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[SINGAPORE] Developers in Singapore sold 1,575 private homes in February, about 10 times the 153 units moved a year earlier and 45.4 per cent more than the total sold in January, data released by the Urban Redevelopment Authority (URA) showed on Monday (Mar 17). 

The latest new sales tally, excluding executive condominiums (ECs), is a 13-year high for the month of February since 2012, when 2,417 units were sold.

Including ECs, it also counts the highest-ever number – 603 – of new suburban private homes sold for at least S$2 million in one month, according to Christine Sun, OrangeTee Group chief researcher and strategist. The previous record, since 1995 when URA’s data first became available, was in November 2024 when there were 512 of such transactions, noted Sun.  

A buying spurt that began late last year has continued into the start of the new year at pace, and could carry into the coming months with several new launches slated, analysts said. 

“It is just two months into the new year and a total of 2,658 new sales (excluding ECs) have been recorded in January and February 2025,” said Leonard Tay, research head at Knight Frank Singapore. “In comparison, it took eight months from January to August in 2024 to reach a total of 2,714 units, based on monthly developer sales data, with just 2,503 units sold from January to July 2024.”

The surge in demand in the last quarter of 2024 brought the new home sales tally for the year to 6,469 units – marginally higher than 2023’s 6,421 units, which was a 15-year low for developer sales since the global financial crisis of 2008, said CBRE research head for South-east Asia Tricia Song. 

“Buying sentiment and appetite has improved amid lower mortgage rates, and as developers push ahead with major launches,” Song said.

Tay added that homebuying demand remains supported by strong household balance sheets, too, which are on a “steady path” of improving affluence, a low unemployment rate, and liquid wealth passed down from earlier generations that benefited from asset appreciation.

Sales were driven by the two major launches last month – Parktown Residence in Tampines and Elta in Clementi. 

Integrated development Parktown Residence sold 1,041 units, or more than 87 per cent of its 1,193 units, at a median price of S$2,363 per square foot (psf) in February. Elta sold 326 units, or 65 per cent of its 501 units, at a median price of S$2,538 psf. 

Both saw robust take-up rates, being located in popular suburban neighbourhoods that have not seen new supply in the past five years or more, said Song.

Of the 603 private homes sold for at least S$2 million, close to 400 were transacted at Parktown Residence, where some 57 units were sold for between S$3 million and S$5 million, Sun observed. It also includes two landed homes and five ECs. 

Still, PropNex head of research and content Wong Siew Ying noted that 82 per cent of units sold at Parktown Residence were priced at below S$2.5 million. Elta sales saw a similar pattern – nearly 77 per cent of sales were closed below S$2.5 million.

A price range of between S$1.5 million and S$2.5 million appears to be what homebuyers are “relatively comfortable with”, Wong said.

Singaporeans made up 92.4 per cent of buyers in February 2025, while permanent residents accounted for 6.9 per cent, said Huttons Asia head of research Lee Sze Teck.

The two priciest new homes sold in the month were units at 32 Gilstead, which were bought by foreigners, Lee added.

Including ECs, 1,604 units were sold in February with 1,694 units launched, versus the 187 units sold and 45 units launched in the same month in 2024. In comparison, 1,104 units were sold and 896 units were launched in January 2025. 

March’s numbers are likely to be strong as well, with three projects – Aurelle of Tampines EC, Lentor Central Residences, and Aurea at Golden Mile – marketed during the month.  

Buyers snapped up some 1,150 units at these three projects when they launched last weekend. The 477-unit Lentor Central Residences alone sold 445 units at an average price of S$2,200 psf.

The second quarter of this year also has a strong pipeline of launches, including Arina East Residence in Tanjong Rhu, Marina View Residences, Artisan 8 in Bishan, and One Marina Gardens, which may “further energise the market”, said Mohan Sandrasegeran, head of research and data analytics at Singapore Realtors Inc. 

ERA chief executive Marcus Chu predicts that new home sales for the year could rise to 9,500 units – a revision from ERA’s earlier projection of 7,000 to 8,000 units.

This strong demand may bolster developers’ confidence to raise prices of new launches this year, said Nicholas Mak, Mogul.sg’s chief research officer. “However, rising property prices could stoke growing concerns about declining housing affordability, which is a pain point among homebuyers in the midst of rising cost of living. As the government is sensitive to such concerns, it would raise the possibility of another round of property cooling measures.”