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What the February 2026 BTO Launch tells us

TL;DR The February 2026 BTO launch looked quieter than usual, but the moderation in demand may actually reflect a healthier housing market. With more supply, shorter waiting times, and upcoming launches, buyers appear to be applying more selectively instead of rushing in. Demand was uneven: The exercise drew 32,443 applicants for 9,012 flats (about 3.6 applicants per unit), with BTO seeing around 3.2 applicants per flat and SBF slightly higher at about 3.5. Buyers may be waiting: Some applicants are likely holding out for the June 2026 launch, which will include new projects in Berlayar Estate and Upper Thomson: areas that may attract strong interest. More supply reduces urgency: With around 19,600 BTO flats planned across three launches in 2026, buyers may feel less pressure to apply immediately out of FOMO. Location still drives demand: Projects in convenient areas like Tampines saw stronger interest, while developments further from MRT stations or key amenities experienced more moderate take-up. Possible market impact: If more applicants successfully secure BTO or SBF flats, fewer may need to turn to the resale market, which could help moderate resale demand in the short term. BTO launches are always talked about. The conversation goes from oversubscription rates and long queues to which projects are the hardest to secure. But last February's launch seems... quieter?So what really happened and what does it all mean for homebuyers? In this article, we will explore: Brief recap So why is BTO seeing less demand? Possible ripple effects What this means for prospective applicants Will you apply? Brief recapLast February, HDB launched 9,012 BTO and SBF units across six projects in Bukit Merah, Sembawang, Tampines, and Toa Payoh. Overall, the launch received 32,443 applicants for the 9,012 flats, which is roughly 3.6 applicants per flat. However, if we look closer, the demand is split unevenly.The BTO exercise alone received 15,044 applicants across 4,692 flats, translating to an application rate of about 3.2 applicants per flat. Meanwhile, the SBF exercise attracted 17,399 applicants for 4,320 flats, or roughly 3.5 applicants per flat.So why is BTO seeing less demand?Buyers are being selectiveExperts suggest that many people may have held off their applications in anticipation of more attractive options in the upcoming June 2026 sales exercise. We will even see new flats in Berlayar estate on the former Keppel Club site and also the first BTO in Upper Thomson in 40+ years.Reduced urgencyIt's also possible that recent launches have been too similar. For example, mature estates like Bukit Merah are seeing moderate demands because around 3,000 new flats were also offered there just last year. So those who want that address may have already applied.Regardless, the government has been boosting BTO supply over the past few years, following the pandemic construction delays. In 2026 alone, HDB plans to launch around 19,600 BTO flats, spread across three sales exercises (February, June, October) to help meet demand and give homebuyers more options.With more flats being released consistently across multiple launches, buyers may feel less pressure to apply out of FOMO (fear of missing out). In that sense, the moderation in application rates could be a reflection of the system working as intended. Enjoying our insights so far? Stay updated with the latest property trends, expert analysis, and market perspectives from PropNex. Join our mailing list Shorter wait timesIn response to high demand during the pandemic, which once saw waiting times stretch above five years, more flats are now launched with shorter waiting times (under three years). So naturally, there is less urgency for buyers to "just apply first", which means people have a little bit more room and flexibility in their property timeline.On the other hand, households that need housing sooner might be more interested in SBF units since they are either already built or nearing completion.Location and convenience still matterAs it turns out, some places are doing better than others. For example, Tampines had the highest application rates in this sales exercise. The higher interest in Tampines projects could be due to location, scarcity, and unique features like the new preschool that will be integrated within the public housing development.Conversely, if a project doesn't have good access to transport and services, it could see modest take-up. For example, Toa Payoh's Kim Keat Crest is at least a 20-minute walk from Toa Payoh MRT station and Toa Payoh Central. Now imagine you have to wake up 20 minutes earlier everyday. Not very ideal is it? Especially for workers.Possible ripple effectsBTO having less take-up than SBF doesn't necessarily signal weak housing demand, but it does shift some dynamics. And the first thing that comes to mind is the resale market.When BTO application rates are high and supply is tight, unsuccessful applicants often turn to resale flats. That was a key driver behind resale price growth during the pandemic years. In 2021, resale prices rose by 12.7%, followed by 10.4% in 2022, before slowing down to 4.9% in 2023. This shows that supply injections along with other factors successfully eased pressure.Plus, those who successfully secure SBF flats don't need to turn to the resale market for immediate housing. This could further moderate demand for resale flats in the short term, particularly in non-mature estates. Locations in mature estates or near established amenities will likely remain resilient.What this means for prospective applicantsAll this can actually be good news for you. It means your chances of getting an invite are better than you might think. But don't be lenient, there are still many things to consider.June's BTO exercise will offer around 6,900 flats across seven sites in Berlayar Estate (Bukit Merah), Lakeview and Shunfu (Upper Thomson), Ang Mo Kio, Sembawang North, and Woodlands. And, about half of them will be Prime/Plus. It's always better to apply for a project that better matches your needs, so don't apply just because a town is 'popular'. Look at proximity to transport, schools, and amenities. These are the factors driving take-up today.You should also learn about the "Prime", "Plus" and "Standard" classifications if you're not familiar already. Since prime and plus flats have a longer Minimum Occupation Period (MOP), it will affect your timeline. So consider it carefully before you make any commitments.Will you apply?The February 2026 BTO exercise may seem somewhat quiet, but we shouldn't consider it a red flag. If anything, it signals a maturing market with a better balance between supply and demand.Instead of rushing to secure whatever flat is available, applicants today have the luxury of considering location, classification (Prime, Plus, Standard), waiting time, and long-term value more carefully. It's not just better odds but also more breathing room to plan properly.That being said, planning properly also means understanding how different towns perform, how classification affects your MOP, and how today's supply could shape resale conditions in the years ahead.For buyers trying to make sense of these shifts, understanding these nuances can make a significant difference. So before you submit your BTO application, perhaps you might consider learning more about the Property Wealth System framework. You can even join us at the upcoming masterclass, where we'll be breaking down current market trends, exit strategy, and so much more. Here's a short clip so you can see a preview. @propnexpert HDB ? Investment Or Is It | BayuThink HDB Flat isn't a form of investment... or is it? Let's talk about it. #sgrealestate #realestate #singapore #investment #sgproperty #propertyagent #propnex ? original sound - Propnexpert Views expressed in this article belong to the writer(s) and do not reflect PropNex's position. No part of this content may be reproduced, distributed, transmitted, displayed, published, or broadcast in any form or by any means without the prior written consent of PropNex. For permission to use, reproduce, or distribute any content, please contact the Corporate Communications department. PropNex reserves the right to modify or update this disclaimer at any time without prior notice.

Buying a New Launch in 2026? Check This Quality Score First!

