2Q 2025 Landed Report: Price Surge as Landed Homebuying Demand Holds Firm

Landed homes reported a second quarter of price increase as the number of landed homes sold held firm in 2Q 2025. The Landed Property Price Index rose 2.2% quarter-on-quarter (q-o-q) in 2Q 2025, while landed homes transactions fell by a marginal 1.6% in the quarter.

The recent run-up in non-landed prices has supported upgrader demand for landed homes. However, higher replacement costs have led landed owners to raise asking prices. This has consequently led to a price impasse between buyers and sellers.

Landed Property Price Index and Transactions

The Landed Property Price Index reported a growth of 2.2% q-o-q in 2Q 2025. However, this was still a 1.0% decline year-on-year (y-o-y).

Meanwhile, landed property transactions declined by 1.6% q-o-q and 8.7% y-o-y to 429 units in 2Q 2025. This could be attributed to higher prices of landed homes, which had priced out some condominium upgraders, and those ‘upgrading’ to a more central location.

Previously, the increase in landed home transactions was mainly driven by upgraders’ demand, especially for homes priced below $5 million. Since the start of 2023, non-landed private home prices have risen by 12.9%. This has enabled many condominium owners to realise profit, supporting their desire to upgrade to a landed property.

Supported by strong demand, landed home prices have increased over the years, raising the cost of replacement homes for landed homeowners. Consequently, many sellers have increased their asking prices, leading to a deadlock between both parties. As a result, the higher landed home prices have caused some resistance as they remain out of reach for some potential upgraders.

Chart 1: Landed Property Price Index and Transactions

Source: URA as of 31 July 2025, ERA Research and Market Intelligence

Price Quantum

About 58% or 239 units of the landed homes transacted in 2Q 2025 were priced under $5 million. Most homes transacted (52.4% or 225 units) were in the $2.5-$5 mil price range, up from 51.2% or 216 units in 1Q 2025. This price bracket remains a comfortable upgrade for the majority of the condo upgraders and continues to represent the highest proportion of landed home transactions.  

In contrast, transactions for landed homes priced at $5 million and above dropped to 45.9% (190 units) in 2Q 2025, down from 49.3% (216 units) in the previous quarter.

Although landed homes sold above $10 million decreased from 48 transactions in 1Q 2025 to 39 transactions in 2Q 2025, this was mainly due to a lack of limited listings in the market. 

Chart 2: Price Quantum 1Q 2025 versus 2Q 2025

Source: URA, ERA Research and Market Intelligence

Type of Properties

Overall, the number of Terrace Houses sold island-wide saw a more significant 7.2% increase q-o-q to 298 transactions. This rise was primarily seen in the Rest of Central Region (RCR) and Outside Central region, and was mainly supported by condo upgraders.

However, transaction volumes for semi-detached and detached homes island-wide fell by 11.4% and 13.5% q-o-q, respectively. Amid rising prices, some buyers are being priced out and are staying on the sidelines or opting to scale down their upgrading plans to smaller homes or properties in less central locations.

The highest-priced deal in 2Q 2025 was a Good Class Bungalow (GCB) located at 12 Joan Road. This 39,277 sqft freehold residence was reportedly sold to the sons of Koufu Group founders Pang Lim and Ng Hoon Tien for $58.0 million. Another GCB in Peirce Hill, owned by the wife of failed Three Arrows Capital (3AC) co-founder Kyle Davies, was also sold for $37.0 million. She had previously bought the bungalow for $28.8 million in 2021.

Table 1: Transaction Volume and Median Price by Landed Property Type/Market Segment

Source: URA as of 4 August 2025, ERA Research and Market Intelligence

Purchasers Address Indicator

Amid rising landed housing prices, the proportion of HDB owners upgrading to landed properties continues to decline further. In 1H 2025, just 11% of landed home buyers have an HDB address. This marks a further decrease from 14% observed in 2024 and 16% in 2023. Although HDB resale prices have increased for the 24th consecutive quarter, upgrading to landed homes remains more difficult due to their significantly higher starting prices.

Chart 3: Landed home buyer profile

Source: URA as of 4 August 2025, ERA Research and Market Intelligence

In Conclusion

Overall demand for landed homes has held steady, but the sales momentum varies across different price segments due to various underlying factors.

Landed homes priced below $5 million continue to be supported by condo upgraders, although buyers are showing price resistance as sellers increase asking prices amid higher costs for replacement homes. The lower-priced landed homes are expected to remain resilient, as condo prices are projected to stay stable in the medium term, barring any unforeseen shocks. Meanwhile, sales of $5–$10 million landed homes have been affected, as buyers are generally existing landed owners who need to sell before upgrading.

Meanwhile, the demand for homes priced $ 10 million and above is less price sensitive but highly selective, preferring to wait for a suitable home that matches their specifications.

In 1H 2025, 865 landed homes changed hands, with prices up 2.6% from 4Q 2024. For the whole of 2025, ERA forecasts a 3-5% and an estimated 1,500 to 1,800 landed transactions.