Landed Home Sales Surge 78.3% YoY in 4Q 2024: A Closer Look at the Market Dynamics

The landed home market in Singapore experienced a significant surge in sales in the fourth quarter of 2024, with a year-on-year increase of 78.3%. This remarkable growth can be attributed to a combination of factors, including interest rate cuts, price corrections, and steady demand. In this article, we will delve into the market dynamics that drove this surge and explore the implications for both buyers and sellers.



Interest rate cuts and price corrections in the previous quarter played a crucial role in stimulating demand for landed homes. The recent cuts in interest rates have made mortgage repayments more affordable for homebuyers, encouraging them to return to the market. Additionally, the price corrections in the previous quarter made landed homes more affordable, attracting buyers who were previously priced out of the market. This combination of factors led to a significant increase in transaction volume, with the overall number of landed home transactions in 2024 reaching 1,574 units, representing a 34.4% increase compared to 2023.

The strong demand for landed homes has led to firm prices in Q4 2024, with the average price per square foot (psf) on land increasing slightly to $1,944, compared to $1,924 in Q3 2024. Over the full year, landed home prices increased by 3.1% YoY to $1,922 psf. This price increase, coupled with interest rate cuts, has created a favorable market dynamic for landed home buyers and sellers.

However, it is essential to consider the potential impact of the decline in HDB upgraders purchasing landed homes on the market. According to Huttons' report, the share of HDB upgraders among landed home buyers dropped from 20.4% in 2020 to 13.7% in 2024. This trend can be attributed to several factors, such as the increased affordability of landed homes, the availability of alternative housing options, and the changing preferences of buyers. The reduced demand from HDB upgraders may lead to a shift in the composition of landed home buyers, influencing the types of properties in demand and the pricing strategies employed by sellers and developers.

In conclusion, the landed home market in Singapore experienced a significant surge in sales in the fourth quarter of 2024, driven by interest rate cuts, price corrections, and steady demand. While this trend is positive for the market, it is essential to consider the potential impact of the decline in HDB upgraders purchasing landed homes. As the market continues to evolve, buyers and sellers should remain informed about the latest trends and dynamics to make well-informed decisions.