TL;DR A showflat can impress, but it cannot reveal build quality. In a crowded 2026 launch market, buyers need to look beyond finishes and assess a developer's and builder's actual construction track record. What CONQUAS banding shows: BCA's six-band system offers a practical way to gauge past construction quality, with higher bands generally indicating lower defect risk. Why quality matters financially: Better workmanship can reduce latent defects, lower long-term maintenance pressure, and support stronger buyer confidence at resale. Brand is not the same as consistency: A well-known developer may deliver different quality outcomes across projects, so buyers should check the specific project tier rather than rely on reputation alone. How to audit a project: Review the developer and main builder on BCA's Quality Housing Portal, use the 35-day inspection window carefully, and inspect older completed projects by the same developer. The smarter checklist: Price, layout, and location still matter, but build quality should now be treated as a core part of the buying decision rather than an afterthought. Bottom line: The difference between a good purchase and a regrettable one may not be visible in the showflat - it often lies in the developer's construction record. Walk into any showflat and it is easy to be impressed. Marble flooring gleams under soft lighting, designer furniture creates the illusion of generous space, and everything looks immaculate. But a showflat is ultimately a curated showcase - a best-case scenario designed to highlight potential rather than reality.What it cannot show you are the details that matter most after you move in: waterproofing behind the bathroom tiles, electrical conduits hidden above the ceiling, or whether poorly installed windows will rattle during a heavy monsoon.For many years, assessing a developer's build quality relied heavily on reputation and word of mouth. Buyers often depended on brand sentiment or anecdotal experiences from friends who had previously purchased from the same developer.However, with a wave of new launches entering the market in the first half of 2026, buyers are paying closer attention to construction standards before committing to a purchase. In this environment, understanding a developer's quality track record has become just as important as evaluating price, location, or unit layout.Singapore's Building and Construction Authority (BCA) publishes construction quality information through its Quality Housing Portal (QHP), allowing buyers to review the track records of developers, builders and private residential projects before making a purchase decision. What we'll discuss: CONQUAS Banding: What Buyers Need to Know in 2026 Why Build Quality Can Influence Long-Term Value Case Study: Brand vs Band How to Conduct Your Own Developer "Audit" The Savvy Buyer's New Checklist CONQUAS Banding: What Buyers Need to Know in 2026 The Construction Quality Assessment System (CONQUAS) has evolved into a six-band ranking system designed to make quality standards easier for consumers to understand.Rather than being a technical score understood only by engineers, the banding now functions like a report card for developers and builders. Band What It Signals Defect Risk Band 1 The gold standard. Consistently strong quality performance over the past six years. Extremely Low Band 2 Reliable performer. Generally high-quality builds with only minor cosmetic issues. Low Band 3 Average performance. Acceptable quality but with some previously rectified defects. Moderate Band 4-6 Warning zone. Inconsistent construction standards or higher incidence of major defects. High BCA publishes developers', builders' and private residential projects' CONQUAS bandings on its Quality Housing Portal (QHP), allowing buyers to review a developer's and builder's track record before committing to a purchase.According to BCA, a project's CONQUAS band reflects its assessed construction quality together with consideration of validated homeowner feedback on major defects, while a developer's or builder's band reflects its track record across projects completed in the past six years.BCA's CONQUAS assessment examines sampled areas of a development across internal finishes, external finishes and functional tests. The framework places emphasis on defects that affect liveability and functionality, such as water seepage, poor finishing or excessive ponding.Why Build Quality Can Influence Long-Term Value Construction quality does not just affect your living experience - it can also influence the financial performance of your property.Buyers may increasingly factor a developer's build-quality track record into resale decisions, which could support pricing resilience over time. However, quality banding should not be treated as the sole driver of price differences between projects.For example, Normanton Park and Stirling Residences are both located in District 5, achieved TOP about a year apart, and are comparable in scale. Normanton Park holds a Band 1 rating while Stirling Residences is Band 3. While their transaction prices differ, factors such as unit mix, transaction timing, views and market conditions also influence pricing outcomes.Secondary-market buyers are increasingly discerning. Many are willing to pay slightly more for units in developments where the risk of latent defects - such as loose tiles, water seepage, or ceiling leaks - is perceived to be lower.Higher construction standards can also translate into lower long-term maintenance costs. When workmanship is stronger from the outset, the Management Corporation Strata Title (MCST) is less likely to face repeated repair works, helping to keep maintenance fees more stable over time. Enjoying our insights so far? Stay updated with the latest property trends, expert analysis, and market perspectives from PropNex. Join our mailing list Case Study: Brand vs Band A well-known developer name does not automatically guarantee consistent quality across all projects.In recent market observations, some large developers maintained Band 1 performance for luxury CCR projects but recorded Band 2 or Band 3 outcomes for mass-market OCR launches.This does not necessarily indicate poor construction. Instead, it highlights a practical reality: developers managing multiple large projects simultaneously may experience variations in contractor performance, site management, and execution standards.Meanwhile, smaller boutique developers - focusing on fewer projects at a time - have occasionally achieved stronger quality outcomes because their teams can concentrate resources more intensively on a single development.The takeaway is simple: always check the banding for the specific project tier you are considering, rather than relying solely on the developer's brand reputation.How to Conduct Your Own Developer "Audit" Before signing an Option to Purchase (OTP), buyers can perform a simple but effective quality check.1. Check the Quality Housing PortalVisit BCA's Quality Housing Portal and search for both the developer and the main builder. If the main builder holds a Band 1 or Band 2 rating, the project is generally considered lower risk from a workmanship standpoint.2. Use the 35-Day Inspection WindowStronger protections for private homebuyers mean the Defects Liability Period (DLP) and maintenance fee liability now start 35 days after the TOP payment notice, instead of the previous 15 days. This effectively gives buyers a longer window to inspect the unit carefully before responsibilities begin. Use this period to conduct a thorough defects check and, where appropriate, engage a professional inspector.3. Apply the "Lived-In" TestAsk your property consultant to show you a three- to five-year-old project built by the same developer. Real-world conditions often reveal construction quality better than any brochure.Look for tell-tale signs such as hairline faade cracks, uneven tiling, or water ponding in common areas.The Savvy Buyer's New Checklist In 2026, evaluating a property involves more than simply comparing price per square foot.Quality - and the long-term costs associated with it - is becoming a central part of the buying decision.Choosing a lower-band development may reduce your entry price today, but it could result in higher repair costs, more frequent maintenance issues, and potentially weaker resale performance in the future.For buyers who want to think beyond the showflat, the CONQUAS banding system provides a clearer way to evaluate construction standards before committing to a purchase.In a market filled with new launches and persuasive marketing, price and location often dominate the conversation. Yet build quality can have just as much impact on your long-term living experience and resale value.Before making a decision, take a moment to check the developer's and builder's CONQUAS track record. It may not be the most glamorous part of property research - but it could be the detail that separates a good purchase from a regrettable one. Views expressed in this article belong to the writer(s) and do not reflect PropNex's position. No part of this content may be reproduced, distributed, transmitted, displayed, published, or broadcast in any form or by any means without the prior written consent of PropNex. For permission to use, reproduce, or distribute any content, please contact the Corporate Communications department. PropNex reserves the right to modify or update this disclaimer at any time without prior notice.

Lucky No. 8: Lentor's Newest Star

Many homebuyers might already be acquainted with the Lentor estate, which has welcomed several new launches in recent years, including Lentor Modern and Lentor Hills Residences. These projects were generally well-received during their launches, reflecting strong interest in this up-and-coming neighbourhood. For those who previously missed the opportunity to secure a home in Lentor previously, a new chapter is about to unfold with an upcoming development in Lentor Central. A 1.59-hectare site at Lentor Central - with the potential to yield about 560 residential units - has been launched for tender under the Government Land Sales (GLS) programme for the second half of 2025. This Lentor Central land parcel marks the eighth GLS site to be released in the precinct since 2021. Positioned next to the Lentor Modern mall and Lentor MRT Station, the future development will enjoy easy access to retail and dining options, as well as convenient transport connectivity. Source: URA Space In a tender which closed on 3 March 2026, the Lentor Central plot garnered 5 bids, with the top bid tabled by a joint venture comprising Guocoland, Intrepid Investments and TID Residential - the latter two are subsidiaries of Hong Leong Group, Mitsui Fudosan and Hong Leong Holdings at $657.1 million (equivalent to a land rate of nearly $1,278 psf per plot ratio). GuocoLand, Hong Leong and TID have collectively shaped much of the Lentor Hills estate, having developed five of the six new launches in the precinct. This strong track record gives them unparalleled familiarity with the neighbourhood and a keen understanding of what homebuyers value, placing them in an excellent position to deliver another thoughtfully curated project. Notably, the top bid marks the highest land rate achieved among the eight GLS residential sites that have been launched for tender in Lentor Hills estate since 2021, The top bid's land rate surpasses the previous record set by the Lentor Modern site, which was awarded at a land rate of $1,204 psf ppr in 2021. New vibrant homes in an emerging housing enclaveThe Lentor Hills estate has long been regarded as a peaceful private landed enclave, offering existing residents a quiet and exclusive living environment. As new homes and commercial amenities take shape within this evolving precinct, the area is poised to welcome younger families and residents, injecting vibrancy into the neighbourhood. The private residential enclave in Lentor is anchored by the integrated development Lentor Modern and Lentor MRT Station, both within walking distance to the Lentor Central site. Residents will also benefit from the site's proximity to nature, with green spaces such as Lentor Hillock Park and Thomson Nature Park nearby, providing ample opportunities for recreation and relaxation. Homes steeped in nature and convenienceAt the future Lentor Central project, life unfolds amidst a serene tapestry of lush greenery, offering residents a sanctuary away from the city's relentless buzz. Future residents can look forward to waking up to tranquil views, and green spaces optimised for relaxation. According to plans outlined by the Urban Redevelopment Authority (URA), Lentor Hills will be thoughtfully integrated with greenery and landscaped spaces. The new housing projects at Lentor are connected by a "green finger" that extends from Lentor Hillock Park, creating a continuous network of open spaces. A linear park along Tagore Road will allow residents to enjoy scenic walks to Thomson Nature Park or cycle towards Lower Seletar Reservoir and the Central Catchment Nature Reserve - Singapore's largest nature reserve. For the nature-lovers and sports enthusiast looking for more recreational options, Bishan-Ang Mo Kio Park is just about a 10-minute drive away. One of Singapore's most beloved urban parks, it features a picturesque meandering waterway, expansive open lawns, and well-maintained running and cycling paths, an ideal weekend retreat for families, fitness buffs, and park-goers. Source: NParks Daily conveniences will be well catered for at Lentor Modern, a mixed-use development directly linked to Lentor MRT Station. It features a 96,000 sq ft commercial podium anchored by a supermarket, dining establishments and a childcare centre. Residents can also explore additional retail and dining options at Ang Mo Kio 628 Market, AMK Hub, as well as the popular F&B stretch along Upper Thomson Road, Springleaf and Casuarina Road. Households with young children or those planning to start a family may be keen on this Lentor Central project as it is near a number of schools, including the Anderson Primary School, Mayflower Primary School, Ang Mo Kio Primary School, CHIJ St. Nicholas Girls' School, Mayflower Secondary School, Yio Chu Kang Secondary School, Presbyterian High School, and Nanyang Polytechnic. Source: Guocoland Seamlessly connected to the city and heartlandsThe Lentor Central site is within short walking distance to the Lentor MRT station on the Thomson East-Coast Line (TEL). The TEL takes commuters to Woodlands in the North and down to the city centre, as well as eastern Singapore when the entire rail line is completed in the second half of 2026. Commercial hubs such as Orchard Road and Shenton Way are less than 30 minutes' train ride from Lentor MRT station. The TEL is also connected to several interchange stations - Woodlands, Caldecott, Stevens, Orchard, Outram Park, and Marina Bay - offering seamless connections to other train lines. The TEL also connects commuters to attractions such as Orchard Road, Gardens by the Bay, and the future Founders' Memorial. For frequent travellers who like to go across the Woodlands-JB causeway, the Lentor MRT station is four stops from the Woodlands North MRT station, which will be connected to the future Johor Bahru-Singapore Rapid Transit System (RTS) Link - providing easy access to Johor, a popular shopping and dining destination for many Singaporeans. For those who drive, the Lentor area is well-served by major roads such as Yio Chu Kang Road, Ang Mo Kio Avenue 5, and Lentor Avenue, leading to the Seletar Expressway and the Central Expressway. Source: SMRT Journeys About the developerGuocoLand is an award-winning developer firm with a diversified portfolio comprising residential, hospitality, commercial, retail and integrated developments spanning across the region. GuocoLand has been awarded with a number of accolades both locally and internationally, in recognition for its quality, innovative developments and commitment to business excellence. In Singapore, the Group has successfully developed 36 residential projects yielding approximately 11,000 apartments and homes. Some of its most recent projects include, Midtown Modern, Midtown Bay, Wallich Residences, Meyer Mansion, Lentor Modern, Lentor Mansion. Intrepid Investments is a subsidiary firm of Hong Leong Holdings. Hong Leong Holdings was formed in 1968 as Hong Leong Group's privately held property investment and property holding vehicle. It has since established itself as a major player in the property market, making it one of the most sought-after providers of a comfortable home. To date, it manages 8 commercial projects and has developed close to 100 residential properties, including a range of mid to high-end residential projects in some of the country's most coveted neighbourhoods, including Penrose, Midwood, The Avenir, Sage, The Tate Residences.TID Residential is a long-time partnership between Hong Leong Group and Mitsui Fudosan. Hong Leong Group is a Singapore MNC while Mitsui Fudosan is a one of Japan's leading real estate companies. The partnership has successfully developed and launched several residential projects in Singapore. Among them, The St. Regis Singapore Hotel & Residences, The Oceanfront @ Sentosa and the Optima @ Tanah Merah, One North Eden, Forest Woods, The Brownstone EC, Lentoria.

