FAQ

What is condominium TOP?

The Temporary Occupation Permit (TOP) allows homeowners to occupy their houses temporarily while waiting for the Certificate of Statutory Completion to be issued. CSCs or TOPs are required to occupy a building under law. Under TOP, you have the option of occupying a building before it is fully finished (if it is deemed safe)

Who can buy a condo?

Everyone can buy a private condo be it a Singapore citizen, Singapore Permanent Resident or Foreigner. They are subjected to income eligibility assessment by the bank if they intend to take loans.

How much money to buy a condo in Singapore?

To buy a new condo from the developers in Singapore, a 5% Booking Fee needs to be paid in cash, followed by the Buyer’s Stamp Duty (and Additional Buyer’s Stamp Duty, if applicable, depending on the number of residential properties one owns and one’s citizenship) 6 to 7 weeks later, and a 15% Downpayment to be paid in cash &/or using the Central Provident Funds (cpf) within 8 weeks of the initial Booking Fee. The next payment stage of 10% will be called when Foundation is completed, of which 5% needs to be paid either in cash &/or cpf and the other 5% via loan taken out with a bank if a maximum loan of 75% is secured with the financial institution. Subsequent payments in the form of monthly instalments are made progressively depending on the stage of completion. Hence, a 25% downpayment is needed to buy a condo in Singapore.

How long can I hold a condo in Singapore?

There are no restrictions in the holding period of a condo. One can buy a unit today and sell the next day. However, do note that there is Seller’s Stamp Duty (SSD) to be incurred if the condo is sold within the first 3 years of purchase. SSD to be incurred within the 1^st year of purchase due to sales is 12%, followed by 8% in the 2^nd year and 4% in the 3^rd year.

Can I use CPF to buy condo?

The Central Provident Fund (CPF) monies are compulsory social security savings plans funded by company and employee contributions. CPF can be used to buy condo. The 1^st 5% Booking Fee must be paid in cash while the rest of the payments can either be made in cash &/or CPF if the owner is taking out a 1^st mortgage loan for that property. In the event that the purchase is funded by a 2^nd mortgage loan, then 25% must be paid in cash while the balance of the payment can either be made in cash &/or CPF.

How much stamp duty must I pay as a foreigner in Singapore to buy condo?

As of 16^th Dec 2021, a foreigner purchasing a condo in Singapore needs to pay 30% Additional Buyer’s Stamp Duty (ABSD) according to the Monetary Authority of Singapore (MAS). However, for foreigners belonging to one of the following 5 countries which have free trade agreement with Singapore, they are eligible for  ABSD remission. This means that they pay the same stamp duties as Singapore Citizens. These countries are namely Liechtenstein, Iceland, Norway, USA and Switzerland. A Singapore Citizen or a Singapore Permanent Resident (SPR) also needs to pay ABSD depending on the number of residential units they own.

How much are the stamp duties in Singapore?

To buy a private property in Singapore, here’re the Buyer’s Stamp Duty (BSD) and the Additional Buyer’s Stamp Duty (ABSD) one needs to pay. This is dependent on the citizenship of a buyer and the number of residential properties he/she owns. Everyone who buys a property in Singapore needs to pay for the BSD. The BSD is 1% for the first S$180,000 purchase price, 2% for the next S$180,000, followed by 3% for the next S$640,000 and the balance amount is 4%.

As the the ABSD, there's no ABSD for a Singapore Citizen's 1st property purchase while it is 17% for his 2nd property purchase and 25% for his 3rd property purchase. The ABSD for a Singapore Permanent Resident's (SPR) 1st property purchase is 5%, followed by 25% for his 2nd and 30% for his 3rd. A foreigner's ABSD is 30% regardless of the number of private properties he owns. For entities and companies, their ABSD payable is 35%.

Can friends buy a condo together?

Yes, it is possible even if they are unrelated and the manner of holding can be joint tenancy or tenancy in common.

If they own HDB flats, they have to ensure that their flats have already obtained 5 years MOP first.

If they each own a property, they can still use their CPF-OA monies to pay for the purchase but there are some restrictions. They have to set aside money in their CPF-SA and perhaps CPF-OA amount to make up the prevailing Basic Retirement Sum (BRS).

How do I buy a new condo in Singapore?

You need to do your financial planning first before going for showflat viewings. After you have found a new condo that you like, you make payment for 5% Booking Fee and you will receive the Option To Purchase (OTP) document. You will go to the law firm to sign your Sales & Purchase Agreement when the contract is received within 2 weeks of the issuance of the OTP. Once exercised, you will make payment for the Buyer’s Stamp Duty (and if applicable, Additional Buyer’s Stamp Duty as well) within 2weeks. Subsequently, a 15% Downpayment needs to be made within 8 weeks of the Booking Fee. If you managed to secure a 75% maximum loan of the property, you are left with another 5% lump sum payment to make when the Foundation stage is called. Thereafter, you will service your monthly mortgage loan for the tenure that you have taken up.