's reputation as a secure investment destination is often highlighted in media reports, especially during times of global economic uncertainty. This perception is crucial for high-net-worth individuals who prioritize stability when investing their wealth. The city-state's ability to maintain a stable environment even during turbulent times further cements its status as a preferred choice for foreign investors.
Historically, whenever the global economy faces uncertainty, there's a noticeable increase in foreign investment in Singapore's real estate market. This trend is expected to persist as the world continues to experience economic volatility. International financial advisories frequently recommend Singapore as a secure place to park wealth, enhancing its allure to foreign buyers.
Singapore's luxury real estate market is not just about safety; it's also about prestige. The city offers a unique blend of modernity and tradition, making it a desirable location for those looking to invest in high-end properties. The combination of a robust legal framework and a transparent property market adds to its attractiveness.
As global conditions remain unpredictable, Singapore's position as a safe haven is likely to draw even more interest from foreign buyers. The city-state's strategic location in Asia, coupled with its strong economic fundamentals, makes it a prime choice for those seeking both security and growth potential in their investments.
Sources: Mingtiandi, Mordor Intelligence, Mordor Intelligence
We made this infographic to show you how property prices in Singapore compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
3) Families seeking more space and privacy will drive up demand for landed properties
Families in Singapore are growing, and with that comes the need for more spacious homes.
In 2024, landed property sales in Singapore jumped to 1,733 units, up from 1,516 in 2023. This surge, along with a 10.5% increase in transaction values to $9.17 billion, shows a strong demand and rising prices for these homes. The Core Central Region saw a notable rise in average unit prices, attracting ultra-high-net-worth individuals back into the market.
District 19 emerged as the top choice for landed homes in 2024, with 309 transactions. This area is popular due to its established neighborhoods and easy access to amenities, making it ideal for families wanting more space and privacy. The trend towards remote work has also fueled the desire for home offices, which are more practical in landed properties than in crowded apartments.
Sources: SRI Insights, SG Luxury Homes, Policy Note
4) New cooling measures will slow residential market price growth
In 2023 and 2024, the Singapore government rolled out new cooling measures to keep residential property prices in check.
One major move was hiking the Additional Buyer's Stamp Duty (ABSD) for foreigners, doubling it from 30% to 60%. This aims to curb speculative buying and investment, which should help control price hikes. If you're a foreign buyer, this is a big deal, as it makes purchasing property in Singapore significantly more expensive.
Looking back, we see that past cooling measures have worked. For example, after new rules were introduced in December 2021 and September 2022, the HDB resale price index showed slower growth. This trend carried on into 2023, suggesting these measures can effectively moderate the market.
On top of that, the government plans to boost the housing supply. They're aiming for 40,000 new completions in 2023 and a total of 100,000 from 2023 to 2025. More homes mean meeting demand better, which should help keep prices from skyrocketing.
For potential buyers, this means a more balanced market. With more options and less speculative pressure, you might find it easier to snag a property without breaking the bank. The government's strategy is to ensure that housing remains accessible and affordable for everyone.
These measures are part of a broader effort to create a sustainable property market, where prices grow at a manageable pace. It's all about making sure that the market doesn't overheat, which could lead to a bubble and subsequent crash.
Sources: MND Singapore, Channel News Asia, The Straits Times
5) Stricter short-term rental rules will impact the appeal of certain properties
In Singapore, stricter regulations on short-term rentals are reshaping the property market.
The Urban Redevelopment Authority (URA) is cracking down on illegal listings, especially on platforms like Airbnb. For instance, in June 2024, over 15 illegal listings in condos and HDB flats were removed. This has led to a noticeable drop in available short-term rentals, making it harder for tourists to find such accommodations.
The URA argues that short-term rentals can disrupt the safety and privacy of neighborhoods. They believe these rentals can change the residential feel of communities. A survey from August to November 2023 showed that most people worry about security and privacy if short-term rentals are allowed. This reflects broader concerns about how these rentals might affect housing availability.
Media outlets like CNA have highlighted the government's efforts to tackle illegal short-term rentals. This coverage, along with the threat of hefty fines, has made property owners think twice. Since 2019, 86 individuals have faced penalties for offering illegal short stays, showing how serious the authorities are about enforcement.
