Knight Frank Commentary | Monthly Developer Sales - May 2026

Knight Frank Commentary | Monthly Developer Sales - May 2026  

There were 447 developer sales (excluding Executive Condominiums (ECs)) in May 2026, 71.1% less than the 1,548 units recorded in April but 43.3% more than the 312 units recorded in May 2025 a year ago. When combined with the 2,013 new sales in Q1 2026 (based on the real estate statistics released by URA), there is an estimated total of 4,008 developer sales in the first five months of 2026.

Based on this momentum, new home sales remain on track to fall between 8,000 to 10,000 units for the entire year. The pace of primary sales was substantially less due to the lack of multiple launches, with Hudson Place Residences being the only project to launch in May. More than anything, the number of fresh units introduced to the market in the form of project launches is directly correlated to whether each month’s tally is robust or dull, influencing buyer behaviour even more so than military conflict and political tensions in the Middle East.

The sole launch of Hudson Place Residences in Media Circle within the one-north business park chalked up the highest sales among available projects with 209 units or 64% of the 327 total. It is expected that in June 2026, developer sales will be less than in May as developers hold off on launches during the June school holidays. Since borders were reopened in 2022, the month of June has not recorded more than 300 new sales between 2023 to 2025.

However, there are more reasons now to be hopeful that the outlook for the private residential market from July will be slightly more optimistic than a month ago. The emergence of a potential peace pathway in the US–Iran conflict could reopen free shipping at the Straits of Hormuz, and thereby stabilise global conditions by easing volatility in energy prices and improving overall business confidence.

At the same time, expectations that the US Federal Reserve may hold off on further rate hikes in 2026 could provide clarity to borrowing costs in the remainder of the year. Against this backdrop, underlying demand for well-located and sensibly priced new launches is likely to remain supported. Households who held back amid uncertainty may be encouraged into a buying decision, with the perception that current prices still offer long-term value. Nevertheless, companies in certain industries have been announcing layoffs recently. And while not yet widespread, should job security be affected by the AI revolution causing unemployment to rise above current stable levels, homebuyer sentiment could be restrained by cautiousness.