Is HDB Still Affordable? The Future of Homeownership

TL;DR Singapore's public housing system is shifting from rapid price growth to engineered stability. While resale prices remain elevated, policy mechanisms, supply expansion and subsidy design are increasingly focused on long-term affordability rather than windfall gains. Affordability is engineered: BTO pricing is calibrated against household income levels and supported by grants such as the Enhanced CPF Housing Grant, ensuring homeownership remains viable even for lower-income households. The Standard-Plus-Prime framework: New classifications link location with subsidy levels, longer Minimum Occupation Periods, and subsidy recovery rules to moderate speculation. Supply expansion is underway: Around 110,000 flats are expected to be delivered by 2027, with shorter waiting-time projects helping reduce pressure on the resale market. Land constraints shape the system: Higher-density planning, underground infrastructure, and integrated developments are key to sustaining housing supply in a land-limited city. Older estates require new thinking: With SERS remaining rare and VERS expected around the 70-year mark, buyers must consider lease decay and financing thresholds more carefully. The philosophy is evolving: Housing policy now prioritises stability, accessibility and sustainable ownership rather than speculative appreciation. Bottom line: HDB affordability has never been purely about price - it is the result of policy design, subsidy calibration and disciplined supply management working together. After several years of sharp post-pandemic price growth, 2026 is shaping up to be a year of stabilisation rather than surge. While million-dollar resale flats dominated headlines in 2025, they represented only a small proportion of total transactions. Price growth has moderated, signalling a market that is cooling in momentum even if absolute price levels remain elevated.Price trend of HDBsYet public anxiety persists. The bigger concern is not just resale prices - it is sustainability.This leads to the central paradox: if public housing results in HDB running an annual deficit of around $6 billion - as reported in its financial statements, largely due to grants and subsidised land costs - how can it still be considered affordable?The answer lies in design. Public housing in Singapore is not meant to operate like a commercial developer. The so-called "deficit" represents a deliberate fiscal transfer - a policy choice to redistribute national resources in order to keep homeownership accessible.What we are witnessing today is a structural shift. The housing system appears to be moving from a capital-gain expectation model towards a sustainable living model - where stability, accessibility and long-term viability matter more than windfall appreciation. What we'll discuss in this article: How Affordability Is Engineered The Standard, Plus, Prime Era Build More, Build Faster Land Is Limited Future-proofing Older Estates Policy Shifts We Hope To See A New Philosophy of Homeownership How Affordability Is Engineered A common misconception is that BTO flats are priced based purely on land or construction costs. They are not.Instead, prices are calibrated according to income tiers. Affordability benchmarks - including mortgage servicing ratios and household income levels - guide the pricing framework. In simple terms, flats are priced based on what policymakers assess a typical household at a given income level can reasonably service.The "stress test": Proving the floorTo understand the robustness of this model, consider a lower-income household earning around $4,000 per month. The policy intent is clear: even at this income level, homeownership should remain financially viable.The subsidy shieldAt this income tier, the Enhanced CPF Housing Grant (EHG) can provide up to $120,000 for eligible households. When combined with other available grants, the effective purchase price of a flat falls significantly.In practical terms:A couple in this bracket may finance a 3-room BTO with minimal or near-zero cash outlay.Monthly instalments are structured to be largely serviceable using CPF Ordinary Account contributions.This is not accidental generosity. It is structured affordability. Scenario Indicative Position Market-linked resale price Determined by open-market demand and recent transactions Income-linked BTO price (after EHG) Calibrated launch price minus applicable grants The difference between these two figures is the subsidy buffer. That buffer is what converts theoretical affordability into practical ownership.The Standard, Plus, Prime Era The transition from the old "Mature vs Non-Mature" classification to the new Standard, Plus and Prime framework represents a policy reset.The earlier labels were increasingly imprecise. The new model differentiates flats more clearly based on location attributes and subsidy intensity.Strategic restrictions: Prioritising occupation over speculationPlus and Prime flats come with a 10-year Minimum Occupation Period (MOP), compared to five years for Standard flats.The intention is to reinforce owner-occupation and moderate short-term flipping behaviour - especially for homes that benefit from deeper subsidies due to their location.Subsidy recovery mechanismTo address the "lottery effect", a subsidy recovery mechanism applies to Plus and Prime flats upon resale. Rather than a simple flat return, the recovery is computed based on the additional subsidy component attached to the flat.The objective is fairness: ensuring that enhanced location subsidies do not automatically translate into disproportionate windfalls.For households thinking about what comes after an HDB - particularly the common HDB vs EC progression question - understanding how these policies shape long-term upgrading paths can be useful. For readers who want to explore this dilemma further, PropNex is hosting a free workshop here.Social stability and resale liquidityAffordability is also shaped by demographic policy. The Ethnic Integration Policy (EIP) ensures a balanced mix of Chinese, Malay and Indian/Other households within each block and neighbourhood.This prevents enclaves and supports long-term social cohesion.However, it has liquidity implications. If a particular ethnic quota in a block is filled, sellers from that group face a smaller eligible buyer pool. In practical terms, this may translate into longer selling timelines or pricing adjustments - a subtle contributor to the broader stabilisation we are seeing in the resale market.Build More, Build Faster Affordability is not just about pricing. It is about supply.Based on HDB's recent supply pipeline announcements, the government is on track to deliver approximately 110,000 flats by 2027, with around 19,600 units planned for launch in 2026. This reflects one of the most significant expansion phases in recent years, following pandemic-related delays.Shorter waiting times (SWT)An increasing share of new flats now offer waiting periods of under three years, reflecting the expansion of the Shorter Waiting Time initiative.For couples who previously turned to the resale market due to urgency, this growing middle ground reduces desperation-driven demand.Supply discipline mattersHousing shortages cannot be corrected overnight. Construction requires forward planning and buffer capacity. The current build-out phase is less about stimulating demand and more about restoring equilibrium. Enjoying our insights so far? Stay updated with the latest property trends, expert analysis, and market perspectives from PropNex. Join our mailing list Land Is Limited Singapore's deeper constraint is land. While land is finite, spatial efficiency can still be enhanced.Intensification: Higher, deeper, integratedBuilding higher: Maximising plot ratios, especially near transport nodes.Building underground: Relocating infrastructure such as substations below ground to free surface space.Mixed-use integration: Designing estates around transport, retail and community facilities - the evolution towards a "15-minute city" concept.This is constraint-driven urban design. Affordability in the long run depends not only on subsidies, but on how intelligently space is utilised.Future-proofing Older Estates Older flats are no longer viewed as guaranteed "lottery tickets".SERS (Selective En Bloc Redevelopment Scheme) remains rare and highly selective. Not every ageing estate will qualify.VERS at the 70-year markThe Voluntary Early Redevelopment Scheme (VERS) is positioned as the longer-term pathway. Around the 70-year lease mark, residents may vote on redevelopment, enabling more orderly estate renewal rather than simultaneous mass expiry.Lease sensitivity and financing thresholdsMarket evidence suggests price sensitivity increases once remaining lease falls below key financing thresholds (for example, when lease balances approach 60 years). Loan tenures shorten, CPF usage rules tighten, and buyer pools narrow.Lease value does not decline in a perfectly straight line. The impact becomes more pronounced over time.For buyers, this means focusing on lease profile and financing resilience rather than relying on a speculative redevelopment premium.Policy Shifts We Hope To See Housing policy evolves gradually rather than abruptly.15-month wait-out period: Market watchers are observing whether the restriction on private property owners entering the resale HDB market may be reviewed, subject to sustained stabilisation.Singles eligibility: Since late 2024, singles can apply for 2-room Flexi BTO flats across all locations - including Standard, Plus and Prime projects. This marks a meaningful expansion in engineered affordability for a growing demographic group.VERS refinement: Greater clarity on implementation details will shape expectations around older estates.These developments indicate a system adjusting carefully, not reactively.A New Philosophy of Homeownership Million-dollar transactions grab headlines, but they remain a minority of overall resale activity. Their impact is largely symbolic - amplifying generational anxiety about access.The framework attempts to balance two objectives:Preserving asset stability for existing owners.Maintaining entry affordability for first-time buyers.Is HDB still affordable?Broadly, yes - particularly for first-time households within targeted income bands. The system continues to rely on calibrated pricing mechanisms, substantial housing grants and expanded supply pipelines.However, the nature of growth is shifting. Expectations of rapid windfall gains are moderating.Sustainable homeownership now requires:Income alignment: Ensuring mortgage commitments remain resilient across economic cycles.Lease profile awareness: Understanding how remaining lease affects financing and resale demand.Exit optionality: Maintaining flexibility rather than depending on speculative appreciation.Property progression today requires strategy, not speculation.Affordability in Singapore has never been purely about price; it has always been about policy discipline. The future of homeownership will depend not on whether flats double in value, but on whether the system remains balanced enough to serve the next generation. Views expressed in this article belong to the writer(s) and do not reflect PropNex's position. No part of this content may be reproduced, distributed, transmitted, displayed, published, or broadcast in any form or by any means without the prior written consent of PropNex. For permission to use, reproduce, or distribute any content, please contact the Corporate Communications department. PropNex reserves the right to modify or update this disclaimer at any time without prior notice.