For potential property buyers, these regulations mean that investing in properties for short-term rental income might not be as attractive. The crackdown is making it clear that the focus is on preserving community integrity and ensuring long-term housing availability.
As a result, properties that once seemed lucrative for short-term rentals might not hold the same appeal. The shift in regulations is a reminder that the landscape for property investment is changing, and buyers need to be aware of these dynamics.
Sources: Channel News Asia, URA, Channel News Asia Commentary
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6) Smaller studio apartments will become less popular as remote work trends persist
With remote work becoming the norm, people are rethinking their living spaces.
Back in 2023 and 2024, there was a noticeable shift towards larger homes. Developers caught on, with 14% of new units redesigned to include more workspace. This change reflects the growing need for roomier environments to accommodate work-from-home setups.
Surveys from that period showed a strong desire for home offices. Many renters struggled with the lack of dedicated work areas, and 42% of remote workers planned to move to larger units for more space and affordability. The push for more room was all about achieving a better work-life balance.
Home office furniture sales also surged. Companies like Okamura International in Singapore expanded their product lines, offering a variety of office furniture to meet the demand. This trend indicates that people are investing in more functional home workspaces.
As remote work continues, smaller studio apartments are losing their appeal. The focus is shifting towards homes that can accommodate both living and working needs comfortably. This change is evident in consumer behavior and spending patterns.
In Singapore, for instance, the leasing market is cooling, giving tenants more options. This shift suggests that larger living spaces are becoming more desirable as people prioritize comfort and functionality in their homes.
Sources: Business Standard, Okamura, NAAHQ
7) Demand for properties with shared amenities will grow due to the desire for community living
Community living is becoming increasingly popular, driving up demand for properties with shared amenities.
In Singapore, the co-living market saw a 30% growth in just one year, highlighting a strong interest in shared spaces. This surge is largely due to high property costs and the appeal of affordable, community-focused lifestyles. People are drawn to the idea of living in a place where they can share resources and enjoy a sense of belonging.
Looking ahead, the co-living property market is expected to grow at a 12% rate annually from 2023 to 2028. This indicates a rising preference for homes that offer communal facilities. Mixed-use developments, which blend residential, commercial, and recreational spaces, are also on the rise. These projects often feature shared amenities that foster community living, aligning with Singapore's push for sustainable and community-centric urban planning.
Media coverage has played a role in boosting interest in community living by highlighting benefits like increased social interaction and reduced living costs. People are becoming more aware of how shared amenities can enhance their lifestyle. Government initiatives, such as those from the Housing and Development Board, are also promoting social harmony and community building, which further fuels the demand for properties with shared amenities.
In Singapore, the focus on community living is not just a trend but a reflection of a broader societal shift. The government and developers are working together to create environments that encourage interaction and a sense of community. This is evident in the design of new housing projects that prioritize shared spaces and communal facilities.
Sources: Reno Specialist, PLB Insights, Ethos Issue 19
8) Demand for senior-friendly housing and retirement communities will rise with an aging population
Singapore's elderly population is growing rapidly, with residents aged 65 and above making up 19.9% of the population in 2024.
By 2030, this number is expected to rise to 24.1%, indicating a significant shift towards an older demographic. This means more people will need homes that cater to their specific needs, like easy access and safety features. Imagine living in a place where everything is designed to make life easier as you age.
People are living longer, with life expectancy jumping from 82.8 years in 2010 to 84.9 years in 2019. This longevity is driving the demand for senior-friendly housing. Many seniors want to stay in their communities, leading to a 40% increase in the absorption rate for senior housing in early 2024. It's clear that aging in place is a priority for many.
The Singapore government is on top of this trend, launching initiatives like Age Well SG to combat social isolation and keep seniors active. They're also expanding healthcare facilities, with plans to nearly double the number of nursing home beds by 2030. This proactive approach underscores the need for more senior-friendly housing options.
