Top 5 HDB Towns with Highest Rental Yield (Q2 2025)
As a property agent in Singapore, I’ve witnessed firsthand how smart investors ride market cycles to maximise their returns. With HDB rental yield 2025 on every landlord’s mind, Q2 has delivered some surprising winners. In this deep-dive, I’ll walk you through the best rental HDB towns, share the numbers and calculations behind the yields, and give you actionable insights to stay ahead of the curve.
Why Rental Yield Matters More Than Ever
Gross rental yield—a simple formula of annual rental income divided by purchase price—remains the cornerstone metric for property investors:
In a declining interest rate environment, a yield north of 5% can offset borrowing costs and keep your investment cash-flow positive. Let’s see which HDB towns cracked the 6% mark in Q2 2025.
1. Punggol: The New-Town Dynamo
Why it’s hot: Proximity to new commercial nodes (Punggol Digital District), waterfront living and direct LRT/MRT links.
Numbers: Avg rent S$3,200; median resale S$600,000 → yield 6.40%.
Agent insight: Young families and expats are willing to pay a premium for quality schools and lifestyle amenities here.
2. Jurong West: Affordable Meets Accessible
Why it’s hot: Jurong Lake District expansion, Jurong West extension plan, and excellent transport connectivity.
Numbers: Avg rent S$2,900; median resale S$550,000 → yield 6.33%.
Agent insight: With Jurong’s transformation into Singapore’s second CBD, long-term capital and rental upside is strong.
3. Sengkang: Maturing Estate with Upside
Why it’s hot: Seletar Aerospace Park, new Punggol–Tampines bus corridor, and integrated healthcare campus at Anchorvale.
Numbers: Avg rent S$3,050; median resale S$615,000 → yield 5.95%.
Agent insight: Despite its youth, Sengkang’s infrastructure roll-out is nearly complete—tenants get urban perks without central-area prices.
4. Bukit Batok: Greenery-Laden Value
Why it’s hot: Scenic Bukit Batok Nature Park, Jurong East edge, and evolving food/node clusters.
Numbers: Avg rent S$2,850; median resale S$590,000 → yield 5.80%.
Agent insight: Popular with mid-career couples and downsizers seeking a peaceful locale near nature.
5. Bedok: East-Side Steady Performer
Why it’s hot: Connectivity (East West MRT), Bedok Mall, and proximity to prestigious East Coast schools.
Numbers: Avg rent S$3,150; median resale S$660,000 → yield 5.73%.
Agent insight: Consistent demand from families and small groups; yields are slightly below the top three but very stable.
Putting the Numbers to Work: Your Next Steps
Crunch the cash-flow
Use these yields to model your loan servicing and net returns. Aim for gross yield ≥ 5.5% to cover financing costs comfortably.Inspect with future drivers in mind
Look for upcoming MRT/LRT lines, mixed-use developments, or central-business extensions. These catalysts can boost both rent and capital gains.Position your unit competitively
Opt for at least based on floor level, facing amenity clusters (e.g., near shops, schools), and well-maintained interiors.Engage tenants early
In a tight rental market, good staging and prompt listings can command higher rents and reduce vacancy.
Ready to capture one of these high-yielding HDB flats? Reach out for a free, no-obligation discussion on how these numbers translate into real cash-flow for your portfolio.