New Price Records Set In Queenstown Even As Overall HDB Resale Market Moderates

Fresh HDB resale price records have been set by transactions in Queenstown in February 2026, even as the overall resale flat market moderates. This supports the view that a two-track market may be emerging in the HDB resale segment with popular, well-located flats continuing to register stronger price upside while the broader market experiences more moderate and stable price movements. Based on sales data, two all-time-high price records were set in February where a 2-room resale flat at SkyParc @ Dawson was sold for $695,000, and a 5-room unit at SkyTerrace @ Dawson was transacted for $1.7 million. Record breakers The 2-room resale flat in Dawson Road that fetched $695,000 has a lease balance of more than 94 years at the time of resale, and the 47 sqm (506 sq ft) unit is located on a high floor ranging between 34th and 36th storey. Meanwhile, the record-smashing 5-room resale flat at SkyTerrace @ Dawson is a premium apartment loft unit with a remaining lease of just over 89 years at the time of sale. It spans 122 sqm (1,313 sq ft) and is on a floor between the 19th and 21st storey. This transaction overtook the previous record of nearly $1.659 million set by another 5-room unit in the same block in June 2025, based on data captured. Earlier, the media reported in July 2024 that a 5-room unit at SkyOasis @ Dawson was resold for about $1.73 million - this transaction is not reflected in the sales data in the government's open data portal. That some buyers are willing to pay top dollar for a resale HDB flat in a choice location is perhaps not surprising, since property location is an important driver of convenience, connectivity, and possibly even long-term value. In addition, for a similarly sized unit in the same area, HDB resale flats may also appeal to those with a more limited budget compared with the more expensive private homes. For instance, the average price of 99-year leasehold, resale non-landed private homes sized 500 to 510 sq ft in the Queenstown planning area was about $1.15 million between January 2025 and 20 February 2026, according to caveats lodged. As for units spanning 1,310 to 1,320 sq ft, resale prices of non-landed private homes (99-year leasehold) in Queenstown planning area averaged at $2.22 million over the same period. Given the relative centrality of Dawson Road and its proximity to the Queenstown MRT station and various amenities, PropNex expects the area to continue to post million-dollar resale flat deals. Furthermore, flats in Dawson Road are seen by some prospective buyers as premium and unique owing to their city-fringe location and stunning design. Million-dollar resale HDB flats In February, there were 122 flats that were resold for at least $1 million - marking a 16% decline from the 146 units transacted in the previous month (see Chart 1). They comprised 52 units of 4-room flats, 49 units of 5-room flats, and 21 executive flats. Among the million-dollar resale flat deals in the month, 15 units are in non-mature towns - four in Punggol, three in Woodlands, two each in Hougang, Sengkang, and Jurong East, and one each in Yishun and Bukit Batok. The rest of the units are in mature towns, led by Toa Payoh with 18 deals, Bukit Merah and Queenstown with 17 each, followed by Ang Mo Kio with 13 transactions. This takes the total number of million-dollar resale flats sold in the first two months of 2026 to 268 units. PropNex expects the number of such transactions to remain high in 2026, potentially crossing 1,500 units again. In 2025, a record 1,593 flats were resold for at least $1 million each. Chart 1: Number of HDB flats resold for at least $1 million by monthSource: PropNex Research, data.gov.sg (retrieved on 2 March 2026) In February, the priciest HDB resale flat transacted was the aforementioned 5-room unit at SkyTerrace @ Dawson which fetched $1.7 million (see Table 1). It is well ahead of the second highest deal where a 5-room unit at Pinnacle @ Duxton changed hands for $1.515 million. Table 1: Top 10 HDB resale flats sold in February 2026 by Transacted PriceSource: PropNex Research, data.gov.sg (retrieved on 2 March 2026) Moderation in overall marketNotwithstanding the record-breaking deals, the overall HDB resale market moderated in February. Based on sales data, there were 1,669 resale flat transactions in February, down by 29% month-on-month (MOM) from 2,342 units resold in January (see Chart 2). On a year-on-year basis, sales were down by 20% from the 2,091 resale flats transacted in February 2025. The decline in sales could be due to the Lunar New Year holidays as well as the HDB's February Build-to-Order (BTO) exercise, where 4,692 new flats - including shorter waiting time flats -were offered. Another 4,320 balance flats were also placed for application under the Sale of Balance Flats (SBF) exercise during the month. Chart 2: HDB resale volume and average resale price Source: PropNex Research, data.gov.sg (retrieved on 2 March 2026) In tandem with the weaker resale volume, the average resale flat price dipped by 0.2% MOM to $656,244 in February (see Chart 1). This is the second straight month where the average HDB resale price had softened - albeit marginally. When compared with February 2025, the average price rose slightly by 1.8% year-on-year. Chart 3: HDB resale flat transactions by price rangeSource: PropNex Research, data.gov.sg (retrieved on 2 March 2026) Transaction data showed that the proportion of flats resold that were priced at below $500,000 in February was 23.0%, up from 21.3% in the previous month. About 42.3% of the resale flats sold fetched between $500,000 and under $700,000, a tad lower than 43.1% in January. Meanwhile, the proportion of resale deals done at $700,000 to just under $1 million in February came in at 27.4%, easing from 29.4% in the previous month. Notably, 7.3% of the flats were resold for at least $1 million in February, inching up from 6.2% a month ago (see Chart 3). By flat type and town classification, the average prices of 5-room resale flats in mature towns and executive flats in non-mature estates bucked the down-trend in February, rising by 3.7% MOM and 2.0% MOM, respectively (see Table 2). Meanwhile, 3-room flats in mature towns saw the steepest fall during the month, as the average price slipped by 3.0% MOM to about $473,700. Similarly, that of 3-room resale flats in non-mature towns also posted a sharper decline at 3.2% MOM. Table 2: Average HDB resale flat prices by flat type, by town classificationSource: PropNex Research, data.gov.sg (retrieved on 2 March 2026) On the whole, the gradual moderation in the HDB resale segment is a step in the right direction as a more sustainable price movement will contribute towards market stability and benefit homebuyers and owners. For the entire 2026, PropNex still expects HDB resale prices to see a slight growth of around 3% to 4%. Contact a PropNex salesperson to find out more about resale HDB market trends.

