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Which area shows more potential, outside central region (OCR) or core central region (CCR)?

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When considering the potential of different regions in the Singapore property market for 2025, here are some key points to note:

Core Central Region (CCR)

  • The CCR is poised for a resurgence due to several factors. The easing of foreign competition, following the increased Additional Buyer’s Stamp Duty (ABSD) rates for non-residents, has narrowed the price gap between CCR and Rest of Central Region (RCR) properties. This makes CCR properties more attractive to local buyers.
  • Several high-profile projects are expected to launch in the CCR, including luxury residential developments like Marina View Residences and mixed-use projects in areas such as Zion Road. These developments will blend residential units with long-stay serviced apartments, appealing to both lifestyle buyers and long-term investors.
  • The CCR's appeal is further enhanced by its prime locations, such as Orchard, Bukit Timah, and Marina Bay, which are synonymous with high-end living and investment.

Outside Central Region (OCR)

  • The OCR, while still a viable option, is expected to see slower rental growth compared to the CCR and RCR. This region tends to appeal more to budget-conscious families and HDB upgraders looking for larger units at relatively lower prices.
  • The OCR does not have the same level of luxury and mixed-use developments as the CCR, and its growth is generally more modest. However, it remains a popular choice for those seeking more affordable housing options outside the central areas.

Conclusion

For investors and buyers looking for high-end living, strong rental yields, and potential for capital appreciation, the Core Central Region (CCR) shows more potential in 2025. The CCR is expected to regain its position as a desirable destination for affluent buyers and investors, driven by new luxury developments and a more favorable pricing environment. However, for those on a budget or seeking larger units at lower prices, the Outside Central Region (OCR) still offers viable options.

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