Singapore New Home Sales Forecast 9,000 Units in 2026 Amid Price Growth

Singapore's private residential market is projected to record approximately 9,000 new home sales in 2026, with prices expected to increase by 3-4%, according to a forecast by PropNex. This outlook follows a healthy first half of 2026, which saw 4,154 units sold, and continued pricing strength for well-located projects in early Q3.

Scale of the Market

The projected 9,000 new home sales for 2026 represent a decrease from the 10,000 to 11,000 units expected in 2025 and the 10,849 units sold in 2024, as reported by PropNex, EdgeProp Singapore, and the Urban Redevelopment Authority (URA). Private residential prices are forecast to grow by 3-4% in 2026, following an estimated 5% increase in 2025 and a 6.8% increase in 2024, according to the same sources.

In Q2 2026, the URA reported a 0.5% increase in the private residential property price index, which moderated from a 1.5% increase in Q1 2026. New private home sales, excluding executive condominiums (ECs), also fell by 15.3% quarter-on-quarter to 3,875 units in Q2 2026 from 4,577 units in Q1 2026, according to the URA.

Underlying Mechanisms

The Singaporean government implemented cooling measures in April 2023, doubling the Additional Buyer's Stamp Duty (ABSD) for foreigners to 60%. This measure, according to the Ministry of Finance Singapore, aims to manage demand and prioritise housing for owner-occupation. The supply pipeline for private residential units in Singapore is expected to see approximately 10,000 to 12,000 new units launched in 2026, as forecasted by PropNex.

The URA, the primary government agency responsible for planning and developing Singapore's land use, publishes quarterly real estate statistics that provide insights into these market movements.

Consequence for Investors

The steady, albeit moderating, growth in Singapore's new home sales and prices indicates a resilient residential market. For cross-border investors, this environment offers prospects for stable returns, particularly given the focus on affordability by developers and sustained demand for well-located projects. The projected launch of 10,000 to 12,000 new units in 2026 suggests a consistent supply, which could absorb demand and prevent overheating, contributing to market stability.

On our reading, the government's cooling measures, specifically the increased ABSD for foreigners, are likely to channel demand towards owner-occupiers and residents, reducing speculative activity. This policy framework, combined with the projected supply, aims to foster a more sustainable growth trajectory for the residential market, which could appeal to long-term investors prioritising stability over rapid appreciation.

The Counterweight

Despite the projected resilience, the moderation in price growth and sales volume in the first half of 2026, as reported by the URA, suggests that the market may be stabilising rather than experiencing accelerated growth. The 0.5% increase in the private residential property price index in Q2 2026, a significant slowdown from the 1.5% increase in Q1 2026, indicates that the market's momentum has eased. Similarly, the 15.3% quarter-on-quarter decline in new private home sales in Q2 2026 suggests that demand may be less robust than previous periods.

For PropNex's forecast of 3-4% price growth and 9,000 sales units in 2026 to be accurate, the market would need to regain some momentum in the latter half of 2026 and into 2027. The current data from the URA points to a market that is absorbing the impact of cooling measures and potentially reaching a new equilibrium, rather than continuing the strong growth observed in prior years.

What to Watch

Further insights into sales volume and price movements will be provided by the Urban Redevelopment Authority (URA) when it releases its Q3 2026 private residential property statistics on October 27, 2026. This release will be crucial for assessing whether the moderation observed in Q2 2026 is a sustained trend or a temporary adjustment. Investors should also monitor the actual launch volumes of new units in 2026 against the projected 10,000 to 12,000 units, as any significant deviation could impact supply-demand dynamics.