Prices Hold Firm Despite Sharp Drop in Property Transactions

Singapore's private residential market opened 2026 on a mixed note. While prices continued to edge upward, transaction volumes saw a significant pullback, reflecting a more cautious buying environment.

Price Growth Moderates Amid Slower Momentum

Private home prices rose 2.8% year-on-year in Q1 2026, but quarterly growth slowed to just 0.3%, marking the third consecutive quarter of easing momentum. The overall price index remained stable at 217, indicating that values are holding despite softer activity.

This trend suggests that while demand has not disappeared, buyers are becoming more selective and price-sensitive.

Transaction Volumes See Sharp Decline

Total private housing transactions fell substantially, dropping 37.1% quarter-on-quarter to 4,149 units. On a yearly basis, volumes plunged even further.

New home sales were the most affected, declining 53.1% from the previous quarter and nearly 59% year-on-year to 1,372 units. Resale activity also weakened, falling 23.2% quarter-on-quarter and 26.6% year-on-year to 2,662 units.

Landed property transactions followed a similar trend, decreasing 31% quarter-on-quarter and 17.7% year-on-year to 359 units, with the vast majority coming from the resale market.

Diverging Trends in Prices

Despite the drop in transactions, prices showed resilience across segments.

New sale prices climbed 3.7% quarter-on-quarter and 14.7% year-on-year to an average of $2,851 psf. In contrast, resale prices remained flat on a quarterly basis but still recorded a modest 3.5% annual increase to $1,833 psf.

Landed property prices dipped 1.8% quarter-on-quarter but rose 5.2% compared to a year ago. Meanwhile, non-landed homes continued to see mild growth, increasing 1% over the quarter.

Regional Performance: OCR Leads Growth

Across regions, the Outside Central Region (OCR) posted the strongest quarterly price growth at 1.3%, followed by the Rest of Central Region (RCR) at 0.9%, and the Core Central Region (CCR) at 0.4%.

However, transaction volumes declined across all regions on a yearly basis, with the RCR experiencing the steepest contraction.

Strong Launch Demand for Select Projects

Despite the overall slowdown, certain new launches still attracted strong buyer interest.

Projects such as Rivelle Tampines and Pinery Residences achieved over 90% sales during their launch weekends, indicating that well-priced and well-located developments continue to perform.

Landed Market Remains Resilient

In the landed segment, resale transactions dominated, accounting for 338 out of 359 deals. New landed homes remained limited in supply, with only 21 transactions recorded.

Interestingly, new landed home prices surged 10.6% quarter-on-quarter, while resale landed prices saw a slight dip of 0.7%, highlighting a divergence between new and secondary market performance.

Outlook for 2026

Looking ahead, the private residential market is expected to remain stable, with full-year price growth projected between 2.5% and 4.5%.

Total transaction volumes are forecast to reach between 23,500 and 25,500 units, suggesting that while activity may stay subdued in the near term, underlying demand continues to support the market.