Discussions around the potential for new property cooling measures, the influx of housing supply from government land sale (GLS) sites and Build-To-Order (BTO) launches, and Budget 2025 announcements, were at the forefront of the Property Market Outlook event organised by EdgeProp Singapore on Sunday, Feb 16. A panel of three industry experts – Alan Cheong, executive director of research and consultancy at Savills Singapore; Wong Xian Yang, head of research, Singapore and Southeast Asia at Cushman & Wakefield; and Song Seng Wun, Singapore economic advisor at CGS International – provided insights and forecasts for the market, with EdgeProp Singapore CEO Bernard Tong serving as moderator.
The event, held at the sales gallery of Elta, a new 501-unit development by MCL Land and CSC Land Group, which launched for public preview on Feb 7.
In January, the government suggested that it was open to implementing further property cooling measures and that it was not yet time to roll back existing measures. Sales of new private residential units (excluding executive condos) reached 1,083 units in January – a 256% increase compared to the same period last year.
If new cooling measures are rolled out, it is likely that the government will implement a uniform intervention across the residential market, according to Cheong. The panel also discussed the possibility of measures targeting the HDB resale market.
According to Wong, the HDB resale market serves as the “floor” of Singapore’s housing market, and an increase in prices there could have an impact on the private housing segment. He speculated that the government could consider adjusting the seller’s stamp duty (SSD) and impose stricter loan restrictions.
Tong, however, noted that the government has plans to introduce a significant supply of homes through GLS and BTO launches to meet housing demand. The 1H2025 GLS programme comprises 10 sites on the Confirmed List, which could yield 5,000 new homes, and HDB plans to roll out 19,000 BTO flats in 2025.
Under the new BTO classification, newly launched Prime and Plus BTO flats will take around 14 years to enter the resale market, and their impact on prices will be felt much later, says Cheong. Wong added that the prices in the resale market tend to follow project completions and HDB estates hitting their minimum occupation period (MOP), rather than the pipeline of GLS sites up for tender each year. According to Wong, project completions have a more significant impact on prices, as opposed to GLS supply.
Nevertheless, all three panelists expect continued market enthusiasm for projects launching this year, following the successful launches of Elta, The Orie and Bagnall Haus, which recorded selling rates of 86% and 63% at launch respectively. According to Song, prospective buyers remain confident in their ability to make a profit when they eventually sell their property. He attributes this to a strengthening job market, which has instilled confidence in property owners to upgrade.
The panel also delved into Budget 2025 and its potential impact on the property market. According to Song, Singapore has experienced a robust economic recovery since the Covid-19 pandemic-induced recession. As Budget 2025 is an election year, he expects the government to offer more handouts funded by a surplus generated through healthy government revenue collections over the past three years.
The panelists also took questions from the participants. Some attendees queried whether the residential property market is currently in a “euphoric” phase. Cheong remarked that the heightened market sentiment is likely to subside as developers strategically time the launch of new projects. He added that several launch-ready projects are located in neighbourhoods that have not seen any new projects in several years. “If a particular location has not had a new launch in around five or six years, demand tends to build up over time,” he explained.
Investors also asked the panelists for their views on the rental market this year, which has slowed down since its peak two years ago. Cheong pointed out that the rental market saw an increase in transactions despite total expatriates in Singapore dipping in the past year. He surmised that falling rents could have encouraged renters to abandon flat-sharing in order to rent their own property. However, layoffs in the technology and finance sectors could potentially moderate rent price growth this year.
During the event, Tong, who also covered upcoming transformation plans in Clementi and Jurong East, presented a session of EdgeProp’s Master Plan Master Class. He highlighted that the completion of the second phase of the Cross Island Line (CRL) will add a new MRT station (West Coast) and connect the existing Clementi station to the CRL line. “Historically, MRT interchanges tend to have a positive impact on surrounding property prices,” Tong explained.
Transformation plans in Clementi include the redevelopment of Clementi Stadium and the installation of more than 6.6km of cycling paths throughout the area. Housing demand in Clementi is also expected to benefit from the progressive development of the Jurong Lake District and the creation of new jobs in the nearby Tuas megaport, Tuas Biomedical Park, Jurong Island, and Jurong Innovation District.
Data from EdgeProp Singapore reveals that the average age of existing condos in Clementi is about 17 years. Cheong noted that recent new projects in the area have recorded strong capital gains over the years, such as Clavon (24% increase in price since launch) and The Clement Canopy (43% price growth since launch) – both projects located next to Elta.
EdgeProp Singapore’s suite of property tools includes data and analytics on profitable transactions, HDB resale prices, and upcoming GLS sites, which could help owners, buyers, and sellers better understand market trends and prices.