What 2026 Holds for the Shophouse Market

TL;DR 2025 marked a 10-year low for shophouse transactions but the slowdown was more about capital discipline than collapsing fundamentals. Whether 2026 brings a rebound, standoff, or further softening will depend on interest rates, leasing demand, and pricing realism. 2025 in context: Only 70 deals were recorded, with activity concentrated in the $5-10M range. Conservation and longer-tenure shophouses remained resilient, especially in accessible districts like Little India. Leasing pressure: Softer F&B conditions and cautious consumer spending dampened rents, with vacancy risk becoming a bigger concern. Flexible landlords secured tenants faster than those holding out for peak rents. Capital market effects: Higher borrowing costs, tighter liquidity, and cautious investor sentiment slowed deal flow, even though shophouses are not subject to ABSD. 2026 scenarios: A modest rebound could happen if rates stabilise and pricing expectations align. Otherwise, the market may remain muted, or soften gradually if leasing and confidence weaken further. Who it suits: Shophouses remain scarce, low-yield (2-3%) assets typically suited for long-term holders prioritising capital preservation over short-term income. Bottom line: 2026 is unlikely to mirror the 2021 peak. Success in the shophouse market will hinge less on bold timing and more on disciplined pricing, strong location fundamentals, and long-term holding power. The shophouse market was once one of the most popular choices in the commercial property space. But somewhere along the lines, its transactions started to slow down. In fact, it hit a record low within the past decade. Interestingly enough, analysts seem to think that the market could possibly rebound in 2026. So let's take a closer look at what might happen for shophouses in the year ahead. In this article, we will explore: 2025 in review Capital market dynamics behind the slowdown What does this mean? Scenarios for 2026 What you should watch out for Final thoughts 2025 in reviewWith just 70 transactions totalling about $516 million, landed shophouse transactions hit a 10-year low in 2025, a stark difference from the peak of 245 shophouses worth $1.8 billion in 2021.Figures based on caveated deals; some transactions may be excludedThis may make it seem like 2025 was a bad year for shophouses, but the slowdown was actually not uniform. For example, conservation shophouses are still tightly held due to their rarity and long-term value.Furthermore, most transactions in 2H2025 were concentrated in the $5-10 million range. That tells us that transaction activity didn't vanish, but rather gravitated towards the lower entry range, where pricing expectations between buyers and sellers were better aligned.As a case in point, our latest shophouse market report shows that District 8 (Little India) recorded 24 shophouse transactions worth about $183 million in 2025, accounting for more than a quarter of the year's total sales value. With comparatively lower entry prices than prime CBD districts and consistently strong footfall supporting tenant demand, the area became a natural draw for first-time investors seeking a more accessible foothold without sacrificing rental resilience.Freehold and 999-year shophouses also proved more resilient. These longer tenures seem to attract strong interest, reflecting how many investors prioritise durability and capital preservation when conditions are less buoyant.It's also worthwhile to note that transaction data alone doesn't tell the full story. Some deals are structured through share transfers or special purpose vehicles, which may not always show up in conventional caveat records. In a niche asset class like shophouses, that distinction might matter more than you think.All things considered, leasing is a whole nother issue.Leasing conditions have also softened, pressured by a guarded consumer environment, especially in the F&B sector, which are traditionally the backbone of many shophouse clusters. Those affected have had to contend with intense competition, manpower shortages, and more cautious spending. So it's no wonder that 4Q2025 was one of the weakest quarters in around five years for shophouse leasing activity.Despite that, locations with steady footfall, strong residential catchments, or proximity to MRT stations have continued to see leasing activity, but also higher rents. In many cases, landlords who were willing to be flexible on rent or lease terms managed to secure tenants faster, while those who are more rigid may experience longer vacancy periods.It is also important to understand that shophouses are not typically bought for high rental yields. Most shophouses have a rental yield of around 2% to 3%, depending on entry price and tenant profile. Many buyers are comfortable with this because the appeal lies more in long-term capital preservation and land scarcity rather than immediate income.Capital market dynamics behind the slowdownBeyond transaction counts, 2025 was also shaped by capital market dynamics. While commercial properties are not subject to Additional Buyer's Stamp Duty (ABSD), the broader cooling environment - particularly the 60% ABSD rate on foreign residential buyers - dampened overall liquidity and cross-asset sentiment. Investors became more cautious across the board, even in segments technically unaffected by ABSD. At the same time, elevated borrowing costs increased refinancing spreads, meaning some owners faced higher holding costs than during the ultra-low rate environment of 2021-2022. Upper-floor office space within shophouses also felt the lingering effects of hybrid work arrangements, especially as new office supply entered the market. Meanwhile, family offices - a group that was particularly active during the post-pandemic surge - have been more selective in capital deployment, recycling funds into diversified strategies rather than concentrating in heritage commercial assets. Together, these factors created a liquidity slowdown driven less by structural weakness and more by capital discipline. Enjoying our insights so far? Stay updated with the latest property trends, expert analysis, and market perspectives from PropNex. Join our mailing list What does this mean?2025 was less about weakening fundamentals and more about recalibration, which means:New audienceMore first-time investors are drawn to the shophouse market, especially those with lower entry price points like in Little India. Many of them compare buying a $5-10 million shophouse with buying residential properties, which, unlike shophouses, are subject to additional buyer's stamp duty (ABSD). As a result, investors are assessing whether or not these lower entry commercial units give more bang for their buck.For context, ABSD rates on residential properties for Singaporean citizens are up to 30% of the property price/value. For permanent residents, it's up to 35%. And for foreigners, it's 60%.Buyers are more selectiveInvestors seem more focused on assets with strong location fundamentals, freehold or longer tenure, and clear income prospects.Mismatched pricing expectationsAsking prices haven't always aligned with what investors are willing to pay. At the same time, owners with holding power may understandably be reluctant to agree on a lower price. If there is no immediate pressure to divest, they may choose to wait rather than accept offers that don't reflect their long-term view of the asset's value.Leasing can still be challengingAs mentioned earlier, leasing has already softened. The issue now isn't just filling space, but sustaining rents at levels tenants can realistically support. Vacancy risk is more pronounced in this climate. A few months without receiving rent may impact annual returns, which is why some landlords would rather secure a reliable tenant rather than hold out in hopes for higher rent.Scenarios for 2026Scenario 1: ReboundA rebound could happen if stabilising forces come together. For example, if interest rates continue to ease or at least hold steady, the cost of capital becomes more manageable, which naturally improves affordability. At the same time, if sellers start adjusting price expectations closer to where buyers are willing to pay today, the bid-ask gap could narrow. In addition, if 2026 sees a healthier tourism flow, retail and hospitality tenants that occupy many shophouses may receive more support.Altogether, they make good conditions for recovery, though realistically speaking, the bounce back wouldn't reach 2021 levels. But, it is possible to see transaction volumes inch up from what we saw in 2025. Scenario 2: Extended standoffAn extended standoff could happen if global conditions remain tight and confidence stays fragile. As a result, investors may continue to act cautiously. At the same time, sellers with strong holding power may see little reason to adjust prices, especially for rare or well-located assets.In this case, transaction volumes may look similar to 2025: steady but subdued. Pricing could continue to diverge: heritage shophouses in established high-footfall nodes holding firm, while secondary locations face softer negotiations.In short, the market wouldn't weaken dramatically, but it wouldn't accelerate either. Instead, it could remain muted.Scenario 3: Continued softeningA more cautious outcome is that the market continues to soften into 2026. This could happen if the economy becomes so much more uncertain and interest rates stay elevated or even rise, which could dampen investor confidence. At the same time, if leasing conditions remain uneven, buyers may act conservatively, placing downward pressure on valuations.In such a scenario, transaction volumes could fall below 2025 levels, with deals occurring primarily where sellers are prepared to adjust pricing meaningfully. The valuation gap may close not because buyers move up, but because asking prices gradually come down. Assets in secondary locations or with weaker tenancy profiles may face greater negotiation, while even prime areas could see more price sensitivity than in previous years.That said, a continued dip would likely be measured rather than dramatic. The inherent scarcity of conservation shophouses and the strong holding power among many owners could still help prevent sharp corrections.What you should watch out forFor buyersIt's safer if you don't base your decisions on optimistic projections. Assume a more conservative rental market and longer vacancy periods, and make sure your finances can withstand a delayed exit.Of course, location is as important as ever. And I don't just mean the district's reputation. A shophouse along a main stretch with consistent foot traffic can perform very differently from one a few streets away. On top of that, you should also pay closer attention to vacancy risk, tenant profile, and remaining lease tenure.For owners and landlordsIf your property is in a prime footfall area, you may continue to hold firm. Otherwise, it might be more strategic to be flexible in order to maintain tenants. Plus, pushing for aggressive rent increases could backfire and cause longer vacancies. You should also prepare for more negotiation at lease renewal and possibly longer downtime between tenants.If you need liquidity and are considering selling, price it where buyers are actually transacting, not where the market was in 2021. Deals are more likely to close when expectations are realistic. Overpricing may mean sitting on the market longer.For TenantsYou may find slightly more room to negotiate in non-prime regions. However, prime areas with consistent traffic are unlikely to see meaningful rental declines, if at all. Competition for well-positioned units in these areas are likely to remain steady.Final thoughtsWhat 2026 holds for the shophouse market will depend on financing conditions, leasing demand, and whether or not buyers and sellers are willing to meet in the middle. A rebound is possible, but so is a standoff or even a further softening. But as it goes, it's better to be safe than sorry.That said, shophouses remain a scarce asset. Their conservation status, central locations, and mixed-use flexibility mean they will continue to attract interest, just more muted. On top of that, liquidity can be slower compared to other property types.So it's safe to say that shophouse investments aren't for everyone. It's more suited for investors who want to hold long-term like family offices or business owners looking for a stable location.In any case, it's important to have a clear framework like Property Wealth System (PWS). Instead of paying all your attention to broad market sentiment, it's better to have strong fundamentals. After all, the best outcome may not always go to the boldest investor, but to the one who plans ahead. Views expressed in this article belong to the writer(s) and do not reflect PropNex's position. No part of this content may be reproduced, distributed, transmitted, displayed, published, or broadcast in any form or by any means without the prior written consent of PropNex. For permission to use, reproduce, or distribute any content, please contact the Corporate Communications department. PropNex reserves the right to modify or update this disclaimer at any time without prior notice.

