DBS, Singapore’s biggest bank, has a good track record on property forecasts. Back in 2018, they predicted average private condo prices would hit $2,300 to $2,900 per square foot (psf) by 2030. Many people thought it was too high at the time – but now in late 2025, many new launches and upgrader condos are already around or above that level! This shows DBS knows the market well.
Now, in their new Singapore 2040 report, DBS says property prices could rise another 35% to 55% by 2040 (that’s about 2-3% increase per year). Private condo prices might reach $3,500 to $4,050 psf. Great news if you own a home – it could be worth much more!
Key Points
- Why prices keep going up: Population growing to about 6.9 million, more people living alone (smaller families), and big projects making areas better (like new airport terminal and port).
- New homes on the way: Up to 320,000 new homes (HDB and private) to be built, including from places like Paya Lebar Air Base.
- Pay will rise too: Average monthly income could hit around $7,000 by the late 2030s, so homes stay affordable for many.
My Simple Insights
I think DBS might be spot on again. Their old 2030 guess came true faster than expected because of strong jobs, more people moving here, and limited land. A 35-55% rise by 2040 means a normal condo could gain $500,000 to $800,000 in value – big help for owners planning retirement or upgrading!
For new buyers, especially young ones, it might feel tougher at first. But with incomes going up and government watching closely (like adding cooling rules if needed), things should stay balanced. They’ve done it before. Long-term, owning property in Singapore looks like a smart move – steady growth without big crashes.
Source: DBS Bank Report (October 2025) and past reports.
