Higher work pass salary thresholds for foreigners won’t dent housing market, AI push can power private home prices

[SINGAPORE] Did Budget 2026 deliver bad news for the housing market? 

While there are no additional property cooling measures and property taxes were not raised, some market watchers think the increase in minimum qualifying salaries for Employment Pass (EP) and S Pass applicants – which was unveiled in Budget 2026 – may hurt housing rental demand, should higher business costs lead employers to trim hiring of foreigners.

The EP minimum qualifying salary for new applicants will be raised to S$6,000 from S$5,600 from January 2027. For the financial sector, the EP minimum qualifying salary will rise from S$6,200 to S$6,600.