Blog

[SINGAPORE] Sales of luxury apartments surged in the first half of 2025, with 45 units transacted for S$584.3 million, according to a CBRE report released on Wednesday (Aug 27).

This was up 53.9 per cent from the same period last year, when 34 units were sold for S$379.7 million, and more than double the S$228.4 million from 20 units in the second half of 2024.

CBRE attributed the rebound to a slew of condominium launches and a low interest rate environment.

It added: “Besides affluent locals, some ultra-high-net-worth individuals who (have) recently become new permanent residents (PRs) or those holding foreign citizenships, which (grant them) the same stamp-duty treatment as Singaporeans, have picked up more large-format apartments or penthouses.”

Ultra-luxury project 21 Anderson, which hit the market this April, sold four of its four-bedroom units for S$20 million to S$24 million, or S$4,672 to S$5,347 per square foot (psf), in the half-year period.

Launched in April last year, 32 Gilstead, comprising 14 units, sold seven four-bedroom units in H1 for S$13 million to S$15 million, or S$3,402 to S$3,592 psf. Meanwhile, a five-bedder in Skywaters Residences fetched S$30.9 million or S$5,841 psf.

Average luxury apartment prices rose 6.2 per cent to S$3,736 psf in H1, from S$3,517 psf in 2024, CBRE data showed.

Amid the sustained demand, the total transaction value of private homes in the prime Core Central Region (CCR) above S$5 million remained stable, OrangeTee-Realion noted.

Transaction value in this price segment rose to S$1.377 billion in the second quarter of 2025, from S$1.375 billion in the previous quarter, it noted. As a result, the average price per unit rose from S$9.6 million to S$9.8 million over the same period.

In the secondary market, 120 resale luxury homes changed hands in Q2 – higher than the quarterly average of 94 units over the past two years, added OrangeTee-Realion.

The rental market also gained momentum, with luxury apartment rents rising 4.6 per cent in Q2 to S$15,348 per month, Huttons Asia data showed. In H1, rents jumped by more than 10 per cent from the fourth quarter of 2024.

It noted that rents for three-bedders were almost flat, while that of four-bedroom units rose by 4.9 per cent to S$18,958 per month in Q2.

Optimistic about future

Looking ahead, Huttons Asia reckons that sales and rentals in the luxury non-landed market will continue its upward trend as some 1,600 millionaires are expected to enter Singapore this year.

Similarly, CBRE Singapore’s head of residential services Linda Chern said that the positive momentum will continue to be supported by new launches in the prime CCR, such as Upperhouse at Orchard Boulevard.

Newly minted PRs and citizens, who benefit from lower additional buyer’s stamp duty, are also expected to drive growth in the segment, she noted. CBRE expects luxury apartment sales in 2025 to top S$608.2 million, outstripping 2024’s tally.

While the luxury condo segment saw a strong rebound in H1, activity in the landed segment was tepid – 14 Good Class Bungalows (GCBs) worth S$459.6 million changed hands, marking a 46.9 per cent decline from the preceding half-year period, said CBRE.

Average GCB prices moderated to S$2,122 psf, down 12.8 per cent from 2024, as more deals occurred in fringe GCB Areas, such as Caldecott Hill Estate and Chestnut Avenue, it added.

Still, CBRE head of research in Singapore and South-east Asia Tricia Song is optimistic that the GCB market will recover in H2 on lower interest rates, strong rally in the financial markets, as well as increased listings from owners with weaker holding power.

OrangeTee-Realion noted that, overall, demand for luxury residential properties will likely remain robust, unless there are major economic shocks disrupting the market.

“The stability of Singapore’s residential market will remain a draw to investors and high-net-worth individuals looking for opportunities. The steady dip in interest rates may support continued activity in the luxury market as borrowing costs decrease,” it added.

Upcoming new project launches in the CCR in H2 are expected to spur overall market activity as buyers have more luxury home options.

“Momentum in the primary market may spill over to the resale market, uplifting prices and boosting demand for luxury properties,” said OrangeTee-Realion.