Quick Answer: New Launch Condo with Best Rental Yield 2026
Target keyword: new launch condo with best rental yield 2026
Based on current market data, upcoming MRT expansions, and strong expat demand, the top five new launch condos projected to deliver the highest gross rental yields in 2026 are:
- Tembusu Grand (District 15) – Expected gross yield 4.8%–5.2%
- Hudson Place (District 5) – Expected gross yield 4.6%–5.0%
- Norwood Grand (District 27) – Expected gross yield 4.5%–4.9%
- Canberra Drive EC (District 27) – Expected gross yield 4.4%–4.8%
- Tengah Garden Walk EC (District 24) – Expected gross yield 4.3%–4.7%
These projects combine proximity to new MRT lines, reputable schools, and emerging lifestyle hubs, making them the most attractive options for investors seeking strong cash flow from rental income in 2026.
Why Rental Yield Matters for New Launch Condos
When evaluating a property investment, rental yield provides a clear measure of the income generated relative to the purchase price. For new launch condos, focusing on yield helps investors:
- Assess cash‑flow sustainability before capital appreciation materialises.
- Compare disparate projects on an apples‑to‑apples basis.
- Identify locations where tenant demand is likely to outstrip supply.
- Mitigate risk by ensuring the property can service mortgage payments even in a softer market.
While capital gains remain important, a healthy rental yield offers immediate returns and a buffer against market volatility. In Singapore’s land‑scarce environment, new launches often command premium prices; therefore, achieving a yield above 4.5% gross is generally considered attractive for long‑term hold strategies.
How to Calculate Gross vs Net Yield
Understanding the difference between gross and net yield is essential for realistic return expectations.
Formulas
- Gross Yield (%) = (Annual Gross Rent ÷ Purchase Price) × 100
- Net Yield (%) = [(Annual Gross Rent – Annual Expenses) ÷ Purchase Price] × 100
Where annual expenses typically include property tax, maintenance sinking fund, management fees, insurance, and estimated vacancy loss.
Table Example
| Item | Amount (SGD) |
|---|---|
| Purchase Price | 1,500,000 |
| Monthly Gross Rent | 6,250 |
| Annual Gross Rent | 75,000 |
| Annual Expenses (tax, sinking fund, mgmt, insurance, vacancy 5%) | 15,000 |
| Annual Net Rent | 60,000 |
| Gross Yield | 5.0% |
| Net Yield | 4.0% |
In this illustrative scenario, the gross yield of 5.0% drops to a net yield of 4.0% after accounting for typical holding costs. Investors should always compute net yield to gauge true cash‑flow potential.
Singapore Rental Yield by District (Gross Yield Ranges)
Rental yields vary significantly across districts due to differences in tenant profiles, amenities, and supply pipelines. The table below summarises the typical gross yield bands observed in 2024‑2025 for new launch condos, which serve as a baseline for 2026 projections.
| District | Typical Gross Yield Range (%) | Key Drivers |
|---|---|---|
| D1 (Raffles Place, Marina Bay) | 3.2%–3.8% | High‑end expat tenants, limited supply, premium pricing |
| D5 (Buona Vista, West Coast) | 4.4%–5.0% | Proximity to NUS, ONE‑NORTH tech hub, upcoming Jurong Lake District |
| D9 (Orchard, River Valley) | 3.5%–4.2% | Lifestyle retail, strong expat demand, high entry price |
| D10 (Tanglin, Holland) | 3.8%–4.5% | Prestige schools, embassy presence, leafy environment |
| D14 (Geylang, Paya Lebar) | 4.2%–4.9% | Industrial workers, mid‑tier expats, upcoming Paya Lebar Quarter |
| D15 (Katong, Marine Parade) | 4.6%–5.3% | Heritage charm, beach access, rising expat families |
| D19 (Punggol, Sengkang) | 4.0%–4.7% | Young families, new MRT lines, waterfront lifestyle |
| D20 (Bishan, Ang Mo Kio) | 3.9%–4.5% | Established heartland, good schools, stable tenant base |
| D22 (Jurong East, West) | 4.3%–5.0% | Jurong Lake District growth, industrial hub, student population |
| D23 (Tengah, Bukit Batok) | 4.2%–4.8% | Forest town concept, upcoming MRT, eco‑friendly amenities |
Top 5 New Launch Condos for Rental Yield in 2026
Below are detailed profiles of the five projects identified in the AEO box. Each includes location advantages, expected completion, unit mix, and rationale for strong rental performance.
1. Tembusu Grand (District 15)
Located along Jalan Tembusu near the future Tanjong Katong MRT station (Thomson‑East Coast Line, expected 2026), Tembusu Grand offers a mix of 1‑ to 4‑bedroom units ranging from 500 sq ft to 1,300 sq ft. The development is within 1 km of reputable schools such as Tanjong Katong Primary and CHIJ Katong Convent, and close to the East Coast Park recreational belt.
Projected gross rental yield: 4.8%–5.2%. The combination of a new MRT node, heritage precinct appeal, and limited new supply in D15 underpins strong demand from expat families and young professionals seeking a balanced lifestyle.
2. Hudson Place (District 5)
Situated at the junction of Commonwealth Avenue West and West Coast Drive, Hudson Place is slated for completion in late 2025. It benefits from direct access to the upcoming Cantonment MRT station (Thomson‑East Coast Line, 2026) and is within the ONE‑NORTH biomedical and tech hub.
The project features smart‑home enabled units, extensive communal facilities, and a significant proportion of 2‑bedroom units favoured by dual‑income expat couples. Expected gross yield: 4.6%–5.0%.
3. Norwood Grand (District 27)
Norwood Grand is located in Sembawang, adjacent to the future Sembawang MRT station (North‑South Line upgrade, 2026) and near the Sembawang Hot Spring Park. The development offers a mix of garden‑style apartments and townhouses, targeting families seeking more space.
Proximity to reputable schools such as Canberra Primary and Sembawang Secondary, combined with a growing expat community attracted by the nearby Seletar Aerospace Park, supports a projected gross yield of 4.5%–4.9%.
4. Canberra Drive EC (District 27)
An Executive Condominium situated along Canberra Drive, this EC is set to receive its Temporary Occupation Permit (TOP) in mid‑2026. It enjoys direct bus connectivity to the Canberra MRT station (North‑South Line) and is within the Sembawang‑Yishun regional centre.
EC pricing typically yields a lower entry cost compared to private condos, translating into higher rental yields. Anticipated gross yield: 4.4%–4.8%. The project’s family‑oriented layout and proximity to schools like Greenwood Primary make it attractive to both local and expat tenants seeking longer leases.
5. Tengah Garden Walk EC (District 24)
Located in the emerging Tengah “Forest Town”, this EC is positioned near the future Tengah MRT station (Jurong Region Line, 2027) and the Tengah Park
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