Singapore’s real estate investment market concluded 2025 with a remarkable total of S$34.12b in investment sales, marking a 27% increase from the previous year, according to Savills Singapore. This surge represents the highest annual investment sales since 2017, when the figure reached S$35.16b. The growth was widespread across both public and private sectors, with public sector sales rising by 32.3% year-on-year to S$11.60b, buoyed by an increase in Government Land Sales (GLS) sites awarded. Private sector sales also saw a 24.3% increase, reaching S$22.52 billion, driven by high-end residential market momentum and significant transactions.
In the final quarter of 2025, investment sales totalled S$10.97b, a slight 3.3% decline from the previous quarter but a robust 44.4% increase year-on-year. The private sector led this growth, with sales rising 4.5% quarter-on-quarter to S$7.53 billion. Jeremy Lake, Managing Director of Investment Sales & Capital Markets at Savills Singapore, noted that the drop in interest rates in 2025 was pivotal, narrowing the price gap and facilitating deal closures.
The residential sector accounted for the largest share of Q4 investment sales at 40.3%, despite a 13.7% decline in transaction value from the previous quarter. The commercial sector followed, with sales of S$3.45b, a 31.1% increase from Q3. The industrial sector also saw significant activity, with sales nearly doubling to S$2.13b.
Looking ahead, Savills Singapore maintains its investment sales forecast for 2026 at approximately S$34b, citing stable interest rates and geopolitical factors as key influences. Alan Cheong, Executive Director of Research & Consultancy, highlighted opportunities in office, retail, and redevelopment properties, supported by lower financing costs and adjusted pricing expectations.
