For a lot of Singaporeans, shopping for your first house is each a ceremony of passage and a serious monetary milestone. However as costs shift and the housing panorama evolves, one query retains resurfacing—do you have to go for a spanking new condominium, or go for a well-located resale unit with speedy occupancy?
This complete take a look at condominium worth developments compares each markets and helps first-time dwelling patrons perceive what’s driving the present divide within the Singapore property market.
What’s Fuelling the Value Divide?
The hole between new launch condominium costs and resale condominium costs isn’t nearly age. A number of forces are pulling the 2 markets in numerous instructions:
Developer methods: Builders worth new launches with future appreciation in thoughts, usually beginning excessive and growing costs in phases.
Development and land prices: Hovering materials prices and aggressive bids in Authorities Land Gross sales (GLS) have pushed up launch costs.
Purchaser preferences: Many locals nonetheless affiliate new launches with status, smarter layouts, and upgraded services, driving demand regardless of greater prices.
Coverage and planning: Cooling measures and Extra Purchaser’s Stamp Duties have reshaped shopping for patterns and expectations.
In the meantime, the affect on the brand new and resale condominium market is obvious—new launches dominate headlines, however resale properties are quietly gaining floor due to cheaper price per sq. foot (psf) charges and bigger layouts.
Value Per Sq. Foot: What Are You Actually Paying For?
Latest knowledge exhibits a widening hole in psf. New condominium costs common round $2,300 psf in central areas, whereas resale items hover nearer to $1,700 psf in the identical zones.
However right here’s the place nuance issues:
New condos supply longer leaseholds and fashionable facilities—however smaller unit sizes.
Resale leasehold initiatives usually sit on prime plots, are extra spacious, and have already got established transport hyperlinks.
Consumers might discover that whereas new items are shinier, resale ones present higher worth per greenback—particularly for households prioritising area over status.
In case you’re utilizing a primary time dwelling patrons information, be certain it consists of side-by-side comparisons of psf vs usable space. You may discover that the shiny new unit is smaller than your present HDB flat.
The Emotional Enchantment of New Launches
Why do patrons nonetheless gravitate towards new launches, even when the numbers don’t at all times add up?
Modernity: Good properties, branded fittings, infinity swimming pools, and co-working areas.
Progressive fee scheme: This construction permits patrons to pay in phases, which eases short-term monetary pressure.
Longer tenure: Shopping for right into a contemporary 99-year and even freehold improvement maximises possession longevity.
Model fairness: Builders usually hype up the “unique” way of life—a strong draw for status-conscious patrons.
For a lot of, particularly these shopping for your first dwelling, these options supply emotional reassurance that the premium is price it. However it’s essential to steadiness pleasure with logic—particularly if you’re signing a 25-year mortgage.
The Hidden Prices Behind the Glamour
The true problem with new launches? The prices that don’t present up on brochures:
Delayed gratification: Most new initiatives take 3–4 years to finish. You’re paying as we speak’s worth for tomorrow’s dwelling, which can or might not align with future market situations.
Renovation dangers: Some patrons are dissatisfied by workmanship, prompting additional spending post-handover.
Holding prices: In case you’re already residing elsewhere or servicing one other mortgage, double monetary commitments could be draining.
Briefly, whereas new launch condominium costs embrace bells and whistles, in addition they carry hidden commitments.
Resale Condos: The Underrated Contender
Whereas much less flashy, resale condominium costs have gotten more and more enticing. Right here’s why extra patrons are contemplating them:
Transfer-in prepared: No want to attend years—you may lease it out or reside in it immediately.
Greater floorplans: Older condos usually supply higher space-to-price ratios.
Established neighbourhoods: Resale items are usually situated close to matured facilities like MRTs, faculties,and malls.
Savvy traders know that whereas new launches might supply appreciation, resale items ship prompt utility and, in some circumstances, higher rental yield.
What About Leasehold Decay?
One concern amongst cautious patrons is the leasehold erosion in older resale items. Certainly, resale leasehold initiatives previous the 30-year mark do see a dip in valuation.
However not all resale condos are ageing relics. Many are solely 10–20 years outdated, which means they nonetheless have sturdy resale and rental worth, particularly if well-maintained and situated close to key infrastructure.
It’s about weighing trade-offs. In case you’re planning to carry the property for five–10 years, a well-priced 70-year leasehold might nonetheless outperform a expensive new launch on ROI.
The place is the Value Hole Narrowing?
The Singapore property market is just not uniform. Regional variations are blurring the value divide:
Outdoors Central Area (OCR): Right here, new launches are nonetheless comparatively inexpensive, which narrows the hole with resale items.
Remainder of Central Area (RCR): Resale condos in city-fringe places are seeing worth bumps due to their proximity to CBD-lite hubs.
Core Central Area (CCR): This stays the priciest, with resale items commanding excessive costs,particularly these in freehold developments.
For first time dwelling patrons, wanting in RCR and OCR might supply the perfect center floor between worth, area, and accessibility.
How Curiosity Charges Are Shaping Condominium Choices
With rates of interest lastly easing, many are eyeing the property market as soon as once more. Decrease dwelling mortgage financial institution rates of interest and aggressive property mortgage rates of interest are boosting affordability. However don’t get complacent—your Singapore dwelling mortgage nonetheless wants cautious planning.
In case you’re contemplating a condominium buy in 2025:
Get an IPA mortgage accredited early—it exhibits your finances and boosts your negotiation power.
Use the speed cuts to your benefit, however keep away from overleveraging.
Keep in mind that even with higher charges, mortgage for property buy is a long-term dedication—plan for rising prices, not simply entry prices.
Ultimate Ideas
Selecting between a brand new launch and a resale condominium within the Singapore property market is never a simple determination. It relies upon not solely on finances and way of life preferences but additionally on the way you view the long-term worth of your buy. Whether or not you’re aiming on your dream way of life or a secure funding, understanding condominium worth developments and aligning them together with your wants will make sure that your property journey begins on stable floor.
Whichever route you select, observe this golden rule: Don’t let hype cloud your judgement. Use knowledge, seek the advice of specialists and at all times align the property together with your long-term monetary targets. Let this information be your anchor—not simply one other want checklist.
Writer Bio:
Paul Grewal is a seasoned dwelling mortgage advisor based mostly in Singapore, famend for his strategic finesse and deep market insights. With over a decade of expertise, he specialises in serving to shoppers navigate the complexities of property funding and refinancing dwelling loans. Paul’s method is extremely personalised, guaranteeing that his shoppers safe the very best phrases and mortgage mortgage rates of interest in Singapore tailor-made to their distinctive monetary conditions. An avid author, he contributes frequently to main monetary publications, providing recommendation on good property funding and monetary planning. His workshops on monetary literacy are extremely wanted, reflecting his dedication to empowering owners in Singapore. The weblog offers with condominium worth developments in Singapore, providing an in depth comparability between new launch condominium costs and resale condominium costs to assist patrons make knowledgeable property choices.
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