What is the Singapore rental market outlook?

Singapore's URA non-landed private residential rental index stood at 162.5 as of Q2 2026 (base Q1 2009 = 100), up 1.8% year-on-year and 0.4% higher quarter-on-quarter. Private residential vacancy was 6.3% — below the historical average of ~7–8%, indicating tight supply relative to demand. PropKaki's Singapore Rental Market Tracker publishes the full rental index history quarterly from official URA data via data.gov.sg.

Current rental market indicators

Source: Urban Redevelopment Authority (URA) via data.gov.sg. Rental index base: Q1 2009 = 100. PropKaki's Singapore Rental Market Tracker updates these figures each quarter after the URA data release.

Rental index — 8-quarter trend

Source: URA via data.gov.sg. Latest quarter shown first. Base Q1 2009 = 100. This table is the primary data section — it shows whether the rental market is accelerating, plateauing, or softening over the past two years.

What drives Singapore rental market cycles

Singapore's private rental market moves in cycles driven by four main forces:

Supply completions. A surge in new private residential completions adds to available stock. When completions outpace household formation, vacancy rises and rental index growth typically slows or reverses. URA publishes a development pipeline report each quarter — this is the leading indicator for rental supply pressure 12–24 months ahead.

Population and immigration policy. An increase in Employment Pass and S Pass holders directly increases rental demand for private homes. Government adjustments to work pass quotas and foreign talent policy affect rental absorption in the CCR and RCR in particular.

Interest rates and landlord carry costs. Higher SORA rates increase mortgage repayments for leveraged landlords, which can pressure asking rents upward as landlords seek to offset financing costs. Falling rates can reduce this pressure — but also attract more buyers out of the rental market.

HDB resale and subletting dynamics. When HDB resale prices are elevated and buyers cannot immediately find a flat, some remain in the private rental market longer, supporting demand. HDB subletting approval rates also affect how much HDB supply enters the rental market.

PropKaki tracks the rental index and vacancy rate quarterly from URA data. For forward supply pipeline data, refer to URA's development pipeline reports at ura.gov.sg.

Vacancy rate as a leading indicator

Vacancy tends to lead the rental index by 1–2 quarters. When vacancy rises, it signals that supply is beginning to outpace absorption — landlords face more competition, and rental index growth typically slows in subsequent quarters. When vacancy falls, available stock is tightening relative to demand, and rents tend to firm up.

Historically, Singapore's private residential vacancy has averaged around 7–8%. Readings persistently above this level have corresponded with rental softening periods; readings below 6% have corresponded with the sharp rental spikes seen in 2022–2023. Current vacancy is below the historical average of ~7–8%, indicating tight supply relative to demand.

Source: URA via data.gov.sg. PropKaki tracks this quarterly.