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Singapore’s private property market remains one of the most resilient and sought-after real estate sectors globally. The nation’s stability and consistent economic growth make it attractive for savvy investors across the globe. That does not mean the market does not still have its own private property price trends in Singapore, especially moving into 2025. Private property prices are set to continue their upward trajectory, driven by constrained supply, robust demand and a recovering economy. For investors and homebuyers, understanding these Singapore private property price trends is key to making informed decisions in a competitive market.
Strong Price Growth Amid Limited Supply
Private property prices in Singapore are forecasted to rise by 3% to 4% in 2025. This moderate yet steady growth comes as the market faces a significant drop in new completions. According to The Straits Times, only 5,348 private home units are expected to be completed in 2025, a sharp 41.3% decline from the 9,103 units projected for 2024. Understandably, this affects Singapore private property trends, as a smaller supply of private property developments available for purchase increases demand.
This supply crunch is set to place upward pressure on prices, particularly in prime areas like the Core Central Region (CCR) and the Rest of Central Region (RCR). Additionally, PropNex expects 8,000 to 9,000 new private homes to be transacted in 2025, up from 6,500 units in 2024, highlighting the sustained demand for private residential properties.
Key Drivers Behind the Private Property Price Trends
Several factors are expected to fuel the private property price trend in Singapore:
Economic Stability and Growth
The Monetary Authority of Singapore expects 2025 gross domestic product (GDP) growth at the upper end of the 2% to 3% forecast range. This stable economic environment will bolster buyer confidence. In addition, this recovery, combined with improved employment rates, will strengthen purchasing power, particularly for high-income individuals and expatriates.
Resale Homes Increase
Demand for resale homes is expected to remain strong, as many buyers looking to upgrade prefer move-in-ready properties to avoid paying extra taxes. Resale homes are also popular for their more affordable prices and larger living spaces. This supply shortage is likely to be felt most in Singapore’s suburban areas, where the number of new homes being completed is projected to drop significantly to just 2,010 units in 2025.
Resilient Rental Market
Rental prices are anticipated to rise by 2% to 4% in 2025, continuing the recovery seen in late 2024. Tight rental inventory and renewed demand from expatriates and corporate relocations make private property an appealing investment for rental yields.
New Home Launches
More new homes are expected to hit the market in 2025, which could help ease the housing supply shortage for resale properties. Around 16 new projects are set to launch in the first half of 2025, bringing a total of 8,025 new units (not including executive condominiums).
Rental Returns and Capital Gains Highlight Investment Potential
The rental recovery observed in 2024 is expected to gain further momentum in 2025, reinforcing the investment appeal of private properties. With rental prices forecasted to rise by 2% to 4%, investors can expect strong yields, particularly in the Core Central Region (CCR) and the Rest of Central Region (RCR), where demand remains high.
For those looking beyond the traditional hotspots, emerging neighbourhoods in the RCR offer strong growth potential. Areas with ongoing infrastructure development, improved amenities, and proximity to business hubs are expected to see increased buyer activity in the coming year. These regions offer attractive prices compared to prime districts while maintaining excellent connectivity and high-quality developments, making them ideal for buyers seeking value and long-term appreciation.
A Promising Outlook for 2025
Singapore’s private property price trend for 2025 paints a picture of steady growth, driven by economic recovery, constrained supply and strong investor confidence. Luxury homes, in particular, stand out as a key segment, offering opportunities for lifestyle buyers and long-term investors.
Whether you’re eyeing a luxury duplex penthouse, a prime condominium in the CCR, or an emerging gem in the RCR, the year ahead offers exciting prospects. With robust rental returns, limited new supply and resilient demand, private property in Singapore remains a sound investment choice.
Stay ahead of the curve with Singapore Luxury Homes – your trusted partner for navigating Singapore’s dynamic real estate market. Contact us today to explore exclusive opportunities and find your dream property in 2025.