Family First: How Intergenerational Responsibilities Influence Housing Decisions

TL;DR Housing decisions aren't just about price and location, they're also shaped by intergenerational responsibilities. Ageing parents, young children, and multi-generational needs can heavily influence where and what families choose to buy. Proximity to parents: As caregiving needs grow, living nearby reduces stress and travel time. Incentives like the Proximity Housing Grant (PHG), offering up to $30,000 for resale buyers living with or within 4km of parents or children, reinforce this trend. School considerations: Primary school registration rules prioritise distance, pushing families to secure homes near preferred schools years in advance. Multi-generational living: Co-living can ease caregiving and childcare, but it requires space, privacy, and financial readiness. Larger flats and dual-key units offer solutions, though often at higher prices. Trade-offs are real: Staying close may mean paying more or compromising on size. Moving further out may offer space but reduce convenience and eligibility for grants. Plan by life stage: The "right" home depends on whether your immediate priority is caregiving, schooling, or long-term flexibility, and whether your finances can support that choice sustainably. Bottom line: Your property should support your family's evolving responsibilities while keeping your finances and future options intact. When people talk about buying a home, it usually comes down to price, location, transport, and amenities. The usual things. But for many households, those are not the main considerations. The real constraint is family. Whether it's ageing parents, young children, or both, family dynamics aren't an afterthought. For most households, it's the main consideration.Think about it. If your parents are getting older and starting to need more frequent assistance, you'll probably want to stay close, maybe even live together. And if you have kids, you'd have to think ahead and live in proximity to your choice of school. Otherwise, your child would not even get admitted.So it's clear that intergenerational responsibilities play a huge role in housing decisions. The real question is: how will they affect your decision? In this article, we will explore: Proximity to parents Children, schools, and the geography of opportunity Multi-generational living Decide with intention Final thoughts Proximity to parentsAs parents age, the need for practical, day-to-day support grows, whether it's accompanying them to medical appointments, helping with errands, or simply being nearby in case something happens. The Ministry of Health has consistently highlighted the role of family caregivers as a key pillar of eldercare in Singapore's ageing society. Living nearby reduces caregiver strain, travel time, and response delays, all practical considerations that translate directly into housing choices.Luckily for you, staying close to family is incentivised. HDB itself offers Proximity Housing Grants (PHG) to encourage family members to stay close enough for mutual care without forcing co-living. The grant provides up to $30,000 for those buying a resale flat to live with or within 4km of their parents/child. And it's clearly working. According to HDB's Sample Household Survey 2023/24, 64.5% of younger married residents lived with or near their parents, up from 57.4% in 2018. Enjoying our insights so far? Stay updated with the latest property trends, expert analysis, and market perspectives from PropNex. Join our mailing list Children, schools, and the geography of opportunityAlas, family obligations don't end with parents, it gets more complicated when you have your own kids. But if caring for parents pulls buyers towards familiar neighbourhoods, children often push them towards schools.In Singapore, proximity to schools is not just about convenience and shorter commutes, but more about the school registration system. When a primary school has more applicants than available spots, priority is given to the kid living closer to the school. Plus, under the Ministry of Education's rules, families would have to stay at the registered address for at least 2.5 years before the time of registration.This has direct implications for housing demand. Areas near well-regarded primary schools tend to see stronger price resilience and transaction activity. As a result, many people anchor their housing decisions around school zones early, sometimes even before children are born.Multi-generational livingMulti-generational living is quite common in Singapore as it can be very practical. Grandparents can help with childcare. Adult children can help keep an eye on ageing parents without travelling across town. Day-to-day support becomes easier, more natural. It's why HDB has schemes like the Multi-Generation Priority Scheme (MGPS), and why larger flat types continue to see steady demand despite higher prices.But anyone who's done it will tell you that it can also be stressful.Privacy is usually the first pain point. Different generations have different rhythms, habits, and expectations of personal space. What one person sees as being involved, another might experience as hovering. Parenting styles can clash. So can opinions about household routines, noise levels, and how shared spaces are used.That's why larger flat types like 5-room or executive flats are more popular amongst families. Simply because they allow some degree of separation. Everyone gets their own rooms, and common areas aren't cramped. However, larger homes also mean higher prices, especially in mature estates where many parents already live.This is where families often face hard choices. Do you pay more to stay together comfortably? Move further out for more space and pass up on the proximity grant? Or compromise and hope everyone adjusts?Each choice comes with its own opportunity cost and it's not something you can easily undo. If you change your mind halfway, there could be real financial consequences. So if you buy without thinking things through and realise later that you don't like your living situation, you could be stuck with that decision for years before you're able to make another move.Some families also look to dual-key properties, units that allow two separate living spaces within one property, offering more privacy while keeping family close. Of course, dual-key units aren't a perfect fix. They're priced at a premium, limited in supply, and not every layout may work for you.Ultimately, multi-generational living isn't just about fitting more people into one home. So for families considering this path, housing decisions have to be more deliberate.Decide with intentionWhen family considerations pull you in different directions, there's rarely a "perfect" home. What usually helps is reframing the decision.Instead of asking, "What's the best property I can buy?", it might be more useful to ask, "What problem is this home meant to solve for my family over the next phase of life?"If the next step for your household is to start caregiving, then staying close to parents may matter more than having a newer flat or condo facilities. But if you have young children who will start school in the next few years, you might want to secure a place near a good school early, even if it means living in a smaller home for now.In any case, nothing is permanent. Parents may be independent today but need more support later. Children will eventually outgrow neighbourhood schools. That's why you need to know your timeline and plan in steps, rather than trying to get everything right in one move.Some prioritise proximity first, then upgrade for space later. Others buy larger homes earlier, knowing they may hold them longer to avoid repeated moves. There's no single right answer. It all depends on your situation.And don't forget that you still need to consider cash flow, flexibility, and how much risk the household can comfortably take on while juggling caregiving, childcare, and work.So before you decide on anything, perhaps ask yourself these questions:How close do I realistically need to be to my parents? Not just today, but a few years from now?Is this a home meant to support multi-generational living, or just proximity?How important is school proximity, and when will it start to matter?Can my household comfortably afford the space we need, not just the space we want?How flexible is this decision if the situation changes? Is there room to adapt if parents' health, children's schooling, and work situations evolve?Final thoughtsAs it turns out, buying a home isn't just about price and location. It's also about the complexities and responsibilities within a family.When you have intergenerational responsibilities, it's important to understand how these nuances fit into your broader property picture. That's why the "right" home isn't always the biggest, newest, or most central one. It's the home that fits your family's needs.For households juggling caregiving, schooling, and finances, having a structured framework like the Property Wealth System (PWS) can be helpful. It could help you map housing decisions across different life stages, rather than just following the trend. If you're interested, you can watch this short clip below. Views expressed in this article belong to the writer(s) and do not reflect PropNex's position. No part of this content may be reproduced, distributed, transmitted, displayed, published, or broadcast in any form or by any means without the prior written consent of PropNex. For permission to use, reproduce, or distribute any content, please contact the Corporate Communications department. PropNex reserves the right to modify or update this disclaimer at any time without prior notice.

