Market Size of Singapore Luxury Residential Real Estate Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | > 3.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Singapore Luxury Residential Real Estate Market Analysis
The Singapore Luxury Residential Real Estate Market is expected to register a CAGR of approximately 3% during the forecast period.
The luxury home sales in Singapore have risen to a new high in more than 10 years. The private home sales in the Core Central Region jumped by almost 25% quarter on quarter in the second quarter of 2021. They climbed by more than 4.5 times year on year. The landed housing segment saw an almost triple rise in the number of properties transaction in the first seven months of 2021. 272 luxury condominium units were sold, costing more than USD 5 million in the first half of 2021. Of these condominium units, 70 were super luxury homes USD 10 million.
More billionaires and international celebrities are interested in buying luxury homes in Singapore. The market has benefited against the backdrop of wealth creation and a surge in Asian wealth. There are many new entrants in the luxury homes market, including budding entrepreneurs and individuals working in emerging industries. The market share of domestic buyers is growing faster than the foreigners'. 75.7% of luxury condominium units in the first half of 2021 were bought by Singaporeans. The foreign buyers are gradually streaming back into the market.
The focus on capital preservation through the pandemic has driven many investors to invest in real estate properties in Singapore. The ultra-high-net-worth individuals are interested in buying luxury homes in Singapore as its wealth, income, and estate taxes are considered low by international standards. Despite the property curbs and economic headwinds, a confluence of factors like low crime rates, political stability, business friendliness, and legal transparency has cushioned the downside risks in the market. The intrinsic value of the properties is high, and they enjoy an attractive capital appreciation in the long run.
The market will continue to benefit from the increasing number of super-rich in Asia. The Government's moderate pace of land release and tight supply from collective sales will keep luxury homes in prime locations attractive. With the country's economy rebounding strongly and increasing consumer confidence, luxury home sales will pick up further during the forecast period.
Singapore Luxury Residential Real Estate Industry Segmentation
Prime location, high-end interior finishes such as marble countertops, professional-quality kitchen appliances, customized closets, and hotel-like amenities such as concierge services, a top-of-the-line fitness center, and spa center are often staples of a luxury building. The luxury residential real estate market in Singapore is segmented by. By type, the market is segmented into apartments and condominiums, villas, and landed houses.
| By Type | |
| Apartments and Condominiums | |
| Villas and Landed Houses |
Singapore Luxury Residential Real Estate Market Size Summary
The Singapore luxury residential real estate market is experiencing a notable resurgence, driven by a combination of factors including increased wealth creation and a growing interest from billionaires and international celebrities. The market has seen a significant rise in luxury home sales, with private home sales in prime areas experiencing substantial quarter-on-quarter and year-on-year growth. The demand is further bolstered by the influx of ultra-high-net-worth individuals, attracted by Singapore's favorable tax environment and its reputation as a safe haven with low crime rates, political stability, and legal transparency. Despite economic challenges and property curbs, the market's intrinsic value and potential for capital appreciation continue to attract both domestic and foreign buyers, with Singaporeans increasingly dominating the market share.
The market landscape is characterized by a mix of local and global players, with key companies like City Developments Limited, CapitaLand, and Keppel Land Limited actively engaging in strategic partnerships and digitalization efforts to enhance their market position. The luxury residential sector is witnessing a steady demand, supported by rising rents and Singapore's appeal as a secure investment destination amid geopolitical uncertainties. The Good Class Bungalow segment and luxury apartment transactions have shown robust performance, indicating a strong recovery from the pandemic-induced downturn. As the economy rebounds and consumer confidence grows, the market is poised for further growth, with the government's controlled land release and tight supply maintaining the attractiveness of luxury homes in prime locations.
Singapore Luxury Residential Real Estate Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Overview
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1.2 Market Dynamics
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1.2.1 Drivers
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1.2.2 Restraints
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1.3 Value Chain / Supply Chain Analysis
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1.4 Industry Policies and Regulations
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1.5 Technological Developments in the Sector
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1.6 Industry Attractiveness - Porter's Five Forces Analysis
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1.7 Impact of COVID-19 on the Market
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2. MARKET SEGMENTATION
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2.1 By Type
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2.1.1 Apartments and Condominiums
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2.1.2 Villas and Landed Houses
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Singapore Luxury Residential Real Estate Market Size FAQs
What is the current Singapore Luxury Residential Real Estate Market size?
The Singapore Luxury Residential Real Estate Market is projected to register a CAGR of greater than 3% during the forecast period (2024-2029)
Who are the key players in Singapore Luxury Residential Real Estate Market?
City Developments Limited, CapitaLand, Keppel Land Limited, Guoco Land Limited and Bukit Sembawang Estates Limited are the major companies operating in the Singapore Luxury Residential Real Estate Market.
