Asia Pacific’s real estate market saw a significant resurgence in late 2025, with investment volumes reaching their highest levels since 2022, according to Savills’ Asia Pacific Investment Quarterly. The fourth quarter of 2025 witnessed an 8.7% increase in transaction volumes year-on-year, driven by stabilising yields and improved visibility on US tariff impacts.
In Singapore, the real estate investment market closed Q4 2025 with a robust S$10.97b in total investment sales, marking a 44.4% increase from the previous year. The residential sector was the largest contributor, accounting for 40.3% of total sales, despite a 13.7% quarter-on-quarter decline to S$4.42b. The commercial sector saw a 31.1% rise in investment sales, reaching S$3.45b, bolstered by significant transactions such as Keppel REIT’s acquisition of a one-third interest in Marina Bay Financial Centre Tower 3 for S$1.45b.
Across the region, Australia recorded AU$13.1b in Q4 investments, a 66% year-on-year increase, with office investments leading the charge. South Korea set a new annual record with KRW21.1t in office market investments, whilst Hong Kong’s residential transactions reached their highest since 1995, with 13,800 deals by Mainland buyers.
Neil Brookes, Executive Managing Director at Savills, noted, “The recovery we are seeing is being led by investors with a clear focus on quality, income durability, and pricing discipline.” Looking ahead, Alan Cheong, Executive Director at Savills Singapore, commented on the geopolitical risks, suggesting that 2026 investment volumes could match 2025 levels if conditions remain stable.
