Savills Singapore has projected a 3% increase in private residential prices for 2026, with the Rest of Central Region (RCR) potentially seeing prices overlap with the Core Central Region (CCR). This forecast comes despite a moderation in transaction volumes in the fourth quarter of 2025. The narrowing price differentials between city-fringe and prime areas are attributed to resilient market fundamentals and selective repricing.
In 2025, new home sales reached 10,815 units, marking a second consecutive year of growth and surpassing the 10,000-unit threshold for the first time since 2021. Developers launched 11,482 units, the highest annual volume since 2013, reflecting confidence in demand. Although new sales dipped by 10.6% quarter-on-quarter to 2,940 units in Q4 2025, the RCR accounted for over half of these sales, driven by strong absorption at projects like Penrith and Zyon Grand.
Looking ahead, Savills anticipates that sales activity will concentrate in the RCR and CCR segments in 2026. Upcoming launches such as River Modern in River Valley and Newport Residences along Anson Road are expected to set pricing benchmarks in prime districts. Alan Cheong, Executive Director of Research & Consultancy at Savills Singapore, noted that “selected RCR launches begin to test price points traditionally associated with the CCR.”
The Urban Redevelopment Authority’s price index showed a 0.6% quarter-on-quarter increase in Q4 2025, with a full-year growth of 3.3%. This was supported by owner-occupier demand and healthy absorption of new launches. Savills expects continued buyer interest in well-located projects across city-fringe and prime districts to underpin the projected price rise in 2026.
