In the second half of 2024, Singapore’s prime non-landed residential market experienced a significant downturn, according to Knight Frank’s latest report. Sales totalled S$573.7 million, marking a 27.1% decrease from the first half of the year. The annual sales value fell to S$1.4 billion, a 22.1% drop from 2023, setting a new record low since tracking began in 2009. The decline is attributed to the absence of foreign buyers, deterred by the Additional Buyer’s Stamp Duty (ABSD).
The report highlights a 3.5% year-on-year decrease in prime non-landed prices, from S$2,319 per square foot (psf) in H2 2023 to S$2,237 psf in H2 2024. Despite this, homeowners maintained high asking prices. The secondary market dominated sales due to a lack of new luxury housing launches. Notably, two sales from 32 Gilstead topped transactions, with unit prices between S$3,431 and S$3,505 psf.
The landed residential market showed more resilience. Although the URA Property Price Index for landed homes saw a slight decline, demand remained stable. A total of 331 landed homes were sold in H2 2024, with the overall sales value for the year reaching S$6.1 billion, an 18.6% increase from 2023. The Good Class Bungalow (GCB) segment saw a resurgence, with 14 sales in H2 2024 totalling S$618.5 million.
Looking ahead, Knight Frank anticipates that demand for prime homes will remain subdued unless restrictive measures are eased. However, landed properties are expected to see moderate price increases in 2025, driven by continued interest from affluent buyers.
