Commentary on Monthly New Home Sales for June 2025

This was followed by the Outside Central Region (OCR) where 69 units or 25.4% of total June new home sales were from, down from 106 units (34.0%) in May 2025.

Lastly, the Core Central Region (CCR) continued to underperform, moving 14 units (5.1% of June sales), down marginally from 15 units (4.8%) in May 2025.

Based on quantum size, the new sales transactions appear to be quite evenly distributed across different budgets in June. The largest proportion of new private homes sold (excl. ECs) was actually in the S$3.00 – 5.00 mil range at 26.8% from larger units at existing city fringe and suburban launches, followed by the S$1.50 mil – S$2.00 mil bracket at 19.5% which is the sweet spot for 2-bedders at Bloomsbury Residences and One Marina Gardens. The $2.00 – 2.50 mil and $2.50 – 3.00 mil range trailed closely behind at 18.4% and 18% respectively. 

Notably, 16 units above $5 mil were recorded in the month, of which 7 were from mixed-use RCR project Canninghill Piers (696 units) at a median price of $2,711 psf. The project is the residential component of the redevelopment of Liang Court and was launched in Nov 2021, and sold 576 units of 83% of 696 total units in Nov 2021 at a median price of $2,887psf. 

June’s sales take the tally of new homes sold in H1 2025 to 4,634 units, up 145% y-o-y from the 1,889 units recorded in H1 2024 largely on the back of strong Q1 2025 homes sales (3,375 units). 

The lack of launches and weak sales in May and June reflect the cautious sentiment among developers and homebuyers on the back of ongoing global trade frictions which have dampened Singapore’s economic outlook. 

On 3 Jul 2025, the government announced a new round of cooling measures. Seller’s Stamp Duty was raised by 4 ppts and the holding period to 4 years with effect from 4 Jul 2025. This is expected to have a limited impact on transaction volumes and pricing as it should not impact the majority of buyers who are genuine owner occupiers or long-term investors.

A slew of projects is expected to launch in July and August prior to the start of the Hungry Ghost Festival in the last week of August. As such, sales are expected to see an uptick in the months ahead. 

It was reported that LyndenWoods (343 units), the first project launch following the new cooling measures from 4 July observed robust take-up, moving 324 units (94% of total units) at an average price of $2,450 psf.  On the other hand, luxury W Residences Marina View (683 units), in prime CBD Marina View, and launched over the same July 12 weekend with listing prices of $3,800-6,000 psf, was reported to have sold just one unit at $4,085psf. This could be an indication that buyers are price-sensitive, but there is still ample interest for well-priced projects with attractive attributes given lower interest rates and resilient economic growth. 

The performance of upcoming launches is expected to be mixed with over half of the launches in pretty prime locations in the CCR and RCR. CBRE Research maintains our full year new home sales to be 7,000 – 8,000 units, signaling a slowdown in new home sales compared to the 1H25, but we note sales performance could surprise on the upside if developers priced and designed them sensitively.

Correspondingly, private home prices which have risen 1.3% in H1 2025 based on Q2 2025’s flash estimate could see similar growth momentum in H2 2025. We maintain a full-year 2025 private home price increase of 3 – 4% for now, on still-low unsold inventory and strong household balance sheets. 

Advance estimates released by the MTI yesterday (14 Jul) showed that Singapore’s economy grew by 4.3% y-o-y in Q2 2025, accelerating from the 4.1% growth in Q1 2025. The better-than-expected GDP performance in Q2 is largely due to the front-loading of exports and manufacturing before the 90-day pause in US tariffs ends. Looking forward, there remain significant uncertainty and downside risks in the global economy in the second half of 2025, given the lack of clarity over the tariff policies of the US.