Singapore REITs (S-REITs) have had a tough few years. Rising interest rates, global uncertainty, and sector-specific shocks have all weighed on prices and payouts. But with 2025 shaping up to be a turning point, is it finally time to hunt for yield in S-REITs again?
Let’s dive in, sector by sector, with updated numbers, simple charts, and practical takeaways for your portfolio.
The Big Picture: S-REITs in 2025
After a rough 2024, S-REITs are showing signs of stabilizing. Share prices are down about 12% from their highs, and the sector now trades at a forward price-to-book ratio of just 0.80x-well below the 8-year average of 0.98x. The average trailing twelve-month yield sits at 6.3%, with many names offering even higher payouts.
Interest rates in Singapore have started to ease, and the US Federal Reserve is expected to cut rates later this year. Lower rates mean lower borrowing costs for REITs, which should eventually boost their distribution per unit (DPU). Analysts expect DPU growth of …
