Singapore Real Estate Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 46.58 Billion |
| Market Size (2029) | USD 64.04 Billion |
| CAGR (2024 - 2029) | 6.57 % |
| Market Concentration | Low |
Major Players.webp)
*Disclaimer: Major Players sorted in no particular order |
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Singapore Real Estate Market Analysis
The Singapore Real Estate Market size is estimated at USD 46.58 billion in 2024, and is expected to reach USD 64.04 billion by 2029, growing at a CAGR of 6.57% during the forecast period (2024-2029).
Affordable housing projects in the country drive the market. Furthermore, the market is driven by the demand for logistics and industrial real estate.
In the second quarter of 2022, Singaporean investors' top international investment preferences were still office and industrial developments. Some of the larger transactions in Q2 involved the purchase of premium freehold properties, including Frasers Logistics & Commercial Trust's USD 171.7 million purchase of a logistics complex in the United Kingdom and Sinarmas Land's USD 334 million purchase of a commercial asset in London. According to data from Real Capital Analytics (RCA), the total outbound investment sales from Singapore reached USD 13.5 billion in the quarter.
In the office sector, more occupiers have been eyeing locations farther away from the city center to woo talent. In contrast, others rejig their real estate footprint to enable employees to work in less dense spaces. Large technology firms in Singapore are further set to drive office demand, and co-working space shortly as Singapore is emerging as a technology hub. In the hospitality industry, the Singapore Tourism Board (STB) launched BOOST (Building On Opportunities to Strengthen Tourism), i.e., a USD 90 million initiative that is aimed at increasing the tourist influx within Singapore. Business Travel, Meetings, Incentive Travel, Conventions, and Exhibitions (BTMCE) are some of the major sources of revenue for the country's hotel real estate industry.
The extended low-interest-rate environment will increase the attractiveness of commercial real estate in Singapore, especially those that can provide stable returns. The outlook of an improving property market in Singapore, affordable loans, and relatively more inexpensive small apartments have attracted many investors to real estate. As for industrial real estate, the robust growth momentum has persisted. New warehouse supply is slated to come online, with notable projects in Singapore's western region, including Logos EHub, which accommodates a wide spectrum of e-commerce uses.
Singapore Real Estate Market Trends
Rise in the Residential Segment of the Singapore Real Estate Market
In contrast to the HDB resale market, the cost of renting an HDB property is rising steadily. In comparison to the total Rental Price Index of 145.22 points, the Rental Price Index for HDB apartments for Q1 2022 is 185.69 points.
The factors driving rental demand are still the same: singles and unmarried couples want their own space and solitude away from their families, and couples affected by a new round of BTO building delays consider renting as a temporary solution.
In 2022, there were 41 new private residential projects, with a total of 5,389 units. Based on the number of units, 22% are in the Core Central Region (CCR), 37% in the Rest of the Central Region (RCR), and 41% in the Outside Central Region (OCR). Along with a number of highly-anticipated projects, such as Gem Residences (located in the RCR) and Stars of Kovan (in OCR) lined up for launch, new sales transaction activity is expected to swing toward the mid-tier and mass-market segments.
Understand The Key Trends Shaping This Market
Growth in the Retail Sector in Singapore
In the second half of 2022, the retail market in Singapore was showing signs of a strong recovery. The popular Orchard Road retail belt saw a resurgence of customer numbers, street activity, public events, liveliness, and a general buzz signifying that the worst of the pandemic is over, boosting sales for the shops there. Particularly so during the months leading up to the holidays. Alfresco and entertainment places brimmed with consumers who were denied access to the activities that such outlets and services supplied for much of 2020 and 2021. Christmas trees and lights that coincided with the holiday season illuminated the streets and encouraged walking.
Despite the fact that many Singaporeans left the city for the holidays, the increase in local shoppers and foreign tourists palpably signaled a return to normalcy in an endemic environment, inspiring newfound confidence in both landlords and shops.
Prime retail rentals island-wide averaged USD 26.10 psf pm, indicating a 1.7% q-o-q increase in Q4 2022 and an overall 2.6% growth for the year. With the retail sector officially out of the woods, at least for now, prime retail rents are expected to rise 1.7% q-o-q in Q4 2022 and 2.6% overall for the year.
Malls in the suburbs fared better than those in the Central Area during the pandemic. The Orchard neighborhood saw the highest increase in rent in the fourth quarter, up 3.1% year over year to USD 29.10 psf pm, followed by the Marina Centre, City Hall, and Bugis regions, with rents up 2.6% year over year to USD 23.90 psf pm. This was due to the steady influx of foreign tourists. However, as the world continues to open up and workers return to the workplace throughout 2022.
Singapore Real Estate Market Competitive Landscape
Singapore's real estate market is moderately competitive, with prominent domestic players having a presence in this sector and a sizeable number of foreign investors. Some of the major players are UOL Group Limited, CapitaLand, City Developments Limited, GuocoLand Limited, Far East Organization, and many more. The housing market has an overall positive sentiment in the market, and investors are eyeing prime locations in the country. Moreover, post-pandemic, the country is expecting more upcoming projects offering real estate companies lucrative opportunities for investment and construction. With the increasing property prices, Singapore's real estate market is offering a competitive market to developers, buyers, and investors alike.