For those considering buying property in Singapore, this shift presents an opportunity. Investing in senior-friendly housing or retirement communities could be a smart move, given the growing demand. Imagine being part of a community that not only meets your needs but also offers a vibrant social life.
As the population ages, the landscape of housing in Singapore is changing. The focus is on creating environments where seniors can thrive, with amenities and services that support a fulfilling lifestyle. This trend is reshaping the real estate market, making it an exciting time for potential buyers.
Sources: Population Trends, Trade.gov, NIC MAP Vision
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Singapore. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
9) Co-living spaces will attract more interest as young professionals look for flexible living options
Interest in co-living spaces is on the rise as young professionals seek more flexible living options.
In bustling Singapore, the demand for co-living spaces has surged by 30% in 2023 and 2024. This boom is largely due to the high cost of traditional housing, which has made co-living an attractive alternative for many. Young professionals and expats are particularly drawn to these spaces as they offer a more affordable and flexible lifestyle.
Developers are responding to this trend by creating more co-living spaces, offering a range of choices to suit different needs. Millennials and Gen Z are especially keen on these setups because they value community-oriented living. Co-living spaces are designed to foster a sense of community and belonging, which is a big draw for these generations.
One of the main perks of co-living is its affordability. By sharing utilities and amenities, residents can enjoy a cost-effective living arrangement. This setup is perfect for young professionals who are looking to save money without sacrificing comfort. The high occupancy rates in existing co-living spaces highlight the strong demand for these flexible housing solutions.
As more people embrace this lifestyle, the variety of co-living options continues to expand. Whether you're looking for a vibrant social scene or a quieter, more private setting, there's likely a co-living space that fits your needs. This trend is not just about saving money; it's about finding a living situation that aligns with modern values and lifestyles.
For those considering a move to Singapore, co-living offers a unique opportunity to experience the city in a way that traditional housing can't match. It's a chance to be part of a community, meet new people, and enjoy a flexible living arrangement that suits your lifestyle. Co-living is more than just a place to stay; it's a way to live.
Sources: EIN Presswire, Noam Nathan, REWBCon
10) Remote work trends will boost demand for home office spaces
Remote work is reshaping how we live, with home office spaces becoming a hot commodity.
In Singapore, the demand for home office furniture is booming, with the market expected to hit US$62.2 million by 2024. This surge reflects a broader trend as more people set up workspaces at home. The convenience of working from home has led to a spike in sales of desks, chairs, and tech gadgets, making home offices a must-have in modern homes.
Singaporeans are leading the charge in remote work preferences, with over 70% favoring this setup, outpacing the global average. Even as some companies pull back on remote options, the desire for flexible work arrangements remains strong. Many employees are pushing for hybrid models, blending office and home work, which keeps the demand for home office spaces alive.
Real estate trends are catching up, with home offices becoming a key selling point for properties. Buyers are increasingly looking for homes that offer dedicated workspaces, reflecting a shift in what people value in their living spaces. This change is influencing how homes are designed, with architects incorporating home offices into new builds to meet the needs of remote workers.
Media reports and consumer studies back this up, showing a clear preference for homes that can accommodate work-from-home lifestyles. The integration of home offices in architectural designs is not just a trend but a response to the evolving demands of the workforce. As more people work remotely, the need for functional and comfortable home offices is becoming a priority.
With remote work here to stay, the real estate market is adapting, and home offices are now a crucial feature for many buyers. This shift is not just about convenience but also about creating a productive environment that supports work-life balance. As the demand for home office spaces grows, properties that offer these features are likely to see increased interest.
Sources: eCommerceDB, The Straits Times
11) Higher property taxes will affect the profitability of luxury investments
Increased property taxes in Singapore are a growing concern for those eyeing high-end investments.
In recent years, Singapore has seen a shift in tax rates, especially for luxury properties. By 2023, owner-occupied properties faced steeper tax hikes, and this trend continued into 2024 and 2025. If your property's annual value exceeds $140,000, you're looking at a hefty 32% tax rate.
These rising taxes are squeezing the profitability of high-end investments. According to The Straits Times, property taxes for most homeowners rose in 2024 due to higher market rents and annual values. Owners of expensive private properties are particularly feeling the pinch.
