Singapore’s residential rental market remained resilient in the second quarter of 2026, with both private residential rents and leasing activity recording modest growth.
For landlords and tenants, the latest figures point to a rental market that is still healthy — but considerably more balanced than during the sharp rental increases seen in earlier years.
So, what does this mean if you own an investment property, are thinking of renting out your home, or are currently looking for a place to rent?
Private Residential Rents Continue to Rise
Private residential rents, including Executive Condominiums (ECs), increased by 0.7% quarter-on-quarter in 2Q 2026, following a 0.3% increase in the first quarter.
Compared with the same period a year ago, rents were 1.7% higher.
The figures suggest that rental growth has not disappeared. Instead, it has settled into a more sustainable pace.
For landlords, this means rental income remains relatively well supported, although setting a realistic asking rent is increasingly important as tenants have more choices.
More Rental Contracts Signed
Leasing activity also improved during the quarter.
A total of 23,239 private residential and EC rental contracts were signed in 2Q 2026, representing a 6.6% increase from the previous quarter and a 4.5% increase from a year earlier.
This brought total leasing transactions for the first half of 2026 to 45,032 contracts, about 3.5% higher than during the same period in 2025.
This is encouraging because it shows that underlying rental demand remains active even as rental growth moderates.
Landed Homes Record the Strongest Rental Growth
Not every segment of the private rental market performed the same way.
Landed residential rents recorded the strongest quarterly increase, rising 2.7% in 2Q 2026.
For non-landed private homes, properties in the Core Central Region (CCR) recorded a 1.2% increase.
Meanwhile, rents in the Rest of Central Region (RCR) remained relatively unchanged, while those in the Outside Central Region (OCR) eased slightly by 0.3%.
For landlords, this highlights an important point: Singapore’s rental market should not be viewed as one single market.
Rental performance can differ significantly depending on location, property type, development, unit size and the tenant profile attracted to a particular area.
More Completed Homes Give Tenants Greater Choice
Another factor influencing the rental market is housing supply.
Some 1,212 private residential and EC units were completed in 2Q 2026, adding more homes to the available housing stock.
The vacancy rate for completed private residential properties, excluding ECs, consequently increased to 6.4% during the quarter.
As more completed units enter the market, tenants may have a wider selection of properties to choose from.
This means landlords may need to pay closer attention to pricing, presentation and the condition of their property to remain competitive.
A well-maintained home that is appropriately priced can stand out considerably when tenants have several comparable units available.
HDB Rental Demand Remains Healthy
The HDB rental market also continued to show resilience.
There were 10,002 approved HDB rental applications in 2Q 2026, representing an increase of 4.9% from the previous quarter.
Four-room flats remained the most actively rented category, accounting for 3,684 approved applications, followed by 3-room flats with 3,274 applications and 5-room flats with 2,244.
Some locations also experienced noticeable rental increases.
For example, median rent for a 4-room flat in the Central area increased from $4,200 to $4,600, while median rent for a 4-room flat in Geylang rose from $3,500 to $3,800 during the quarter.
These differences again demonstrate why landlords should look at recent transactions within their particular town and flat type, rather than relying solely on broad Singapore rental trends.
How Could the Removal of the 15-Month Wait-Out Period Affect Rentals?
One interesting development to watch is the recent removal of the 15-month wait-out period for eligible private property owners purchasing HDB resale flats.
Previously, some private homeowners who sold their properties had to rent during the waiting period before they could purchase a HDB resale flat.
With the removal of this requirement for eligible buyers, some of these homeowners may now proceed directly from their private property to a HDB resale flat.
As a result, one source of interim rental demand could gradually reduce.
However, Singapore’s rental market continues to be supported by other tenant groups, including expatriates and singles, so any impact is likely to vary across different market segments.
What Does This Mean for Landlords?
For landlords, today’s market calls for a slightly different approach.
During a rapidly rising rental market, landlords may have been able to achieve higher rents relatively easily. In a more balanced market, correct pricing becomes increasingly important.
Setting the asking rent too high could result in a longer vacancy period — and the additional rent eventually achieved may not compensate for several weeks without a tenant.
Landlords should therefore consider:
Recent rental transactions • Competing listings • Unit condition • Furnishing • Tenant profile • Lease terms • Vacancy period
Sometimes securing a good tenant promptly at a fair market rent can be more financially beneficial than holding out for the highest possible rental.
What Does This Mean for Tenants?
For tenants, the gradual increase in housing supply and more measured rental growth could provide greater choice and potentially more room for negotiation in certain developments.
But desirable properties — particularly well-maintained units in convenient locations near MRT stations, business hubs, schools and amenities — can still attract strong interest.
Tenants should therefore evaluate the overall value of a property, rather than simply searching for the lowest monthly rent.
Rental Market Outlook for the Rest of 2026
Singapore’s residential rental market is expected to remain resilient for the rest of the year.
Private residential rents are projected to grow approximately 1% to 3% for 2026, with around 88,000 to 93,000 rental transactions expected for the year.
For HDB flats, median rents are projected to increase around 2% to 5%, with approximately 34,000 to 36,000 approved rental applications expected by year-end.
These forecasts suggest that rental demand should remain healthy, although rental growth is likely to be more measured.
