Why Do Property Agents Always Recommend New Launch Condos? Is It Really About The Money?

A common suspicion among buyers is that realtors will always push new launch properties on them, whether or not it’s suited to their purposes. The assumption is that new launch properties will have higher commissions, because new launches tend to be priced higher, and there are lingering stories of how generous developers are with commissions. The reality, as always, is much more nuanced than this, especially in 2025. Here’s why you keep hearing about new projects from your real estate agent in Singapore:

1. It’s not about higher commissions – at least not anymore

There is some truth that, a few years ago, commissions for new launch properties could be very high. In the years just prior to COVID, for instance, we came across new launches where commissions could reach even three to five per cent; but that has changed in 2025. 

From conversations with property agents, the commissions for new launches today are roughly comparable to the two per cent they’d get for a resale property. This may be a tad higher for tougher-to-sell units towards the end of the selling period, like high quantum four or five-bedders; but the number is often below three per cent. When you factor in the waiting time (it can take over nine months for some developers to pay the commissions), this isn’t much more attractive than resale properties. 

For newer property agents, it might even make the new launches less attractive, as they’ve just gotten started and would struggle with such long waits. 

So while it was true that property agents used to favour new launches for the higher commissions, that’s not as big a factor in the current (2025) market. 

2. Fewer people are selling in 2025

The 2025 market is characterised by a low supply of resale projects. Consider how this would play out when an agent recommends a property:

You’re eyeing a project like Aurea, where you like a 698 sq. ft. two-bedder for $1.965 million. But upon looking around for you, your agent finds a 705 sq. ft. two-bedder that – just a few months ago – transacted at $1.44 million at City Gate. It ticks all the right boxes. But there are two issues here: 

First, there may be no listing at City Gate right now, even if that transaction did happen a few months ago. And lacking a real crystal ball, the agent has no way to tell you when another similar listing will appear. Your agent could go knocking on doors at City Gate to try and find a seller, or reach out to other contacts; but there’s still no guarantee. Second, the previous transaction may have had an attractive price point – but the prices may move up from there, and by a margin that isn’t easy to predict.

This is different from a new launch, where agents have a clear idea of what’s available. Most of them would rather suggest actionable steps, rather than get your hopes up with resale units that won’t materialise.

If your agent keeps lining up new launch condos for you this year, this is probably the main reason – more so than the issue of commissions.

3. It’s much easier to coordinate viewings

New launches have well-designed show flats and taggers to handle viewings. It’s the simplest matter for an agent to bring you there anytime, during their opening hours (with the possible drawback that there may be other viewers.) The agent can also be sure that the show flat is always clean and neat, and shows the project in the best possible light. 

With resale projects, however, viewings have to be coordinated with the residents. Unless the agent is lucky and the sellers have already moved out, this can mean an inability to visit at certain times, or messy conditions when buyers do arrive. This is especially problematic with properties that are still rented out, as tenants may be uncooperative. 

There is, simply put, less risk and effort involved in bringing you to see show flats.

4. Depending on developer pricing strategies, the new launch sometimes IS the better value deal 

We have some details on developer pricing strategies here. But to recap: there are times when developers offer significant discounts. This can come in the form of promotions like all-floors-same-price, for a limited duration, or “regular” pricing of an otherwise premium stack (often just to get the ball rolling at a weekend launch).

There may even be later stages in a launch where the developer offers better value, such as when trying to clear out remaining units to avoid ABSD penalties. In these situations, directing you to a new launch may be genuinely related to value buys, rather than higher commissions. 

Admittedly, some agents overcompensate in this area, and get a bit too pushy. Perhaps it’s a professional hazard, as a good discount may look more incredible to a jaded career veteran than to a buyer (who still sees a higher quantum and not the degree of the discount). 

5. Developers are generally less fickle than sellers 

Some property agents dislike dealing with non-developer sales, perhaps due to bad experiences in the past. When it comes to resale properties, some sellers are a bit fickle. There have, for instance, been buyers who end up having to take the sellers to court, because the sellers decided to back out after the Option was granted. 

The risk of disputes is also higher: sometimes the unit is received with previously undetected damages, or the seller didn’t honour an agreement to replace something. One of the agents we spoke to, for instance, showed us a property where the seller had set fire to the kitchen between the time of the OTP and the exercise of the Option. Had the agent not happened to swing by and check, his buyer could have received it in that condition. 

Regardless of the outcome of such situations, it’s almost always a cost in time and stress to the realtors; and this causes some of them to skew toward new launches. 

So to answer the question: are property agents really incentivised to push you toward new launches? 

The answer is broadly yes, but not for the reasons you might imagine (e.g., commissions). We may also see a forced change to this behaviour soon – the bulk of the upcoming launches this year will be in the pricey CCR. This may be affordable to RCR upgraders, but the quantum is likely to be unpalatable to fringe region buyers. 

So, unless you’re actively looking to upgrade to the CCR, there may not be many new launches for your property agent to push anyway! At least not in the near future. 

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