THE surge in Singapore housing rents to record highs in 2023 is starting to ease, but rents are unlikely to fall back to pre-pandemic levels anytime soon.

Slower leasing demand and tenant resistance to peak pricing, coupled with a spike in supply from record home completions, will put downward pressure on rents, analysts said. Landlords, however, are unlikely to back down by much as their costs remain elevated.

Private residential rents are up 11.1 per cent in the first nine months of 2023, after jumping 29.7 per cent in 2022, according to the Urban Redevelopment Authority’s rental index. The 2022 surge added to a 9.9 per cent rise in 2021.