Singapore private home prices grow at the fastest pace in a year

Private home prices grew by 2.3% QoQ in Q4 2024.

According to PropNex Realty, Singapore’s overall private home prices and HDB resale flat prices posted quarter-on-quarter (QOQ) growth in Q4 2024, thanks to robust new private home sales and resilient public housing demand, respectively.

Private home prices rose by 2.3% QOQ in Q4 2024, overturning the 0.7% QOQ decline in the previous quarter. PropNex says this is the fastest pace of quarterly price growth since the 2.8% QOQ increase in Q4 2023. It takes the cumulative price increase for 2024 to 3.9% - continuing a multi-year trend of slowing price growth since 2022. The final print is unchanged from the flash estimates released earlier this month.

Here’s more from PropNex:

The non-landed private homes segment led the price increase in the quarter as prices climbed by 3.0%, helped by QOQ growths across all sub-markets as new launches propped up prices. In Q4 2024, prices in the Core Central Region (CCR), Rest of Central Region (RCR), and Outside Central Region (OCR) rose by 2.6% QOQ, 3.0% QOQ and 3.3% QOQ, respectively.

In the full-year 2024, non-landed private home prices in the RCR grew at the fastest pace, at a cumulative 5.8%, compared with that of the CCR at 4.5%, and the OCR at 3.7%. Notably, the price growth in the OCR has eased substantially from the 13.7% increase in 2023 which is positive for the mass market, as it would not be sustainable for prices to keep rising at a double-digit percentage pace.

Meanwhile, landed home prices fell for the second straight quarter in Q4 2024, dipping by 0.1% QOQ. In 2024, landed home prices rose by 0.9% cumulatively – marking the slowest yearly price increase in seven years since 2018. In Q4 2024, there were 485 landed home transactions in total, compared with 521 transactions in Q3, according to caveats lodged. Overall, the moderation in landed home prices can be partly attributed to muted transactions, limited new landed homes launched for sale, and the elevated interest rates weighing on landed home demand.

In Q4 2024, developers sold 3,420 new private homes (ex. EC), taking the full year sales to 6,469 units – marginally higher by 0.7% from the 15-year low sales of 6,421 units in 2023. Over in the resale market, 3,702 private homes were resold in Q4 2024, bringing the overall resale volume to 14,053 units in 2024 (see Chart 2), 24% higher than the 11,329 units resold in 2023 and the highest annual resale volume in three years. Owing to the surge in new homes sold, resale transactions made up 49.8% of the total sales in Q4 – the lowest proportion in 17 quarters.

Meanwhile, private home rentals were flat in Q4 2024, and fell by 1.9% in the full-year 2024. This is the first yearly decline in rentals since the 0.6% drop in 2020. There were 8,460 private homes (ex. EC) that have been completed in 2024, and completions are expected to taper to 5,846 private homes (ex. EC) in 2025 which could help to support rentals this year.