Singapore Real Estate Market Size & Share Analysis - Growth Trends and Forecast (2026 - 2031)

Singapore Real Estate Market Trends and Insights

Government-Backed Urban Planning Spurring Long-Term Development

The Urban Redevelopment Authority’s planning framework, including the transformation of the Greater Southern Waterfront, expands the supply of mixed-use and housing options over a multi-decade horizon in the Singapore Real Estate market. Port relocation and new precinct development create pathways to re-balance density and enhance liveability, with a clear sequence of transport, coastal protection, and community infrastructure investments. The pipeline around city-fringe sites and mature estates aligns new housing with transit nodes and social amenities, which supports price stability through broader access and reduces cross-island commuting. Government Land Sales continue to anchor investor expectations around bid discipline, location advantages, and integrated designs in the Singapore Real Estate market. Over time, these measures build a steady foundation for demand while reducing concentrations of obsolescent stock across the city.^{[2]https://www.ura.gov.sg/Corporate}

Strategic Positioning as a Regional Business Hub Supporting Office, Co-working, and Mixed-Use Growth

Singapore’s role as a regional headquarters location continues to reinforce CBD office fundamentals through steady leasing, low vacancy, and a flight to quality. Vacancy in Core CBD Grade A assets narrowed to 4.7% in the third quarter of 2025, which indicates demand resilience in the Singapore Real Estate market. Limited near-term completions in prime districts, combined with sustained professional services and finance hiring, continue to favor newer green-certified assets. Flexible workspace offerings complement this trend by providing turnkey options to occupiers that prefer short commitments while waiting for clearer macro signals in the Singapore Real Estate market. The Central Business District Incentive Scheme and Strategic Development Incentive Scheme, both overseen by the Urban Redevelopment Authority, encourage adaptive reuse of older buildings to mixed-use formats, which supports long-run grade improvement in the stock. Together, these dynamics reinforce a premium for centrally located, efficient, and sustainable projects in the Singapore Real Estate market.^{[3]https://www.cushmanwakefield.com/en}

Booming E-Commerce and Advanced Manufacturing Driving Logistics and Industrial Real Estate Demand

Logistics and high-spec industrial assets benefit from a blend of port automation, just-in-time inventory strategies, and demand from technology and biomedical tenants. Tuas Mega Port processed 41.1 million TEUs in 2024 and targets 65 million TEUs at full build-out, which strengthens the need for multi-story ramp-up facilities close to maritime gateways in the Singapore Real Estate market. Industrial supply has been pre-committed at high rates, while island-wide vacancy is projected to tighten through 2027, reflecting structurally healthy absorption. Prime logistics rents and high-tech factory rents firmed as occupiers sought power redundancy, automation readiness, and green certifications. Policy support, including land use and lease extensions linked to capital investment, reduces risk on long-cycle industrial projects in the Singapore Real Estate market. Active portfolio moves by listed trusts, such as selective acquisitions near Tuas, illustrate capital rotation toward this theme.

Sustained Demand in the Luxury and High-End Residential Segment from Global UHNWIs

Despite tighter stamp duties, well-capitalized buyers continue to target prime non-landed homes in central precincts for own-stay needs and wealth diversification in the Singapore Real Estate market. Launches of well-located projects in established districts recorded strong initial take-up in 2025, signaling a resilient appetite for premium-located inventory. The broader upgrader pipeline is sustained by public housing delivery that supports orderly transitions into the private market over time. Policy clarity and a strong legal framework continue to anchor long-run demand in the Singapore Real Estate market. This dynamic keeps activity concentrated in high-quality assets with immediate liveability and amenity advantages.

Stringent Cooling Measures and Stamp Duties Tempering Speculative Residential Investment

Additional Buyer’s Stamp Duty remains a key tool in shaping residential demand composition, with a 60% rate applied to foreign buyers since April 2023 in the Singapore Real Estate market. The Seller’s Stamp Duty regime, extended to a four-year holding period in July 2025, further disincentivizes short-term flipping and supports more stable resale activity. Macroprudential measures like the Total Debt Servicing Ratio cap help ensure that borrowing remains prudent relative to income levels, which sustains financial stability for households. These frameworks preserve market integrity while reducing volatility in the Singapore Real Estate market. The result is a clearer emphasis on end-user needs and long-run value rather than speculative momentum.

Limited Land Supply and High Land Acquisition Costs Constraining New Development

Singapore’s finite landmass and zoning allocations create persistent scarcity that shapes pricing and bidding behavior, particularly in central precincts of the Singapore Real Estate market. Government Land Sales remain competitive, and average land rates rose in 2025 as developers priced location, transit integration, and amenity depth into pro formas. Industrial zoning and lease policies channel heavy uses to specific districts, reducing conversion optionality in the near term. Longer-dated reclamation and relocation timelines delay the full impact of new supply relief for core residential and mixed-use sites. In this context, developers focus on product differentiation and sustainability credentials to defend margins within the Singapore Real Estate market.

Segment Analysis

By Property Type: Commercial Leads Growth Despite Residential Dominance

Residential commanded a 54.1% share in 2025, underscoring its role as the largest revenue contributor in the Singapore Real Estate market. HDB resale transactions reached 28,986 in 2025, which indicates steady end-user movement and supports upgrader pathways over time. Commercial assets are the fastest-growing subsegment at a 5.44% CAGR through 2031, supported by low CBD vacancy and a continued flight to quality in the Singapore Real Estate market. Core CBD Grade A vacancy tightened to 4.7% in the third quarter of 2025, which reinforces landlord pricing power at the top end. Industrial and logistics benefit from port automation and pre-commitments in advanced manufacturing, which support sustained absorption and balanced rental growth.