5 Home Layouts Singapore Buyers No Longer Want in 2026

TL;DR New launches aren't just getting smaller: They're getting more efficient. The market is cutting "dead space", because buyers now price every square foot by usefulness, flexibility, and resale defensibility. Dual-Key Units: Less defensible post-URA strata/GFA harmonisation-extra partitions and duplicated circulation now reduce liveable efficiency, narrow resale audience, and complicate pricing. Open Kitchens: Showflat-friendly but real-life costly-odours, grease, noise, and cooling inefficiency matter more with WFH and compact layouts; buyers prefer "enclosable" solutions. Long Corridors: Previously "prestige", now "wastage"-at ~$2,000-$2,500 psf, hallways become five-figure non-performing space; buyers prioritise usable area and furniture-ready walls. Shoebox Studios: The exit is the problem-investor pool has narrowed, resale depth is thinner, and price gaps make buyers stretch to more liveable formats; 1-bedders are now fewer and larger (Often 1+Study). Oversized Balconies: Bonus-area incentives have faded-balcony area now competes directly with indoor space, and buyers increasingly reject "theoretical" outdoor sqm at premium psf. Big Pattern: Efficiency is now the foundation of sustainable ownership-layouts that protect optionality (Refinance, rent, resale, reconfigure) protect value. Bottom line: These disappearing features aren't design trends-they're market corrections. In 2026, "liveable psf" beats headline size. Singapore's new launches are getting smaller - but not in the way most people think.The shift is not about shrinking unit sizes alone. It is about shrinking inefficiency.Walk into a new launch today and compare it to one from ten years ago. The difference isn't just in price. It's in how space is designed, allocated, and justified.Features that once felt like selling points are quietly shrinking. Layouts that used to be marketed as innovative are appearing less frequently. Not because developers suddenly changed their taste - but because buyers have changed theirs.With psf prices hovering around the $2,000-$2,500 range in many projects and resale scrutiny sharper than ever, homeowners are questioning what they are really paying for. Space is no longer judged by size alone, but by usefulness, flexibility and long-term defensibility.This shift is subtle but significant. Here are five home layouts and features that are disappearing - and what their evolution tells us about how Singaporeans now think about property. Dual-Key Units That Split One Home Into Two Open-Concept Kitchens That Let Smoke Travel Long Corridors That Cost You $2,500 psf Shoebox Studios That Limit Your Exit Options Oversized Balconies That Eat Into Internal Space 1. Dual-Key Units That Split One Home Into Two Dual-key units were once positioned as the ultimate flexibility play. The concept was simple: live in one portion, rent out the other, and effectively create two living spaces under a single property title.For investors, it was viewed as a clever way to optimise ABSD exposure while generating rental income without technically owning a second property. For own-stay buyers, it was often marketed as a solution for multi-generational living or housing elderly parents while maintaining privacy under one roof.But today, dual-key units are noticeably rarer in new launches. In projects where both configurations were offered, take-up has generally trailed standard 2- and 3-bedroom layouts. In some cases, unsold dual-key stacks were even reconfigured into regular layouts - a strong signal that demand has softened rather than strengthened.Why they're fading From 1 June 2023, URA harmonised the strata area definition with Gross Floor Area (GFA), meaning areas such as air-conditioner ledges, private enclosed spaces and certain voids are included within strata calculations. Previously, developers had more flexibility to carve out space for a second entrance, kitchenette and compact annex without making the unit feel disproportionately tight on paper.Post-harmonisation, that buffer disappeared. Extra partitions now eat directly into sellable space, layouts risk feeling cramped, and pricing becomes harder to justify. When buyers are already scrutinising every square foot, duplicated circulation space feels inefficient rather than innovative. Add higher overall quantum, a narrower resale audience and rental returns that are less straightforward in today's environment, and dual-key units have simply become harder to defend.The shift: 2-bedroom + study layouts Instead of physically dividing a home, buyers now prefer flexibility within a cohesive layout. The 2-Bedroom + Study configuration offers adaptability without structural fragmentation. A study can function as a home office, convert into a nursery, serve as a guest room or evolve alongside changing family needs. Flexibility that preserves layout efficiency is increasingly favoured over permanent subdivision.2. Open-Concept Kitchens That Let Smoke Travel For nearly a decade, open kitchens were the "it" feature in new launches. They looked modern, spacious and lifestyle-forward - perfect in showflats and marketing brochures. Even today, HDB has introduced BTO White Flats with open-concept kitchens as the default configuration.However, daily living tells a more nuanced story. While open layouts continue to appear in new flats, many homeowners are retrofitting partitions or sliding doors soon after collection - a quiet but telling sign that visual openness does not always translate into long-term practicality.The gap between "showflat aesthetics" and lived reality has become harder to ignore. At $2,500 psf, homeowners are realising that a lifestyle kitchen is not a luxury if it slowly coats a $10,000 leather sofa in grease particles.Why they're fading Singaporean households cook - and not lightly. Sambal, stir-fry, fried fish, and wok hei do not sit comfortably beside a sofa placed three feet away from the hob. Smells travel, grease settles, curtains absorb odours and air-conditioning systems work harder to maintain comfort.The rise of hybrid work has amplified the issue. The home is no longer just a place to sleep; it is also an office. In a compact studio or 2-bedroom unit, a partner frying ikan bilis in the background of a Zoom call is more than an inconvenience - it is an acoustic and professional disruption. Open kitchens offer visual continuity, but very little separation.Cooling efficiency is another emerging concern. With rising energy costs and greater awareness around sustainability, cooling an entire open-plan apartment simply to keep the cooking area comfortable is increasingly seen as wasteful. Without the ability to thermally zone the kitchen, the living room air-conditioning must fight both heat and humidity generated by the hob and oven.Feedback from buyers and agents increasingly points to a preference for kitchens that can be enclosed, particularly in compact layouts where odours and noise quickly permeate the entire home. The appeal of seamless visual flow is giving way to practical considerations about ventilation, acoustic control, maintenance and long-term comfort.The shift: The enclosable kitchen Rather than choosing between fully open or fully enclosed kitchens, developers are introducing adaptable solutions. Glass sliding doors, framed partitions and galley-style glass enclosures allow homeowners to retain visual transparency while adding a physical barrier.This has effectively become the 2026 gold standard. The kitchen still feels connected to the living room, but noise, heat, and grime stay behind the glass. It offers the best of both worlds: lifestyle-forward design on Day One, and functional containment by Year Ten.Visual openness may sell units at launch. Practicality keeps homeowners satisfied over time. Enjoying our insights so far? Stay updated with the latest property trends, expert analysis, and market perspectives from PropNex. Join our mailing list 3. Long Corridors That Cost You $2,500 psf Older developments often featured extended foyers, long internal hallways, and awkward circulation paths. At one time, these were seen as marks of prestige - a transitional buffer between the public living zone and the private bedrooms. A long gallery-style corridor signalled space and separation.Today, it signals cost.With property prices pushing past $2,500 per square foot, a 10-foot hallway is effectively a five-figure design decision. A corridor that holds little more than a rug can quietly cost $50,000 to $75,000 depending on its size.Beyond psf pressure lies the "quantum ceiling" reality. Many HDB upgraders operate within a tight overall budget - often around the $2.2M to $2.4M range for a 3-bedroom unit. To stay within that ceiling while psf rises, developers cannot afford dead space. If 50 sq ft goes to a corridor, something else must shrink - usually the master bedroom. Buyers have made their choice clear: they prefer the larger bedroom.Why they're fading Efficiency is no longer aesthetic; it is economic. Buyers are focused on usable area, bedroom proportions and furniture placement. Corridors are increasingly viewed as non-performing square footage.There is also a privacy paradox. Traditional layouts cluster bedrooms along a single hallway, yet do not necessarily provide meaningful separation. Modern households - including co-living arrangements or couples renting out a spare room - often prefer bedrooms split apart rather than lined up door-to-door.Wall space has also become a premium commodity. Older layouts frequently featured interrupted walls due to multiple doorways, limiting furniture options. Today's buyers study floor plans to ensure they can comfortably fit a 75-inch television or an L-shaped sofa. Long, uninterrupted walls now carry practical value.The shift: The dumbbell layout The dumbbell layout has become the modern benchmark. By placing the living room in the centre and positioning bedrooms on opposite ends, it removes unnecessary corridors while improving functional privacy.It delivers two advantages at once: higher spatial efficiency and better separation.There are cases where an 820 sq ft dumbbell unit offers as much usable living space as a 950 sq ft legacy layout. Once foyers, corridors and oversized air-conditioning ledges are accounted for, the net livable area can be comparable. Buyers are no longer looking only at headline square footage; they are evaluating what might be called the usable efficiency ratio - how much of the home truly supports daily living.Where older layouts prioritised grandeur, the 2026 layout prioritises livable psf. Efficiency is no longer a preference - it is a necessity for keeping private home ownership attainable for the middle-income households.4. Shoebox Studios That Limit Your Exit Options There was a period when 350-450 sqft "shoebox" units were aggressively built across OCR launches. They were marketed as affordable entry points, low-quantum investments and straightforward rental plays - built on the assumption of an almost infinite investor pool.For a while, the strategy worked.But that era is cooling down.Why they're fading Resale trend of 1BR vs 3BR condos (2015-2025)In 2026, resale resistance is no longer anecdotal - it is measurable. Based on internal analysis of selected OCR projects between 2015 and 2025, 1-bedroom units appreciated at roughly 3% annually, while 3-bedroom units in the same developments saw gains closer to 6-8%. Transaction patterns in selected projects also suggest that well-laid-out 3-bedroom units tend to transact faster, while compact shoebox units can remain on the market longer. The message is clear - a low-quantum entry only works if the exit remains liquid.Cooling measures have further narrowed the buyer pool. With elevated ABSD for second-property buyers and foreigners still in place, investor-led demand for ultra-compact units has thinned significantly. Most buyers today are owner-occupiers, and their priorities are different. They are not looking for the smallest possible unit; they are looking for something genuinely livable.Developers have adjusted accordingly. Instead of 40-50% of a project being made up of 1-bedders, many 2026 launches now limit them to roughly 15-20% of total units, shifting emphasis toward 2+Study and 3-bedroom layouts that tap into the deeper HDB upgrader market.There is also a growing price-gap dilemma. In several current OCR launches, 1-bedroom units have crossed the $1.1M mark, while 2-bedroom units sit closer to $1.4M. When the difference feels modest relative to the jump in utility, buyers increasingly stretch for the larger configuration.The shift: The new livable baseline The 1-bedroom that survives today looks very different from its 2016 predecessor. Pre-2022, 398-430 sq ft was common. In the 2026 cycle, the new baseline sits around 500-600 sq ft, often configured as a "1-Bedroom + Study." This allows for a proper kitchen, a functional dining zone and a dedicated WFH space, sometimes even incorporating a dual-access "Jack and Jill" bathroom.The focus has moved from maximising unit count to safeguarding resale depth. In 2026, liquidity is the most important amenity. The 1-bedroom is no longer a mass-market investment tool - it has become a smaller but more considered offering designed around livability.5. Oversized Balconies That Eat Into Internal Space There was a time when oversized balconies were heavily marketed as "outdoor living" features that extended the lifestyle appeal of a home.In reality, many became underutilised thermally inefficient extensions or decorative extensions of the living room that rarely saw meaningful use.Why they're fading The biggest structural shift came from GFA harmonisation, which fully kicked in around 2024/2025. Under the old framework, developers could receive up to 10% bonus floor area for balconies that did not count toward their main land cost but could still be sold at full psf prices. This encouraged the construction of larger balconies, which effectively "inflated" unit sizes and lowered headline psf figures.Under the new framework, all strata areas - including balconies and air-conditioner ledges - are counted as part of the Gross Floor Area. If a developer builds a massive balcony today, it directly eats into precious indoor space that could otherwise have gone towards a larger bedroom or living area. The incentive to oversize balconies has therefore diminished significantly.At the same time, psf pressure has intensified. In 2026, with OCR prices averaging around $2,300 to $2,500 psf, buyers have become extremely sensitive to perceived wastage. At $2,500 psf, 150 sq ft of balcony space represents a substantial allocation of capital. Most Singaporeans would rather allocate that $375,000 towards a study room, a larger master suite or expanded living space than a theoretical alfresco dining area they are unlikely to use regularly due to humidity.There is also the practical issue of heat. Singapore's afternoon sun has only become more intense in recent years, and many owners of older units with expansive balconies discovered that these spaces were largely unusable between late morning and early evening. Instead of becoming lifestyle extensions, they functioned more as thermal buffers.The shift: Slimmer, smarter balcony profiles The result is a move towards slimmer balcony designs, including Juliet-style configurations or the minimum 1.5m depth required by URA guidelines. These provide ventilation and functional space for laundry without compromising valuable air-conditioned square footage.In a market where every square foot carries significant cost, "less but usable" is outperforming "large but theoretical."The Bigger Pattern Across all five shifts, one conclusion is difficult to ignore: Singapore's property market has matured. Access to data, tighter policy frameworks, and higher absolute prices have collectively made buyers more disciplined.Buyers are no longer seduced by novelty or superficial space. They are evaluating layout decisions through the lens of resale depth, flexibility and long-term defensibility. Every corridor, balcony and partition is weighed against its contribution to future optionality.Layouts that preserve demand breadth tend to preserve value. Homes designed around efficiency are easier to refinance, easier to exit and easier to adapt as life stages change.The disappearing features in this article are not design accidents - they are market corrections.In 2026, efficiency is not a trend. It is the foundation of sustainable ownership. Views expressed in this article belong to the writer(s) and do not reflect PropNex's position. No part of this content may be reproduced, distributed, transmitted, displayed, published, or broadcast in any form or by any means without the prior written consent of PropNex. For permission to use, reproduce, or distribute any content, please contact the Corporate Communications department. PropNex reserves the right to modify or update this disclaimer at any time without prior notice.

