If you’ve been keeping an eye on Singapore’s property market, you might have noticed something interesting: more and more young people are snapping up condos. We’re talking 20-somethings—some just out of school—buying private property. It’s a big shift from what we used to see, and it’s worth digging into why this is happening.
What’s Going On?
Singapore is getting older, and as our population ages, wealth is starting to move from the older generation to the younger one. This transfer of wealth is happening faster than before, and it’s a key reason why we’re seeing more young people in the property market.
Many of these young buyers aren’t just buying homes to live in—they’re looking at property as a way to build wealth. For example, take Chen Min. At just 23, she bought a one-bedroom condo in Serangoon. But she’s not living there; she’s renting it out to earn some passive income. It’s a smart move, and she’s not alone in thinking this way.
Why Go Private Instead of Public?
You might wonder why these young folks are choosing private condos over more affordable public flats. The reasons vary. For some, like Diana, a 30-year-old in the real estate industry, it’s about timing. She bought her first condo at 27 because she didn’t want to wait until she was 35 to buy an HDB flat (the minimum age for singles).
For others, like Roy Ng, who bought his condo at 30, it’s a mix of investment goals and a lifelong dream to live in private housing. Private property is attractive because it offers the potential for capital growth and rental income—both important for young people who want to secure their financial future early on.
Rising Incomes and More Options
Another reason for this trend is that incomes are rising. According to a report by ERA Realty, the median income for full-time workers in Singapore has been going up, making it easier for young people to afford private property. Plus, there’s been a bigger supply of condos on the market in recent years, giving buyers more options.
And let’s not forget the delays in Built-to-Order (BTO) flats caused by the pandemic. With BTO flats taking longer to be ready, some young buyers have turned to private condos instead, especially those who want to move in sooner rather than later.
What Does This Mean for the Market?
So, what does this all mean? Well, developers might need to start thinking about the types of properties they’re offering. Smaller, one-bedroom units that are perfect for investment might become more popular. And as more young Singaporeans choose private condos over public housing, we could see shifts in what’s in demand.
As Nicole Lam from TODAY Online pointed out, “Investing in private property is the best way to secure extra income,” especially with housing prices continuing to rise in Singapore.
In the end, it looks like the traditional path of starting with an HDB flat and upgrading later might be changing. With wealth moving to the younger generation and incomes on the rise, more young Singaporeans are jumping into the private property market earlier than ever before.
Singapore’s property market is evolving, and it’s exciting to see where it’s headed. One thing’s for sure: the next generation of property owners is already making their mark.
