Leasing Volume

In Q1/2025, the leasing volume of private residential properties (excluding ECs) in Singapore increased by 4.8% quarter-on-quarter, reaching 20,724 transactions. This rise was solely attributed to the non-landed segment, which saw a 5.2% quarter-on-quarter growth. All submarkets experienced quarterly increases, with the Rest of Central Region (RCR) leading at 7.1%, followed by the Core Central Region (CCR) at 6.3%, and the Outside Central Region (OCR) at 2.3%. Conversely, the landed segment across the entire island recorded a 1.8% decline during the same period.

Despite a significant slowdown in Singapore’s economic growth and employment gains, residential leasing volume in Q1/2025 recorded a year-on-year increase of 3.7%, reversing the year-on-year declines seen in the first quarters of 2022 to 2024. This growth was mainly driven by the non-landed segment in both the Core Central Region (CCR), which rose by 7.9%, and the Rest of Central Region (RCR), which increased by 7.0%. Leasing activity for landed homes across the island also edged up by 0.5% year-on-year. In contrast, the leasing volume for non-landed residential units in the Outside Central Region (OCR) fell by 2.1% compared to the same period last year. The increase in leasing demand in the CCR and RCR was underpinned by a substantial supply of new completions over the past two years—especially smaller-sized units—and more reasonable rents, which attracted tenants to these properties.

In Q1/2025, the top five non-landed private residential projects in terms of leasing volume were Normanton Park, One Pearl Bank, D‘Leedon, Parc Esta, and Marina One Residences, collectively accounting for a total of 667 rental contracts that commenced during the quarter.

Rent

Supported by increased leasing activity in Q1/2025, overall rents for non-landed private residential properties rose by 0.5% quarter-on-quarter, according to the latest data released by the URA. This reversed the decline observed in Q4 of last year. The Outside Central Region (OCR) led the rental increase with a 0.7% quarter-on-quarter rise, followed by a 0.4% quarter-on-quarter growth in both the Core Central Region (CCR) and the Rest of Central Region (RCR).

A detailed analysis was conducted on the median rents for one- to four-bedroom units ，the most active types in the rental market，across various market segments. With the exception of one-bedroom and three-bedroom units in the Rest of Central Region (RCR), which recorded marginal quarter-on-quarter declines of 0.3% and 0.2% respectively (changes considered statistically negligible), median rents for all other unit types across the market segments posted quarter-on-quarter increases. Compared to the same period last year, most of the median rents analysed are now broadly in line with, or slightly above, year-ago levels.

Statistical sample data show that more than half (52.6%) of the developments recorded quarterly rental increases ranging from 0.2% to 12.7%. As a result, the average monthly rent for units in these developments rose for the second consecutive quarter, increasing by S$0.10, or 1.7% quarter-on-quarter, to S$5.95 per square foot in Q1/2025. By location, the growth was led by the Downtown Core submarket, followed by River Valley and Orchard/Cairnhill.

Stock and Vacancy

Following a substantial level of completions in the previous two quarters, the first quarter of 2025 saw a moderate number of private residential properties (excluding ECs) receiving their Temporary Occupation Permits, with 1,988 units completed. By market segment, the Core Central Region (CCR) accounted for slightly more than half of the new completions, contributing 1,055 units or 53.1% of the total.

The island-wide stock of completed private residential properties (excluding ECs) continued to increase for the fourth consecutive quarter, rising marginally by 2,136 units or 0.5% quarter-on-quarter to reach 419,869 units in Q1/2025. Due largely to the decline in new completions, the net take-up of such properties fell sharply from 5,420 units in Q4/2024 to 2,498 units in Q1/2025. Nevertheless, net demand slightly outpaced net supply during the quarter. As a result, the island-wide vacancy rate eased slightly by 0.1 percentage point quarter-on-quarter to 6.5%, indicating that the market continued to absorb vacant units stemming from significant completions in recent quarters.

Source：Savills，URA