Singapore private home prices to rise by 3-4% in 2025

This is relatively on par with the rate of increase recorded in 2024.

According to Ismail Gafoor, CEO of PropNex Realty, there has been renewed confidence in the private residential market since the end of 2024, with successive new launches garnering healthy sales.

“The moderation in interest rates, Singapore’s positive economic outlook, the tight labour market, as well as the launch of projects in attractive locations have all helped to underpin the property market and lifted buyers’ sentiment. That said, trade tariff concerns and geopolitical tensions pose downside risks, and we remain cautiously optimistic about the private housing market in 2025,” Gafoor added.

Here’s more from PropNex:

In Q1 2025, overall private home prices grew at a slower pace of 0.6% QOQ compared with the 2.3% QOQ increase in the previous quarter. We expect the sustained demand for private homes to support price stability this year, with well-located projects potentially achieving benchmark average price when they are put on the market. 

With construction costs still high, and the firm land prices, we anticipate new launch prices could remain resilient. Price quantum will continue to be a key decision-making factor for homebuyers and investors. In 2025, we forecast that the overall private home prices may climb by 3% to 4% - relatively on par with the 3.9% increase in 2024.  

Evaluating the transacted price range of new non-landed private homes (ex. EC) sold, we note that a sizable portion of transactions continues to be done at below $2.5 million. In Q1 2025 (till 23 March), around 72% of the non-landed private new homes transacted were priced at below $2.5 million, up from about 65% in Q4 2024, according to caveats lodged. Units at Parktown Residence, The Orie, Lentor Central Residences, and ELTA accounted for majority of the transactions priced at below $2.5 million in Q1 2025.

We project that new home sales could come in at 8,000 to 9,000 units (ex. EC), supported by moderating interest rates and more launches lined up, while in the private resale market, sales may reach 14,000 to 15,000 units for the full-year 2025.”