Finding a place to call home in Singapore for an Indian needs careful preparation and execution. The nation permits foreigners to purchase real estate under certain restrictions. To buy a property in Singapore, a buyer must fulfill the eligibility requirements, which include Indians. Propertywala gathers all the information a potential homeowner could need to learn about the steps, expenses, and taxes associated with buying a property.
Singapore has become a modern-day business hub. If you intend to move to Singapore or if you want to purchase a property only as an investment, there are a few key factors that you should take into account. For foreigners to buy real estate in Singapore, including Indians, they must fulfill specific requirements. The following article offers vital details to help buyers navigate the real estate market in the nation. Examine the steps, expenses, and taxes associated with purchasing a property in Singapore.
How to Become Eligible to Purchase Property in Singapore
There are certain restrictions on foreigners purchasing real estate in Singapore. The following is a summary of the requirements for foreigners wishing to buy real estate in Singapore:
| Who can purchase a home in Singapore, and what can they buy? | |
| Non-permanent residents of Singapore (Non-SPRs) purchasing on their own: | You can buy fresh HDB (Housing Development Board) flats. |
| An HDB apartment for sale is not something you can buy on your own. | |
| Can purchase resale ECs that have a five-year minimum occupation period (MOP) | |
| Permanent residents of Singapore (SPRs) buying alone | Only able to purchase an executive condominium (EC) that has been privatized and is older than ten years. |
SPRs jointly buy with other Singapore permanent residents | Eligible to purchase a resale HDB apartment getting PR |
| Able to buy an EC that is over five years old. | |
| Can purchase a privatized EC that is older than ten years | |
Purchasing SPR with a Non-SPR | Able to buy an EC that has been on the market for more than five years |
| Can purchase a privatized EC that is more than ten years old. | |
| Jointly buying as a Non-SPR couple. | Eligible to buy a privatized EC that is more than ten years old. |
Purchase Real Estate in Singapore: Procedure
In Singapore, purchasing a property entails a formal procedure. The following steps will help you navigate the process of buying a property:
Step 1: Determine the cost of buying a home by negotiating a price with the seller.
Step 2: Obtain the option to purchase (OTP) and make a 1% down payment of the purchase price to secure the property for a predetermined period.
Step 3: Verify your choice by paying the final 9% down payment by the prearranged deadline.
Step 4: Legal verification will verify who owns the property and whether it is eligible for sale.
Step 5: The lawyer will prepare the documents for signature and title transfer.
Step 6: The attorney will register the sale with the appropriate authorities and make sure all paperwork is in order.
Step 7: The sale will conclude, and the property will officially become yours.
Purchase a home in Singapore: Price and taxes.
In India, purchasing a property in Singapore entails paying the purchase price plus additional costs like stamp duty and legal bills. Buyers should include these extra expenses in their budgets, alongside any applicable taxes. Take a look at the approximate price of a Singaporean property:
| Type of property | Apartment Price range (sq. ft) |
| Condo | 1,300 SGD – 4,800 SGD |
| Walk-up | 1,400 SGD – 1,600 SGD |
The following taxes are relevant when purchasing real estate in Singapore:
| Charge | Some of |
Stamp duty for buyers (BSD) | For properties under 1,80,000 SGD, one percent |
| Two percent for homes priced between 1,80,000 and 3,60,000 SGD | |
| 3 percent for homes valued at 3,60,000 SGD | |
Additional buyer stamp duty (ABSD) | 16% for visitors from overseas |
| Five percent for permanent residents who buy their first property | |
| Ten percent of permanent residents who buy a second or subsequent home | |
| Conveyancing fees (legal fees) | 0.30% |
| Note: There is a 1,800 SGD minimum fee. |
To sum up, with the correct knowledge, an Indian looking to relocate to Singapore can make the process go smoothly. The nation’s dynamic real estate market enables Indians and foreigners to purchase property subject to specific qualifications. It is worthwhile to consider purchasing a home in Singapore, whether as a residence, an investment, or a combination.