Singapore Real Estate Market Leaders
UOL Group Limited
CapitaLand
City Developments Limited
GuocoLand Limited
Far East Organization
*Disclaimer: Major Players sorted in no particular order
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Singapore Real Estate Market News
- August 2023: Experion Developers, a 100% FDI-funded real estate developer backed by Singapore’s Experion Holdings Pte. Ltd., has acquired a land parcel in Gurgaon's Sector 48 through a government auction valued at approximately Rs 550 crore(USD 660 million). This acquisition marks a significant milestone for the company and showcases its commitment to India’s real estate market and growth story.
- July 2023: Bain & Company announced that it intends to acquire the Asia Pacific arm of global venture-building and start-up development studio, Rainmaking, to help companies across the region better innovate, launch, and scale new businesses.
Singapore Real Estate Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Current Market Scenario
4.2 Real Estate Buying Trends - Socioeconomic and Demographic Insights
4.3 Government Initiatives and Regulatory Aspects
4.4 Insights on the size of real estate lending and loan to value trends
4.5 Insights on the interest rate regime for general economy and real estate lending
4.6 Insights on rental yields in the residential real estate segment
4.7 Insights on affordable housing support provided by government and public-private partnerships
4.8 Insights on real estate tech and startups active in the real estate segment (broking, social media, facility management, and property management)
4.9 Impact of COVID-19 on the real estate market in Singapore
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing economic growth
5.1.2 High demand for property boosting the market
5.2 Market Restraints
5.2.1 Experiencing slower growth due to government measures
5.2.2 Rising interest rates affecting the growth of the market
5.3 Market Opportunities
5.3.1 Investing in commercial properties in central locations
5.3.2 Investing in properties undergoing renovation and redevelopment
5.4 Industry Association - Porter's Five Forces Analysis
5.4.1 Bargaining Power of Suppliers
5.4.2 Bargaining Power of Buyers/Consumers
5.4.3 Threat of New Entrants
5.4.4 Threat of Substitute Products
5.4.5 Intensity of Competitive Rivalry
5.5 Industry Value Chain/Supply Chain Analysis
6. MARKET SEGMENTATION
6.1 By Property Type
6.1.1 Residential
6.1.2 Retail
6.1.3 Logistics/Industrial
6.1.4 Hospitality
6.1.5 Office
6.2 By Value
6.2.1 Premium
6.2.2 Luxury
6.2.3 Affordable
7. COMPETITIVE LANDSCAPE
7.1 Overview (Market Concentration Analysis and Major Players)
7.2 Company Profiles
7.2.1 UOL Group Limited
7.2.2 CapitaLand
7.2.3 GuocoLand Limited
7.2.4 City Developments Limited
7.2.5 Far East Organization
7.2.6 Genting Singapore
7.2.7 Global Logistics Properties
7.2.8 Ascendas Real Estate Investment Trust
7.2.9 EL Development Pte Limited
7.2.10 Frasers Property*
- *List Not Exhaustive
8. FUTURE OF THE MARKET
9. INVESTMENT ANALYSIS OF THE MARKET
10. APPENDIX
Singapore Real Estate Market Segmentation
The real estate market refers to the sales of real estate services by entities (organizations, sole traders, and partnerships) that rent, lease, and allow the use of buildings and/or land. A complete background analysis of the Singapore real estate market, including the assessment of the economy and contribution of sectors in the economy, market overview, market size estimation for key segments, and emerging trends in the market segments, market dynamics, and geographical trends, and COVID-19 impact is included in the report.
The Singapore real estate market is segmented by property type (residential, retail, logistics/industrial, hospitality, and office) and value (premium, luxury, and affordable). The report offers:
The Singapore real estate market size and forecasts in values (USD) for all the above segments.
| By Property Type | |
| Residential | |
| Retail | |
| Logistics/Industrial | |
| Hospitality | |
| Office |
| By Value | |
| Premium | |
| Luxury | |
| Affordable |
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Singapore Real Estate Market Research Faqs
How big is the Singapore Real Estate Market?
The Singapore Real Estate Market size is expected to reach USD 46.58 billion in 2024 and grow at a CAGR of 6.57% to reach USD 64.04 billion by 2029.
What is the current Singapore Real Estate Market size?
In 2024, the Singapore Real Estate Market size is expected to reach USD 46.58 billion.
Who are the key players in Singapore Real Estate Market?
UOL Group Limited, CapitaLand, City Developments Limited, GuocoLand Limited and Far East Organization are the major companies operating in the Singapore Real Estate Market.
What years does this Singapore Real Estate Market cover, and what was the market size in 2023?
In 2023, the Singapore Real Estate Market size was estimated at USD 43.71 billion. The report covers the Singapore Real Estate Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Singapore Real Estate Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Singapore Real Estate Industry Report
Statistics for the 2024 Singapore Real Estate market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Singapore Real Estate analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
Singapore Real Estate Market Report Snapshots