Within Residential, non-landed homes remain the most liquid format for upgraders and new entrants, while landed segments are structurally supply-constrained. In Commercial, office dominates the subsegment revenue, followed by retail and logistics, although logistics has the strongest cyclical tailwind as e-commerce share stabilizes at higher levels. Retail portfolios in suburban catchments benefit from near-full occupancy and healthy rental reversion, reflecting resilient household spending patterns tied to essential services. Data center exposure within industrial portfolios continues to expand, as illustrated by acquisitions of high-spec assets that are fully leased to digital and financial services tenants in the Singapore Real Estate market. Green certification, energy efficiency, and embedded smart systems are increasingly central to asset differentiation across all property types in the Singapore Real Estate industry.

By Business Model: Rental Segment Gains Share Amid Sales Cycle Maturity

Sales held a 63.2% share in 2025, which reflects strong new-launch activity and a steady resale base in the Singapore Real Estate market. Rental is the fastest-growing channel at a 5.30% CAGR through 2031, supported by flexible office demand, expatriate leasing in prime districts, and master leases in logistics that embed annual escalations. Office renewals have been the path of least resistance for many tenants as fit-out costs and relocation capex remain high, which helps sustain occupancy in newer schemes. Residential leasing in upper-tier precincts remains supported by corporate housing budgets, which keep vacancy low in prime projects. Industrial leasing is underpinned by longer-weighted lease expiries and clear rent steps, enabling stable cash flow visibility for landlords in the Singapore Real Estate market.

Primary sales continue to capture strong upgrader interest at accessible quantum bands, while institutional capital focuses on stabilized income-producing assets for predictable yields. In the rental channel, turnkey office suites and build-to-suit industrial facilities help occupiers manage near-term uncertainty while preserving growth options. Leasing demand within high-spec industrial and data center properties has remained resilient, reflecting the infrastructure requirements of digital economy tenants in the Singapore Real Estate industry. Regulatory frameworks, including leverage limits for REITs, support disciplined capital management and preserve balance sheet flexibility across cycles. These features strengthen the durability of the rental growth outlook relative to the maturing sales cycle in the Singapore Real Estate market.

By End-user: Corporates and SMEs Drive Fastest Growth

Individuals and Households represented 70.1% of 2025 revenue, which highlights the centrality of owner-occupiers and renters in the Singapore Real Estate market. Corporates and SMEs are the fastest-growing cohort at a 5.59% CAGR through 2031, led by technology, life sciences, and professional services demand for high-quality office and high-spec industrial space. Public housing launches and targeted policies maintain an orderly upgrade path for households, which supports a stable base of private demand over time. Corporate leasing expanded across CBD and city-fringe nodes in 2025, supported by low vacancy and better building performance standards in the Singapore Real Estate market. This segment mix drives complementary needs for retail podiums, logistics backbones, and integrated community facilities.

Individuals and Households continue to prioritize connectivity, proximity to schools, and access to amenities, which favors launches in mature and centrally linked estates. Corporate demand concentrates in prime CBD towers and in decentralized business parks where talent access and cost efficiency align with long-run workplace strategies. SMEs often prefer strata office or flexible space formats to reduce capex burdens, while larger firms consolidate into fewer, better buildings with modern specifications in the Singapore Real Estate market. Green Mark incentives and gross floor area bonuses steer corporate users to higher-performance assets, accelerating adoption of sustainable design. As these patterns reinforce, the end-user mix supports multi-year investments into mixed-use precincts and smart building capabilities in the Singapore Real Estate market.

Note: Segment shares of all individual segments available upon report purchase

Geography Analysis

The Core Central Region accounted for a 43.1% revenue share in 2025, while the Rest of Central Region is projected to post the fastest growth at a 5.99% CAGR through 2031, with the Outside Central Region expanding at a 4.8% CAGR. In the Core Central Region, limited new Grade A supply and favorable tenant demand kept vacancy tight, which supported sustained rental performance at the upper end of the Singapore Real Estate market. Adaptive reuse frameworks in the CBD encourage the conversion of older buildings into mixed-use schemes that blend office, hospitality, and residential uses. Recent prime launches in District 10 achieved high sell-through, which signals healthy absorptive capacity for well-located premium projects in the Singapore Real Estate market. The Core Central Region outlook remains anchored by the scarcity of buildable land and ongoing corporate concentration in the CBD.

The Rest of the Central Region captured 36.7% of 2025 revenue and benefits from an active pipeline of integrated developments near MRT interchanges, which aligns live-work-play needs and supports upgrader demand in the Singapore Real Estate market. New projects linked to strong transport nodes recorded robust initial take-up, which indicates that accessibility and amenity depth help narrow price gaps to the core. Decentralized office nodes in the Rest of the Central Region continue to attract tenants seeking rent savings relative to CBD towers without giving up connectivity. Industrial and high-spec assets near city-fringe clusters complement this story, with acquisitions and asset enhancement by listed trusts reflecting long-cycle confidence in the Singapore Real Estate market. As redevelopment accelerates under incentive schemes, asset quality improves and diversifies the set of investable properties across this geography.

The Outside Central Region contributes 20.2% of 2025 revenue and remains the affordability anchor for first-time buyers and families prioritizing space, supported by a steady pipeline of public and private launches. Industrial dominance is a hallmark of this geography, where clusters in Jurong and Tuas remain central to manufacturing and logistics in the Singapore Real Estate market. Tuas Mega Port’s throughput and automation objectives underpin continued demand for nearby logistics facilities and multi-user factories. Lease frameworks that reward plant and machinery investment improve capex visibility and encourage modernization of existing facilities. New green building standards help newer suburban developments achieve lower operating costs and support stable yields that attract long-term owners in the Singapore Real Estate market.