Singapore private home prices extended their rally into a ninth year on renewed demand for new apartments, but the boom is slowing.

An index for prices of private residences increased 3.4 percent in 2025 from the previous year, according to preliminary estimates released on Friday by the city-state’s Urban Redevelopment Authority. That marked the smallest annual rise since 2020. Prices rose 0.7 percent on a quarterly basis.

Authorities have introduced numerous measures in recent years to stem a price surge that accelerated during the pandemic. Prices rose as much as 10.6 percent in 2021 before growth slowed to a pace of nearly 4 percent in 2024.

Despite the curbs, local buyers and wealthy immigrants have fueled strong demand for new homes, supported by a sharp decline in interest rates. The buying frenzy has helped the market defy bearish predictions by some analysts.

Private homes play a significant role in Singapore’s residential market, even though it is largely dominated by subsidized government-built public housing. Price movements in both segments are closely intertwined.

Measures introduced last year included increasing stamp duty for those selling homes within a few years.

Final home price data for the last quarter will be released on Jan 23.