






{"id":43313,"date":"2025-11-05T14:13:36","date_gmt":"2025-11-05T07:13:36","guid":{"rendered":"https:\/\/www.asiapropertyawards.com\/?p=43313"},"modified":"2026-02-05T18:19:29","modified_gmt":"2026-02-05T11:19:29","slug":"tariffs-and-turmoil-test-singapore-homes-as-suburbs-hold-firm","status":"publish","type":"post","link":"https:\/\/www.asiapropertyawards.com\/en\/tariffs-and-turmoil-test-singapore-homes-as-suburbs-hold-firm\/","title":{"rendered":"Tariffs and turmoil test Singapore homes as suburbs hold firm"},"content":{"rendered":"<p>Foreign levies, regional wars, and buyer fatigue are putting pressure on Singapore\u2019s housing market \u2014 though suburban demand and long-term fundamentals offer hope<\/p>\n<figure id=\"attachment_43318\" aria-describedby=\"caption-attachment-43318\" style=\"width: 1000px\" class=\"wp-caption alignnone\"><img decoding=\"async\" class=\"size-full wp-image-43318\" src=\"https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-2291488847-690af6a236092.webp\" alt=\"\" width=\"1000\" height=\"667\" srcset=\"https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-2291488847-690af6a236092.webp 1000w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-2291488847-690af6a236092-400x267.webp 400w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-2291488847-690af6a236092-600x400.webp 600w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-2291488847-690af6a236092-768x512.webp 768w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><figcaption id=\"caption-attachment-43318\" class=\"wp-caption-text\">Singapore\u2019s skyline towers over scarce land and high-stakes housing demand. 2p2play\/Shutterstock<\/figcaption><\/figure>\n<p>It wasn\u2019t long after Donald Trump held up his oversized board of global tariffs in April that the ripple effects were felt in Singapore.<\/p>\n<p>Almost overnight, home views dropped amid concerns that the US president\u2019s 10 percent levy would slow the city-state\u2019s economy.<\/p>\n<p>\u201cMarket sentiment became cautious following Trump\u2019s reciprocal tariffs announcement,\u201d confirms Nai Jia Lee, head of Real Estate Intelligence at PropertyGuru Group.<\/p>\n<p>Though the mood improved in May when Trump announced he would pause the tariffs for 90 days, Singapore\u2019s housing market remains uncertain amid a slowdown since March and ongoing geopolitical tensions.<\/p>\n<p>According to CBRE, 555 new units were launched in March compared to 1,694 in February. At the same time, private new home sales fell 54.4 percent month-on-month to 729 units. It was yet another swing in what has been months of fluctuations.<\/p>\n<p>For the first nine months of 2024, the housing market sank to record lows due to government cooling measures, rising mortgage rates, and buyer fatigue after years of high prices.<\/p>\n<p>But the market rebounded in the last quarter. Developer sales jumped threefold to 3,511 units from 1,160 units in the third quarter and exceeded the 3,049 units sold in the first nine months of the year.<\/p>\n<p>The strong start to this year was driven by families and investors flocking to suburban projects for more affordable housing. Tighter loan rules and higher stamp duties implemented since March have made properties in the city centre less attractive.<\/p>\n<p>Meanwhile, borrowing costs have dropped sharply, partly due to the Singapore dollar\u2019s outperformance against most Asian currencies. The city\u2019s currency is anchored to the Chinese renminbi, which has been kept stable by the People\u2019s Bank of China in the face of China\u2019s trade war with the US.<\/p>\n<p>That allowed buyers to opt for larger homes in the suburbs.<\/p>\n<p>\u201cUnlike before, three- and four-bedroom units are selling quickly at high prices between USD3 million and USD4 million,\u201d adds Nai Jia Lee. \u201cAdditionally, the secondary market has fewer listings compared to last year, resulting in higher prices and slower transactions.\u201d<\/p>\n<p>A new trend of flipping homes also contributed to this year\u2019s early rush. With house prices rising year after year in Singapore\u2019s private housing market, sub-sales have become fashionable.<\/p>\n<p>This is when people sell homes bought at new project launches before the units are completed. Last year, about 1,300 such transactions for condos and other private apartments were officially recorded\u2014the highest annual number in more than a decade.<\/p>\n<figure id=\"attachment_43314\" aria-describedby=\"caption-attachment-43314\" style=\"width: 1000px\" class=\"wp-caption alignnone\"><img decoding=\"async\" class=\"size-full wp-image-43314\" src=\"https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1096213154-690af6a152010.webp\" alt=\"\" width=\"1000\" height=\"667\" srcset=\"https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1096213154-690af6a152010.webp 1000w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1096213154-690af6a152010-400x267.webp 400w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1096213154-690af6a152010-600x400.webp 600w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1096213154-690af6a152010-768x512.webp 768w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><figcaption id=\"caption-attachment-43314\" class=\"wp-caption-text\">The East Coast of Singapore offers lifestyle perks and proximity to Changi Airport. Paer Svensson\/Shutterstock<\/figcaption><\/figure>\n<p>Sales of new private units likely surpassed 3,200 in the first quarter, according to estimates from realtor Huttons Asia\u2014 the highest for that period since 2021.