Newsroom

Press Release

24 Jan 2025

URA has just released the Q4 2024 real estate statistics.

https://www.ura.gov.sg/Corporate/Media-Room/Media-Releases/pr25-05

Prices

In 2024, the prices of private homes experienced their slowest growth rate in four years. According to data from the Urban Redevelopment Authority (URA), the overall price index for private residential properties increased by 2.3 per cent from Q3 2024 to Q4 2024, culminating in full-year growth of 3.9 per cent. This represents a decline from the increases of 6.8 per cent in 2023, 8.6 per cent in 2022, and 10.6 per cent in 2021. The last occurrence of such sluggish price growth was in 2020, during which prices rose by 2.2 per cent as a result of the pandemic.

Volume

Private home sales (non-landed and landed excluding EC) increased by 38.4 per cent from 5,372 in Q3 2024 to 7,433 units in Q4 2024. 21,950 private homes, excluding EC, were sold for the entire year of 2024, 15.3 per cent higher than the 19,044 units sold in 2023.

With a surge in new project launches last quarter, new home sales jumped by 194.8 per cent from 1,160 units in Q3 2024 to 3,420 units in Q4 2024. This is the highest quarterly new sales since Q3 2021 when 3,550 units were sold. For the whole of 2024, 6,469 new homes were transacted, slightly more than the 6,421 units transacted in 2023.

Conversely, the resale market exhibited a more subdued performance due to increased competition from the primary market. Resale volume dropped by 4.1 per cent from 3,860 units in Q3 2024 to 3,702 units in Q4 2024.

Rental

Private rents held steady in the final quarter of 2024, with a marginal increase seen for non-landed properties. According to the Urban Redevelopment Authority (URA) rental index, rents remained unchanged in Q4, after increasing by 0.8 per cent in the previous quarter. For the whole of 2024, rental prices dipped 1.9 per cent, a reversal from the 8.7 per cent increase in 2023.

Rents are expected to recover in 2025, with a projected increase of 2 to 4 per cent. The rent recovery will be driven by improving macroeconomic conditions and employment growth, and less supply of completed homes. Based on the latest World Economic Outlook report by the International Monetary Fund (IMF), global growth is expected to remain stable in 2025, and business sentiment will experience an upturn as business costs are projected to decrease due to the prevailing lower interest rates and brightening economy. These factors will boost expat hiring, which will, in turn, benefit the rental market.

In 2025, positive rental growth is expected across all market segments. This could be driven by demand outstripping supply as there will be a substantial reduction in projected completions compared to previous years. In particular, the suburban and city fringe areas are expected to witness more accelerated rent increases, as the decline in supply within these regions will be more significant.

Outlook

Looking ahead, we expect private home prices to increase at a faster rate of 4 to 7 per cent in 2025, primarily driven by more project launches and a faster resale price growth due to a tighter supply of homes.

Next year, many new projects are expected to be launched, potentially leading to an increase in new home sales. On the other hand, the number of private home completions, or homes receiving Temporary Occupation Permits (TOP), is likely to decrease further in 2025. As a result, overall sales are projected to remain steady at around 18,000 to 22,000 units in 2025.

Press Release

by OrangeTee & Tie Pte Ltd.

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URA Quarterly Data