Singapore landed home sales up 18.6% to S$6.1b in 2024

A total of 331 homes were transacted in H2 2024 alone.

In a report, Knight Frank said although the URA Property Price Index (PPI) for landed homes declined by a slight 0.9% q-o-q in Q4 2024**, on top of the 3.4% decline in Q3 2024, demand for landed properties remained stable.

On a full-year basis, landed home prices were generally flat with a slight 0.1%** growth, as housing aspirations for these homes at the top of the Singapore housing pyramid remained firm against the generally limited inventory.

Here’s more from Knight Frank:

A total of 331 landed homes changed hands in H2 2024, more than the 313 landed homes that were sold in H1 2024. Both periods recorded a similar total sales value of around S$3.0 billion each. For the whole of 2024, the overall sales value at S$6.1 billion was 18.6% up from the S$5.1 billion in 2023.

However, this is still far off from the record year of 2021 when S$9.4 billion worth of landed homes transacted. Nevertheless, the average unit land price rose 1.0%, from S$1,952 in 2023 to S$1,971 in 2024, signalling buyers’ continued willingness to pay top dollar for the luxury of space these homes provide.

Unlike a year ago when the Good Class Bungalow (GCBs) segment was hardly active, more GCB transactions were observed throughout 2024. In H2 2024, there were 14 GCBs sales with a total of S$618.5 million worth in total sales value. This reflected a 45.0% jump from the S$426.4 million recorded in H1 2024 when eight GCBs changed hands. More GCBs coming onto the market could be due to some high-net-worth individuals or families rationalising their portfolio, given that holding costs for elite homes have increased with higher property taxes.

High-profile GCB transactions in the final six months of 2024 included two GCBs with a combined sales value of S$131.4 million in the Belmont Park GCB Area with a land rate of S$3,000 psf for each bungalow. These two GCBs were reportedly acquired by Jennifer Tzelee Teo, a director of a private equity outfit of Hillhouse, with one of the GCBs acquired as a trustee.

Outlook

Demand for landed homes and GCBs were supported in 2024 and over the medium- to long-term will be supported so long as affluence in Singapore remains on an upward trajectory. Additionally, the globally mobile wealthy putting down roots in Singapore for its stability in an increasingly uncertain world will also provide base demand for landed homes. Perennial interest in landed homes against saleable inventory from retirees downgrading to homes that are easier to maintain, will provide the foundation for demand with prices expected to moderately increase around 3% in 2025.
 

**based on flash estimates announced on 2 January 2025