Singapore’s luxury condominium market staged a notable comeback in the first half of 2025, supported by new launches and a more favourable interest rate climate.

What Is Driving the Upswing?

Several factors have converged to lift the segment:

• New launches in the Core Central Region reignited buyer interest.
• Lower financing costs boosted confidence for big-ticket purchases.
• Policy shifts allowed new permanent residents and citizens to enjoy the same buyer stamp duty treatment as Singaporeans, spurring demand for large units and penthouses.

This shows demand is increasingly from affluent locals seeking long-term wealth preservation, not just ultra-wealthy investors.

Good Class Bungalows Lag Behind

In contrast, the Good Class Bungalow (GCB) segment remained subdued. Only 14 transactions were recorded in H1 2025, totalling $549.6 million — almost half the volume of the preceding six months. Average GCB prices also fell 12.8% year-on-year.

This reflects a more cautious stance among ultra-luxury landed buyers, possibly due to price resistance and high upfront capital requirements.

Why This Matters for Investors

The resurgence in luxury condos signals investors’ preference for prime high-rise assets that combine prestige with liquidity. Compared to landed homes, condos offer faster turnover, making them more attractive for capital appreciation and exit flexibility.

With fresh launches such as UpperHouse at Orchard Boulevard attracting strong interest, momentum is expected to carry through 2025. CBRE projects luxury condo sales could exceed $1.2 billion for the year, surpassing 2024’s tally.

Outlook

As Singapore maintains its safe haven status, luxury property remains a magnet for capital inflows. If interest rates continue to ease gradually, the high-end condo segment is likely to remain resilient even as other market corners moderate.

For buyers and investors, opportunities lie in upcoming launches where developers are positioning units at competitive price points to capture demand.