Ultra-Luxury Condo Sales in Singapore Surge in Q1 2025, Defying Economic Uncertainty
Despite ongoing economic challenges, Singapore’s ultra-luxury condominium market has shown promising signs of recovery, with 17 units sold in the first quarter of 2025. This represents a significant increase compared to just seven units sold in the same period in 2024. The sales figures also outpaced those recorded in the first quarters of 2023 and 2022, both of which saw lower numbers even before the additional buyer’s stamp duty (ABSD) on foreign buyers was raised to 60% in April 2023.
Urban Redevelopment Authority data reveals that from January to May 22, 2025, 24 ultra-luxury condos, priced at $10 million and above in the core central region (CCR), were sold, surpassing the 17 sales made in the first half of 2024.
Notable transactions include a penthouse at Park Nova, located along Tomlinson Road, which sold for a record-breaking $38.888 million, or $6,593 per square foot (psf). This is the second-highest psf ever achieved, following the highest record set in 2011 by a 3,089 sq ft unit at The Marq on Paterson Hill, which went for $6,650 psf.
Additionally, four deals exceeding $20 million were completed at 21 Anderson, a newly launched freehold development by Kheng Leong, the real estate arm of the late banker Wee Cho Yaw’s family.
Although these high-value transactions are occurring amid a subdued economic outlook, with Singapore’s GDP growth forecast for 2025 ranging from 0% to 2%, industry experts suggest that luxury property investments remain attractive due to macroeconomic stability and long-term capital appreciation potential.
According to Ms. Ling, a market analyst, investors are increasingly prioritizing factors such as political stability, currency strength, and the ability to smoothly execute transactions. “Even though short-term growth forecasts may appear modest, the purchase decisions in this market are often fueled by accumulated wealth rather than ongoing earned income,” she said.
Ms. Ling also pointed out the growing trend of de-dollarisation, with investors seeking alternatives to US dollar assets. Top-tier currencies like the Japanese yen, Swiss franc, and Singapore dollar are becoming increasingly appealing.
She concluded, “Singapore remains an attractive investment destination due to its currency appreciation, limited land availability, affordable financing options, and its role as a global financial hub.”
While the recent uptick in ultra-luxury condo sales signals renewed interest, market experts caution that it’s still too early to call this a full recovery. “The rise in transactions is driven more by selective demand for exceptional projects than a broad-based market rebound,” explained Mr. Mohan Sandrasegeran, Head of Research and Data Analytics at Singapore Realtors Inc. He noted that high-profile projects like Park Nova and 21 Anderson continue to draw interest from high-net-worth individuals and investors seeking prime locations.
ERA Singapore’s Chief Executive, Marcus Chu, highlighted that luxury buyers are looking for specific features, such as freehold tenure, spacious units, and multiple bedrooms. This demand is further intensified by the scarcity of available units. Only 78 new units were launched in the CCR in the first quarter of 2025, according to Mr. Sandrasegeran. Upcoming projects like Upperhouse, W Residences, The Robertson Opus, and River Green are expected to further stimulate the market in the second half of the year.
Despite this activity, global volatility remains a concern. The 90-day tariff pause between the US and China has brought temporary relief, but many investors remain cautious. “If global trade tensions persist after the truce, demand for luxury properties may rise,” Ms. Sun noted. Many view high-end condos as a safe haven during economic turmoil, particularly if stock market instability continues.
The luxury segment is also undergoing a shift in buyer demographics. Before the ABSD increase in 2023, foreign buyers dominated the ultra-luxury market. However, local buyers, including both Singapore citizens and permanent residents (PRs), now account for a larger share. Of the 17 ultra-luxury condos sold in Q1 2025, five were bought by Singapore citizens, and eight by PRs.
This trend is further supported by the lower ABSD for PRs, who pay just 5% on their first property compared to 20% for citizens purchasing a second property. Meanwhile, foreign buyers from countries like the US, Iceland, Liechtenstein, Norway, and Switzerland are exempt from ABSD on their first home purchase.
As Singapore continues to navigate a mixed economic environment, its ultra-luxury condo market remains a key area of focus, attracting both local and international investors seeking stability and growth potential in a challenging global economy.
