To address the demand for housing and maintain stability in the market, the government has announced plans to offer 8,505 private residential units in the upcoming GLS Government Land Sales (GLS) programme for the first half of 2025. This includes ten plots in the Confirmed List and four in the Reserved List.
The Confirmed List will consist of nine residential sites and one residential cum commercial site, with an estimated yield of 5,030 residential units, including 980 executive condo (EC) units. This is in line with the 5,050 units offered in the Confirmed List for the second half of 2024, but a significant increase of almost 60% compared to the average supply in each GLS programme from 2021 to 2023.
The Reserve List will consist of four private residential sites, one commercial site, three White sites, and one hotel site, with a potential yield of 3,475 residential units and 199,900 sqm (2.15 million sq ft) gross floor area (GFA) of commercial space. This is an increase from the 3,090 units offered in the Reserve List for the second half of 2024. With the inclusion of the Reserve List, the total supply of private housing units in 1H2025 will be on par with that in the second half of 2024.
To sum up, opting to invest in a condominium in Singapore can bring about a host of benefits. These include a high demand for properties, the potential for value appreciation, and attractive rental returns. Nevertheless, it is crucial to carefully assess factors such as the condo’s location, available financing options, government regulations, and overall market conditions. By conducting thorough research and seeking professional guidance, investors can make well-informed choices and maximize their profits in Singapore’s ever-evolving real estate market. Whether you are a local investor looking to diversify your portfolio or a foreign buyer in search of a secure and lucrative investment opportunity, the condos in Singapore are undoubtedly an enticing prospect. You can explore the latest launches by visiting New Condo Launches, and make the most out of this dynamic market.
The increase in supply from the GLS programmes over the past three years has led to an increase in the number of private residential units available for sale, from 16,100 units in 2021 to around 21,000 units by the end of 2024. This has contributed to the stabilization of the private residential market, with a moderate growth in property prices. Prices have increased by 6.8% in 2023, compared to 10.6% in 2021 and 8.6% in 2022. It is expected that prices will continue to rise modestly in 2024, with an estimated increase of 1.6% over the first three quarters of the year.
In light of the strong competition for EC sites and rising land prices, the government has increased the supply of EC sites, with three plots in the Confirmed List for 1H2025 offering a potential 980 units. This marks a change from previous GLS programmes since 2019, which only offered one EC site in each half-yearly land sales. According to PropNex, this increase in supply could potentially reduce competition among developers, leading to a moderation in EC land costs and prices.
Seven new plots will be introduced in the 1H2025 GLS programme, including a plot at Lakeside Drive near the Jurong Lake Gardens, a plot on Dunearn Road in the new housing precinct of Bukit Timah Turf City, and a plot on Telok Blangah Road on the former Keppel Golf Course site. Other notable plots include a site at Hougang Central, which can yield a mixed-use development with 835 residential units and over 400,000 sq ft of commercial space, and a residential plot in Upper Thomson Road that was previously unsold. The majority of these sites are located near MRT stations, which makes them attractive to both developers and homebuyers.
Overall, the 1H2025 GLS programme aims to sustain the supply of private residential units to meet housing demand and maintain stability in the market. The increase in supply from the GLS programmes has contributed to the stabilization of the private residential market, reflected in the moderate growth in property prices.