<\/p>\n<p>But that momentum dissipated in March, according to Alan Cheong, executive director of research at Savills Singapore.<\/p>\n<p>\u201cUntil March the take-up had been 80 to 90 percent for new launches,\u201d he says. \u201cSo the market seemed pretty strong until the number of new launches slowed when Trump announced the tariffs.\u201d<\/p>\n<p>In April, developers sold 663 units, even fewer than the 729 sold in March.<\/p>\n<p>Further fuelling anxiety about the future of the economy and house prices are the wars in the Middle East and the threat that Iran might close the Strait of Hormuz\u2014through which a fifth of the world\u2019s oil flows\u2014in retaliation for further American and Israeli attacks.<\/p>\n<p>Both the Middle East conflict and Trump\u2019s tariffs have the potential to drive up inflation, which has remained low until now.<\/p>\n<p>\u201cThe market remains highly volatile due to international events,\u201d adds Cheong. \u201cElevated tensions in the Middle East could lead to increased inflation and, consequently, higher interest rates. Additionally, we have observed such tensions escalate and de-escalate rapidly, contributing to significant market uncertainty. As most stakeholders prepare for adverse scenarios, it is anticipated that many will proceed with caution, while some may pursue opportunistic purchases or investments as a hedge against inflation.\u201d<\/p>\n<p>This could hit one of the most important customer segments of the housing market, says Roy Ling, CEO of FollowTrade, an investment platform.<\/p>\n<blockquote><p>This isn\u2019t a market for gamblers or dreamers. It\u2019s one for strategic thinkers \u2014 those who know that value is shifting, fundamentals rule, and market timing, plus patience, is everything<\/p><\/blockquote>\n<p>Residents who own Housing and Development Board flats and are looking to move into private property\u2014typically a condominium\u2014are \u201cthe lifeblood\u201d of the outer and mid areas of Singapore, says Ling.<\/p>\n<p>These buyers, dubbed HDB upgraders, are being squeezed by soaring price-to-income ratios of more than 14 times.<\/p>\n<p>\u201cThey are running up against the limits of affordability. The upgrade dream is becoming more financially strained for many young Singaporeans,\u201d he says.<\/p>\n<p>Experts say Singapore still has good market fundamentals: low unsold inventory, low unemployment, and a reliable government. But affordability cannot be allowed to stretch further.<\/p>\n<figure id=\"attachment_43316\" aria-describedby=\"caption-attachment-43316\" style=\"width: 1000px\" class=\"wp-caption alignnone\"><img decoding=\"async\" class=\"size-full wp-image-43316\" src=\"https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1538785748-690af6a22270a.webp\" alt=\"\" width=\"1000\" height=\"666\" srcset=\"https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1538785748-690af6a22270a.webp 1000w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1538785748-690af6a22270a-400x266.webp 400w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1538785748-690af6a22270a-600x400.webp 600w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2025\/11\/shutterstock-1538785748-690af6a22270a-768x511.webp 768w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><figcaption id=\"caption-attachment-43316\" class=\"wp-caption-text\">HDB estates dominate Singapore\u2019s suburban skyline but affordability worries persist. Alen thien\/Shutterstock<\/figcaption><\/figure>\n<p>Speaking in April, Prime Minister Lawrence Wong said he would set up a task force to counter the impact of Trump\u2019s tariffs, which would harm Singapore due to its heavy reliance on exports. The task force would support businesses with tax breaks, households with vouchers, and unemployed workers with a cash allowance.<\/p>\n<p>\u201cSingapore may or may not go into a recession this year, but I do not doubt that our growth will be significantly impacted,\u201d he says.<\/p>\n<p>Nai said there could be some upside with the tariffs\u2014notably that the government may invest more in infrastructure to stimulate the economy and asking prices might become more reasonable amid stiffer competition.<\/p>\n<p>\u201cIf the first half of 2025 has taught us anything,\u201d says Ling, \u201cit\u2019s that Singapore\u2019s residential market is in a contemplative, recalibrating phase. This isn\u2019t a market for gamblers or dreamers. It\u2019s one for strategic thinkers\u2014 those who know that value is shifting, fundamentals rule, and market timing, plus patience, is everything.\u201d<\/p>\n<p><em>T<\/em><em>his article was originally published on\u00a0<a href=\"https:\/\/www.asiarealestatesummit.com\/newsroom\/\" target=\"_blank\" rel=\"noopener\">asiarealestatesummit.com<\/a>. Write to our editors at\u00a0<a href=\"mailto:propertyreport@propertyguru.com\" target=\"_blank\" rel=\"nofollow noopener\">propertyreport@propertyguru.com<\/a>.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Foreign levies, regional wars, and buyer fatigue are putting pressure on the city-state\u2019s housing market<\/p>\n","protected":false},"author":9,"featured_media":43318,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[561,97],"tags":[110],"class_list":["post-43313","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-destination","category-magazine","tag-singapore","news_country-singapore","news_author-george-styllis"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Tariffs and turmoil test 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