In a landmark transaction that underscores the resilience of Singapore’s high-end residential market, a two-bedroom unit at The Esta has established a new price record for the development, fetching an impressive $2.38 million on February 26, 2025. The 1,001 square foot apartment, situated in the prestigious District 10, has commanded a record-breaking price per square foot of $2,377, surpassing the previous benchmark of $2,317 psf set just a month earlier in January 2025.
The Esta, a freehold development, continues to demonstrate strong capital appreciation despite the broader market’s measured growth. The seller achieved a substantial profit of $545,000 after purchasing the seventh-floor unit for $1.83 million in March 2021. Prior to this transaction, the most expensive unit sold within the development was a five-bedroom apartment spanning 3,477 square feet on the 21st floor, which changed hands for $6.25 million, translating to $1,798 psf.
This record-setting sale comes amid a steadily strengthening property market, with the Singapore Residential Property Price Index reaching an all-time high of 209.40 points in Q4 2024, up from 204.70 points in the previous quarter. Market analysts attribute this growth partly to Singapore’s attractive tax benefits that continue to draw foreign investors to the luxury property segment. Market analysts note that the index has averaged 89.73 points from 1975 to 2024, highlighting the significant long-term appreciation of Singapore’s real estate.
Several factors continue to influence the upward trajectory of property prices, including robust economic growth, evolving household structures, and technological advancements in real estate. Demographic shifts play an essential role as well, with an increasing number of singles aged 25-34 entering the property market and an aging population affecting housing needs, as Singapore projects that one in four citizens will be 65 or older by 2030. The landed property segment, where The Esta is situated, is particularly valuable due to its limited supply in the Singapore market.
The rental market, meanwhile, has experienced a cooling period following a substantial 60% increase over the past three years, with the island-wide rental index softening by approximately 4% over the last four quarters.
Market projections for 2025 suggest a modest 1-2% increase in the property price index, with high-quality properties in prime locations, such as The Esta, continuing to command premium values despite broader market stabilization.
