Singapore home prices expected to rise modestly in 2025

Around 3,800 more homes are expected to be completed for the rest of the year.

Singapore private home prices are expected to remain stable and rise at the lower end of the earlier projected 3% to 5% range for the year, amidst persistent global headwinds and cautious sentiment, according to Knight Frank. 

Around 3,800 more homes are expected to be completed in the remainder of 2025, which could tighten rental supply and support leasing demand.

On the sales front, Knight Frank projects new home sales to land between 7,000 and 9,000 units for the year. 

The final tally will depend on the scale and timing of new project launches in the second half.

“Whilst sales momentum eased during the quarter, interest in new private homes remains, setting the stage for the next wave of launches to boost overall market activity,” said Nicholas Keong, head of Residential and Private Office at Knight Frank Singapore.

Singapore’s private residential market recorded a slowdown in Q2 2025, as developers held back new launches and global uncertainties weighed on buyer sentiment, according to Knight Frank Singapore’s latest residential report.

Total non-landed private home transactions fell 41.1% quarter-on-quarter to 3,973 units, although this still marked a 9.1% increase from a year ago. 

The decline followed an active Q1, where developers had capitalised on strong momentum from late 2024.

New home sales dropped sharply by 66.1% from the previous quarter to 1,124 units, reflecting the limited number of launches during the period. 

Knight Frank noted that despite the drop, demand appears to be supply-led, with figures still ahead of Q1 2024's 687 transactions.

Secondary market activity also softened. Resale transactions fell 17.0% from Q1 to 2,849 units, down 22.6% compared to the same period in 2024. 

Knight Frank attributed the pullback in part to macroeconomic factors, including US tariffs and geopolitical tensions, which led some buyers to adopt a wait-and-see stance.

As sales volume declined, price growth also moderated. 

URA’s flash estimates showed that the non-landed private residential price index rose marginally by 0.5% quarter-on-quarter to 206.4 in Q2 2025. 

Prices in the first half of 2025 were up 1.5%, slightly lower than the 1.6% increase in the same period last year.

Leasing activity remained stable, with 12,838 islandwide leasing contracts for non-landed homes recorded in April and May 2025. 

Rents rose modestly across most segments, except in the ultra-luxury tier, where they fell 3%.