TLDR
Resale condos in Singapore are facing a sharp supply crunch in 2025, driven by fewer new launches, developers holding back due to rising land costs, and owners reluctant to sell amid escalating prices. This scarcity has created intense competition among buyers, pushing resale values higher and narrowing options for those seeking immediate occupancy. Unlike new launches, resale units offer ready-built convenience and established communities, making them especially attractive to families and upgraders. However, limited listings mean buyers often compromise on location, size, or budget. Sellers, on the other hand, benefit from strong bargaining power, with well-maintained units commanding premiums. The imbalance highlights a structural challenge in Singapore’s housing market: while demand remains resilient, supply-side constraints are amplifying affordability pressures, reshaping buyer strategies, and reinforcing the long-term appeal of property ownership as both a lifestyle choice and investment hedge.
If you’re currently in the market for a resale condominium in Singapore, you might be encountering a challenging landscape characterized by limited options and, in some projects, a striking absence of recent transactions. This observation is not unique; both buyers and property agents are experiencing the impact of fewer owners choosing to sell their condos. Several intertwined factors are contributing to this dwindling supply.
A primary driver behind the reluctance to sell is the current high cost of replacement properties. Even if owners can sell their existing condo at a premium, the appreciation may not be sufficient to bridge the financial gap to a more expensive new home. This is evident in the significant price increases seen in new launch and resale condos over the past five years:
This “buy high, sell high” conundrum means that for many owners, the appreciation of their current property simply isn’t enough to facilitate a comfortable upgrade. As a past example illustrated, even with $2 million from an en bloc sale, a homeowner found that surrounding resale condos were already averaging $1.5 million, and a nearby new launch (Sceneca Residence) was priced above $2 million for a three-bedroom unit, making an equivalent replacement challenging.
The reluctance of current owners to sell also impacts the en bloc market. Developers looking for collective sale sites face the same challenges: owners are unwilling to sell due to high replacement property costs, financing hurdles, and the impact of ABSD on any additional properties they might acquire. Consequently, the prevailing market conditions suggest that en bloc sales are likely to remain weak for the foreseeable future, adding another layer to the overall supply shortage in the resale condo market.
If you’re reading this, you must be trying to figure out the best course of action right now: is it the right time to buy or sell?
It’s difficult to give an exact answer since everyone’s situation is unique and what works for one person may not necessarily work for you.
I can bring you a wealth of on-the-ground experience and a data-driven approach to provide clarity and direction. From beginners to experienced investors, our top-down, objective approach will help you on your real estate journey.
I can help you by:
You May Also Like …