Experts like Song Seng Wun, a Singapore economic adviser, point out that the rental market has stabilized. This means landlords can't easily pass increased property taxes onto tenants, which is a big deal for those relying on rental income from luxury properties.
With these challenges, the yields on luxury properties are taking a hit. The inability to transfer tax burdens to tenants means reduced profitability for high-end property owners. This is a crucial factor to consider if you're thinking about investing in Singapore's luxury real estate market.
Sources: IRAS - Property Tax Rates and Sample Calculations, The Straits Times - Property Taxes for Most Homes to Rise in 2024
Our team found this video detailing the significant property tax hikes in 2024, illustrating how these increases are impacting the profitability of high-end investments, particularly luxury condos.
12) Flood mitigation efforts will enhance confidence in properties in low-lying areas
In Singapore, the government has invested S$1.4 billion between 2021 and 2025 to improve drainage infrastructure.
Thanks to these efforts, flood-prone areas have shrunk from 3,200 hectares in the 1970s to less than 30 hectares today. This means fewer flash floods, even with the extra rain brought by climate change. Improved drainage systems are the heroes here, and media coverage has helped boost public confidence.
People are noticing the changes. Properties in areas with better flood defenses are seeing more interest and higher values. Urban planning reports and real estate analyses back this up, showing a clear trend in the market.
Government reports highlight the economic perks of these flood mitigation efforts. Reduced economic losses from flooding are a big win, making these areas more attractive to potential buyers.
For those considering buying property, this is a game-changer. Investing in low-lying areas now seems less risky, thanks to these robust flood defenses.
With these improvements, confidence in the real estate market is on the rise, especially in areas that were once considered vulnerable.
Sources: Channel News Asia, Smart Water Magazine
13) Woodlands will gain appeal with the upcoming Johor Bahru-Singapore Rapid Transit System
Woodlands is becoming a hot spot thanks to the Johor Bahru-Singapore Rapid Transit System (RTS Link).
This project has sparked a surge in property demand and prices. Take the Norwood Grand residential project, for example, where 292 units were snapped up at impressive prices. This is part of a larger trend since the RTS Link announcement, showing how much interest in Woodlands has grown.
The government is also pouring resources into turning Woodlands into a northern regional hub. They're planning to build 14,000 new homes and improve infrastructure, all to meet the rising demand for housing and make the area even more appealing.
The RTS Link is a game-changer, with a peak capacity of 10,000 passengers per hour per direction. This means easy travel between Singapore and Johor Bahru, plus new job opportunities for locals. With better accessibility, more businesses and residents are expected to flock to Woodlands.
These developments are part of a strategic plan to boost Woodlands' appeal. The area's transformation is not just about housing; it's about creating a vibrant community with everything you need close by.
As Woodlands evolves, it's becoming a place where people want to live, work, and play. The RTS Link is just the beginning of this exciting journey.
Sources: The Star, AsiaOne, LTA
14) Property values will rise in areas newly connected by the expanding MRT network
The expansion of the MRT network in Singapore is transforming property values in newly connected areas.
In 2024, there was a historic surge in property transactions, with 2,557 new home sales in November alone. This boom was largely due to the MRT network's improved connectivity, making these areas more accessible and attractive to buyers.
Historically, the HDB Resale Price Index showed a 6.9% increase in the first nine months of 2024, compared to just 3.8% in the same period in 2023. This growth was driven by the demand for larger flats, which became more appealing due to the enhanced accessibility offered by the MRT.
The Hougang Central project is a prime example of how MRT integration can boost property interest. Its strategic location and mixed-use development are expected to drive up property values, making it a hot spot for potential buyers.
Experts and government reports have long predicted that improved connectivity from MRT expansions would lead to increased property values. The Government Land Sales Programme for the first half of 2025 reflects this, with a strategic increase in residential unit supply to meet market demands.
This approach is expected to stabilize private property prices and support long-term market equilibrium, further enhancing property values in newly connected areas.
Sources: Government Land Sales Programme, Singapore Realtors Inc. Insights, Rail Journal on Singapore’s Rail Investment
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.
