Year-End Rebound: December Private Home Rental Volume and Rents Both Rise

Private Home Rental Market Rebounds as Year-End Rents and Volumes Pick Up in Tandem

Following two consecutive months of moderation, Singapore's private home rental market staged a noticeable rebound in December. The latest data reveals that rental volume and overall rents climbed in tandem towards the end of the year, signalling a renewed consolidation of leasing demand.

According to flash estimates, 6,005 non-landed private residential units were leased in December 2025, marking a 13.4% increase from 5,295 units in November. Over the same period, overall private residential rents edged up 0.2% month-on-month (MoM).

On a year-on-year (YoY) basis, leasing volume rose by 2.4%, although it remained slightly below the five-year average for the month, reflecting that while the market has picked up, overall sentiment remains measured and rational.

Year-End Rebound a "Seasonal Norm" Driven by Returning Expatriates and Students

The recovery in private residential leasing demand in December is a characteristic seasonal trend.

On one hand, numerous expatriates relocate to Singapore before the year closes in preparation for a January start; on the other hand, student tenants typically finalise their accommodation arrangements before the new academic semester commences. Concurrently, corporate relocations and employee transfers executed towards year-end have also bolstered short-term rental demand.

Mass-Market Condos Most Popular, Core Central Region Rents See Modest Uplift

Examining the transaction breakdown, mass-market private homes remained the top choice for tenants, accounting for 38.6% of total market transactions in December. Mid-tier and prime luxury homes accounted for 32.5% and 28.9% of transactions respectively, showing a well-balanced spread across market segments.

In terms of rental price movements, performance varied across regions. Prime private homes in the Core Central Region (CCR) recorded a 0.2% MoM increase in rents, while mass-market private residential rents in the Outside Central Region (OCR) also edged up by 0.1%. In contrast, mid-tier private home rents in the Rest of Central Region (RCR) dipped slightly by 0.1%.

On a YoY basis, overall non-landed private residential rents rose by 1.6% over the past year. Prime CCR homes led the gains with a 2.1% increase, while rents for mid-tier (RCR) and mass-market (OCR) homes rose by 1.1% and 1.3% YoY respectively.

HDB Rental Market Holds Steady, Three-Room Flat Rents Soften Slightly

The Housing & Development Board (HDB) rental market remained largely stable. In December, HDB rental volume rose 12.9% MoM, with 2,768 flats leased out.

Overall HDB rents ticked up slightly by 0.1% MoM. Mature estate rents grew by 0.4% MoM, whereas non-mature estates held flat. By room type, rents for 4-room, 5-room, and executive flats rose between 0.1% and 1.4%, with 3-room flats being the sole segment to slip, down 0.2%.

Compared to the same period the previous year, overall HDB rents climbed 1.5% YoY, with mature and non-mature estates recording increases of 2.1% and 0.9% respectively.

Sustained Absorption of Public Housing Rental Demand Underpins Market Resilience

The December bounce in HDB leasing volume was partly driven by the completion of deferred November transactions, as well as families moving towards the year-end and interim rental demand from home buyers waiting for their new flats to be completed.

Notably, HDB rental volumes came in 2.9% above the five-year average for the month. This indicates that the public housing rental market continues to absorb demand that might otherwise have flowed into private rentals, helping cushion wider rental market volatility.

Key Takeaways from December Rental Data

Overall, Singapore's rental market in December 2025 exhibited a healthy trend of "volume recovery accompanied by moderate rental growth". Across both private residential properties and HDB flats, demand is underpinned primarily by genuine housing needs and structural relocations rather than short-term speculation.

Supported by steady expatriate arrivals, student demand, and ongoing household relocations, the rental market is expected to maintain a relatively stable trajectory, though rental growth will likely remain moderate.