Are Loss-Making Deals Making a Comeback?

Loss-making private home resale transactions in Singapore inched up again in Q3 2025, marking the second straight quarter of increase.

Data from Cushman & Wakefield showed that 3.8 per cent of all resale deals ended in the red, up from 3.2 per cent in Q2.

That’s the highest quarterly count (108 deals) since Q3 2022 though still far below the pandemic-era peak of 21.8 per cent in mid-2020, when the circuit breaker sent shockwaves through the market.

👉 Rozi’s Field Notes:
Sometimes, a small uptick isn’t panic, it’s perspective. When markets cool slightly, it’s often just the system catching its breath.

What’s Behind the Rising Losses?

Analysts link the mild increase to economic uncertainty and owners choosing to divest early to free up capital.
Even then, the proportion of loss-making deals is modest compared with overall volumes.

Wong Xian Yang of Cushman & Wakefield noted that prices have still risen 3.1 per cent year-to-date, underpinned by strong upgrader demand, healthy household balance sheets, and low unemployment.

The advice? Buyers should stay prudent even in a resilient market, record-high prices mean contingency planning matters more than ever.

👉 Rozi’s Field Notes:
Every market cycle has two stories, one of optimism, another of caution. Right now, both coexist.

The key is preparation over prediction.
If you’re upgrading or restructuring, make sure your financing and exit timelines are mapped out. You don’t need to fear the cycle. You just need to understand your position within it.

Where Did Owners Lose the Most?

The biggest loss by dollar value came from a 2,379 sq ft unit at Marina Bay Residences, sold for S$5.1 million, a S$3.2 million loss from its 2022 purchase price of S$8.3 million. Holding period: 3.2 years. Annualised loss: 14.2 per cent.

The sharpest percentage loss came from The Scotts Tower, where an 872 sq ft unit sold for S$1.8 million, nearly half its original 2013 price. Holding period: 12.4 years. Annualised loss: 5.1 per cent.

Notably, 62 per cent of all loss-making deals occurred in the Core Central Region (CCR), Singapore’s most prestigious and volatile district.

👉 Rozi’s Field Notes:
Even prime addresses can burn a hole if timing and intent don’t align.
If your holding power is short-term or your entry was at peak sentiment, consider repositioning early rather than riding the wave down. Remember: luxury is not immunity. It’s just higher-priced exposure.

Who Walked Away Smiling?

Not all news was gloomy. In Q3, profitable resales still dominated the market.

At Boulevard 88, a 2,777 sq ft unit fetched S$13 million, earning its seller a S$3.1 million gain over six years 4.6 per cent annualised profit.

Meanwhile, executive condominiums (ECs) once again outperformed.
A unit at Hundred Palms Residences sold for S$2.5 million, doubling its original 2017 price and delivering a 134 per cent gain over 8.2 years.

Even non-EC suburban condos shone like Parc Palais in Bukit Batok, where a unit doubled in value from S$1 million to S$2.2 million, clocking an 8.7 per cent annualised return.

👉 Rozi’s Field Notes:
Time and patience remain undefeated in property wealth.
ECs, in particular, continue to be quiet heroes, affordable entry, controlled supply, and strong post-MOP capital growth.

If you missed that wave, don’t despair. There are still ways to structure your progression for similar upside. The key is knowing when to enter and more importantly, why.

So… Is This the Start of a Downturn?

Not quite.
Analysts expect loss-making deals to remain low unless new cooling measures or economic shocks derail demand.

Singapore’s private housing market remains anchored by strong fundamentals, a steady upgrader base, low jobless rates, and disciplined lending rules.

But as prices hit new highs, the market is also entering a more mature, selective phase.

👉 Rozi’s Field Notes:
We’re not in danger territory, we’re in the discernment phase.
Buyers are wiser, sellers more strategic.

If you’ve held your property for a few years, now’s a good time for a Property Health Check. Assess your current equity, CPF exposure, and timeline for the next chapter. Because the best time to plan your exit is before you need one.