Resale Landed Market Watch In January 2026

Resale Land Prices stayed tepid with slower market activity in January The landed home resale market got off to a lukewarm start in January owing to the seasonal lull. Based on URA Realis caveat data, about 127 landed homes were transacted on the resale market in January 2026; with a combined transaction value came up to $787 million - compared to December (198 deals valued at $1.29 billion). Upon an analysis of each transaction and their respective gains, most landed deals were profitable. There was a higher proportion of higher priced landed homes being sold compared with the previous month due to the muted sales activity. Based on URA Realis caveat data, about 52.8% of resale landed homes sold in January were priced at $5 million and above, compared with about 44.9% in December. Meanwhile, 47.2% of the resale landed transactions were priced at below $5 million in January - declining from the 55.1% proportion in the previous month. Chart 1: Price range of private resale landed transactions in December 2025 vs January 2026Source: PropNex Research, URA Realis Overall landed home resale prices in January 2026 declined from the previous month, likely due to the seasonal lull and drop in transaction volumes. The overall landed homes resale prices declined by 7.7% month-on-month (MOM) to $1,899 psf; while prices were up by 3.1% compared to a year before. The month-on-month decline in resale landed prices was consistent across the island. Homes in the Core Central Region (CCR) and Outside Central Region (OCR) dropped by 8.2% and 2.8% MOM, respectively. Homes in the Rest of Central Region (RCR), also fell steeply by 20.1% MOM. By property type, semi-detached homes and terraces saw average prices fell by 5.5% MOM and 12.1% MOM respectively in January. (see table 1 below). Table 1: Average Unit Prices ($PSF) of Resale Landed Homes by monthSource: PropNex Research, URA Realis Resale landed homes performance by property type in January 2026 Table 2: Top 3 resale landed transactions by landed property type, in terms of estimated gains*Source: PropNex Research, URA Realis*Gains are derived from the resale transaction for each unit against the unit's last caveated transaction. The gains reflected is gross - it has not accounted for the applicable seller's stamp duties, interest payable, taxes and other relevant divestment costs. **Annualised gain is the compounded annual rate of return which shows the rate of return over the time period between the point of resale and the property's last caveated transaction, expressed in annual percentage terms. The formula for determining this is simply: [(current resale price) / (purchase price)] time period in years-1 Top landed transaction with highest gains (Detached) The top performing detached home transaction and overall landed transaction for the month was for a corner detached home along Grove Drive in District 10 (Bukit Timah) that was sold for $16 million, up by $7.45 million from the last caveat lodged in March 2023 - this reflects an annualised profit of 25.6% after a short holding period of 3 years. The freehold property is situated near Holland Village and has a land area of more than 4,100 sq ft which reflects a unit price of $3,855 psf on land area. Top landed transaction with highest gains (Semi-Detached) The best-performing semi-detached transaction was for the sale of a semi-detached property in Binchang Rise in Bishan (District 20). It was sold for $8 million in January, with its last caveat being lodged in March 1999. The sale price is up by over $6.4 million from the previous caveated price, representing an annualised gain of 6.2% per year over 26 years. The freehold property is situated within the Lauw and Sons Garden landed estate and just within short walking distance to Bishan MRT station. Top landed transaction with highest gains (Terrace House)The best-performing terrace home transaction was for a terrace house along Grove Drive in Bukit Timah (District 10). The freehold property was sold for $10.5 million, reflecting an estimated gain of $7.55 million, representing an annualised gain of 6.9% per year from its last caveat lodged in January 2007, with a holding period of nearly 19 years. If you are looking for high-end homes or good class bungalows in Singapore, contact PropNex's GCB and Prestige Landed department for buying and insights on the landed residential property market.For more property research insights, join PropNex Friends today. 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PropNex shall have no liability for any loss or expense whatsoever, relating to any decisions made by the audience.Views expressed in this article belong to the writer(s) and do not reflect PropNex's position.No part of this content December be reproduced, distributed, transmitted, displayed, published, or broadcast in any form or by any means without the prior written consent of PropNex.For permission to use, reproduce, or distribute any content, please contact the Corporate Communications department. PropNex reserves the right to modify or update this disclaimer at any time without prior notice.All copyrights reserved.