The Singapore property market in 2025 is settling into a rhythm of resilient growth, largely defined by tighter supply and steady demand. With the yearly GDP expected to land at the upper end of a 2% to 3% range, industry experts confidently predict private property prices will climb between 3% and 4%.
Singapore’s 2025 property market settles into resilient growth, with private prices projected to climb between 3% and 4%.
The data certainly backs this optimism, as the latest Q1 2025 Property Price Index already nudged up 0.81% quarterly and 3.33% year-on-year, while the Housing Index climbed to 210.70 points. It appears that buyers, bolstered by stable employment and rising HDB resale prices that help close the affordability gap, are finally moving from a cautious watch-and-wait stance to actively making purchases. This momentum was signaled earlier when the HDB resale price index increased by 8.07% year-on-year in the third quarter of 2024.
A major driver of this shift is the sheer scarcity of completed stock. Only 5,348 private home units are expected to finish construction in 2025, which is a steep 41.3% drop from the 9,103 units seen in 2024. This supply shortage is subsequently fueling high demand particularly within the Core Central Region (CCR) and Rest of Central Region (RCR).
Suburban completions are projected to plummet to just 2,010 units, making those specific keys a bit of a rare commodity. This limited inventory helps explain why unsold stock remains low, further bolstering price resilience. Despite the tightness, transaction activity is buzzing with new energy.
Analysts at PropNex and CBRE forecast new home sales could reach anywhere from 7,000 to 9,000 units. To feed this appetite, around 16 new projects are set to launch in the first half of the year alone, adding over 8,000 fresh units to the competitive mix.
On the rental front, tenants might feel a pinch, as private rental prices are anticipated to rise another 2% to 4%, supported by strong expatriate demand. Meanwhile, buyer tastes are clearly evolving.
There is a strong preference for move-in-ready resale homes, often to avoid extra taxes or secure larger spaces. In the luxury segment, it is no longer just about the address; affluent buyers now prioritize wellness, smart home technology, and sustainability features. Singapore continues to demonstrate its reputation for economic resilience, with property investments showing greater stability compared to other asset classes during market fluctuations.
Whether it is a rising suburban hotspot or a prime district, long-term value and financial sustainability remain the golden rule for buyers exploring 2025.
