Singapore’s private residential leasing market displayed notable regional differences in the fourth quarter 2025, according to a report by Savills Research. Whilst rents for non-landed properties in the Outside Central Region (OCR) fell by 2.0% quarter-on-quarter, the Core Central Region (CCR) and Rest of Central Region (RCR) saw modest increases of 0.7% and 0.6%, respectively. The islandwide vacancy rate dropped to 6.0%, the lowest since Q1 2023, indicating improved absorption despite a decrease in leasing volumes.
Leasing contracts for private residential properties fell by 27.4% quarter-on-quarter to 19,771 transactions, reflecting typical year-end seasonality and a slower inflow of expatriates and international students. On a year-on-year basis, leasing volumes slipped marginally by 0.1%, ending six consecutive quarters of annual growth.
The moderation in leasing demand resulted in varied rental movements across regions. The rental index for non-landed private residential properties edged down 0.1% quarter-on-quarter, marking the first decline since the second quarter of 2024. In the OCR, the rental index fell 2.0% after three quarters of growth, whilst the CCR and RCR saw increases.
Despite softer leasing activity, vacancy rates improved across all regions. The OCR posted the sharpest decline in vacant stock, reducing its vacancy rate to 4.9%. The RCR and CCR also saw improvements, with vacancy rates falling to 6.0% and 8.8%, respectively.
Alan Cheong, Executive Director of Research & Consultancy at Savills Singapore, noted, “In 2025, positive growth dominated across most districts, particularly in median rents. With completions in 2026 expected to remain broadly similar to 2025 and vacancy rates improving, rents should hold broadly firm in the first half of 2026.”
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