15) Property values will rise in areas with new Cross Island Line stations
The Cross Island Line (CRL) is set to boost property values in areas with new stations.
Historically, new MRT lines have been a game-changer for property prices. Take the Thomson-East Coast Line, for example, where properties saw a noticeable increase in value thanks to better accessibility and connectivity. This trend is expected to continue with the CRL, making it a hot topic among potential buyers.
Government reports back this up, showing that infrastructure projects like the CRL not only enhance connectivity but also improve the quality of life. The Land Transport Authority points out that the CRL will significantly improve connectivity for residents in the west, including areas like Sunset Way and West Coast. This makes these neighborhoods more appealing to both buyers and renters.
Property analysts are already predicting a rise in property values near the new CRL stations. Areas such as King Albert Park, Clementi, and West Coast could see price gains of up to 5% once the stations are up and running. This is a big deal for anyone looking to invest in these areas.
Urban planning studies also support this, showing that enhanced accessibility through new MRT lines can lead to higher demand for properties. This means that if you're considering buying property near these new stations, you might be making a smart investment.
Sources: Channel News Asia, Lentor Collection, Grand Dunman Condo
From this video, we realize that the development of the Cross Island Line is set to boost property values around the new MRT stations, enhancing connectivity to key hubs.
16) Redeveloping Paya Lebar Airbase will open new residential opportunities in the east
The redevelopment of the Paya Lebar Airbase is set to create new residential opportunities in the east of Singapore.
Thanks to the government's big push in infrastructure, the Urban Redevelopment Authority (URA) plans to move the Republic of Singapore Air Force by 2030, freeing up 800 hectares of land. This area is earmarked for a new town that's both liveable and sustainable. Imagine a place buzzing with life, where the airbase once stood.
URA's plans divide the area into districts like civil and tech quarters, plus transitional residential zones. This zoning is a clear nod to residential development as a major focus. If history is any guide, similar projects in Singapore have often led to a jump in property values, hinting at a strong demand for new homes.
Developers are already eyeing the area, eager to start high-rise projects once they get the green light. This interest is backed by population growth in eastern Singapore, which shows a rising need for housing. The redevelopment could bring in up to 150,000 new homes, similar to what you see in Punggol and Sengkang.
With the potential for so many new homes, the project is set to meet the growing demand for residential space in the region. It's not just about numbers; it's about creating a vibrant community where people want to live. The buzz around this redevelopment is palpable, and it's easy to see why.
Sources: Ohmyhome, The Straits Times, Mingtiandi
17) Interest in the Jurong Lake District will grow as it develops into a second Central Business District
The Jurong Lake District is set to become Singapore's second Central Business District, sparking interest among potential property buyers.
Thanks to major government investments in infrastructure, the district will soon be more accessible. Two new train lines, the Jurong Region Line and the Cross Island Line, are in the works. Once completed by 2029 and 2032, these lines will make commuting a breeze, connecting the district seamlessly with the rest of Singapore.
Big companies are already eyeing the area. The International Business Park is home to giants like Acer and Creative Technology, making it a hot spot for businesses looking to establish regional headquarters. This influx of companies is expected to create more job opportunities and give the local economy a healthy boost.
Property development is booming too. Projects like the J'den integrated condo by CapitaLand are popping up, attracting both residents and businesses. This surge in development could drive up property prices and rental rates, making it a potentially lucrative investment.
The government's plan to sell GLS sites for residential and commercial development shows a strong commitment to growth in the district. Plus, the district's vision as a model sustainability district, aiming for net-zero emissions by 2045, is turning heads. This focus on sustainability is making it a desirable place to live and work.
With its blend of commercial, residential, and recreational spaces, the Jurong Lake District is shaping up to be a vibrant hub. It's not just about business; it's about creating a community where people want to live, work, and play. Expect increased interest as these developments unfold.
Sources: Future Integrated Transport Hub in Jurong East, Jurong Lake District Visionary Concept, Potential of Jurong Lake District
In this video, we can see that Jurong Lake District is being developed into Singapore’s second CBD, driving investor interest with its strategic infrastructure and commercial opportunities.
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility.