Foreigner Buying Property Laws in Singapore

Can Foreigners Buy Property in Singapore?

Yes, foreigners can buy property in Singapore, but with restrictions. The type of property you're allowed to buy depends on your residency status and the property type.

Foreigners are classified into two main categories:

Permanent Residents (PRs)
Non-Residents (NRs)

Each category has different levels of access to property types.

What Properties Can Foreigners Buy Without Approval?

Foreigners do not require special approval to purchase the following property types:

1. Condominiums (Private)

Foreigners can freely buy private condominiums. These are the most popular choice among expats and non-residents because they offer modern facilities, security, and prime locations.

2. Executive Condominiums (ECs) – Resale Only

You can only purchase ECs that are at least 10 years old. These are then considered fully private and open to foreigners.

3. Commercial Properties

There are no restrictions on buying commercial or industrial properties, including office spaces, retail shops, and warehouses.

Properties That Require Government Approval

Under the Residential Property Act, some properties are restricted and need permission from the Singapore Land Authority (SLA) before foreigners can buy.

1. Landed Properties

Foreigners cannot buy landed properties (like bungalows, semi-detached, or terrace houses) unless:

They are PRs
They obtain approval from the Landed Housing Authority Unit of SLA
The property is located in a designated area like Sentosa Cove, which is foreigner-friendly

2. New Executive Condominiums (ECs)

Foreigners cannot buy new ECs that are within their 10-year Minimum Occupation Period (MOP). These are reserved for Singaporeans and PRs initially.

3. HDB Flats (Public Housing)

Foreigners are not allowed to buy HDB flats directly. Only PRs can buy resale HDBs, and even then, both buyers in a couple must be PRs for at least 3 years.

How to Get Approval for Restricted Properties

If you wish to buy a landed property, you must apply through the SLA portal. Approval is not guaranteed. The decision is based on:

Your economic contribution to Singapore (e.g., business investments, taxes paid)
Length of residency in Singapore
Type of employment or business ownership

Taxes Fees for Foreign Buyers

If you're a foreigner buying property in Singapore, be prepared for higher taxes than locals.

1. Buyer’s Stamp Duty (BSD)

Applies to all property purchases. The rate depends on the property value:

1% on the first $180,000
2% on the next $180,000
3% on the next $640,000
4% on the remaining amount (above $1 million)
5-6% applies for properties above $1.5 million (from 2023 changes)

2. Additional Buyer’s Stamp Duty (ABSD)

Foreigners must pay ABSD of 60% (effective as of April 2023) on any residential property purchase. This is significantly higher than the 5–25% rate paid by citizens and PRs.

Example: If you buy a condo for SGD $2 million, you will pay:
BSD ≈ $69,600
ABSD = $1,200,000 (60% of $2 million)
Total stamp duty = approx. $1.27 million

Financing Options for Foreigners

Foreigners can apply for home loans in Singapore, but the Loan-to-Value (LTV) ratio is lower:

LTV is usually capped at 75% (for first loan, with income proofs)
Banks require more documentation, such as:
- Proof of income
- Employment contracts
- Credit reports
- Passport and visa

Keep in mind, foreign income is subjected to exchange risk and may affect loan approval.

Property Ownership Laws: Can Foreigners Rent or Sell?

Yes, once you legally own a property:

You can rent it out
You can sell it at any time
You must pay Seller’s Stamp Duty (SSD) if you sell within 3 years:
- 12% if sold in Year 1
- 8% in Year 2
- 4% in Year 3
- 0% from Year 4 onward

Popular Areas for Foreign Buyers

Foreigners often look for condos and resale ECs in areas such as:

Orchard Road – Premium condos and city life
East Coast – Seafront living and family-friendly
Sentosa Cove – The only landed area foreigners can buy freely
District 9, 10, 11 – Known for luxury, good schools, and central location
Pasir Ris / Jalan Loyang Besar – Near nature and new developments like Boulevard Coast EC

Tips for Foreign Buyers

Work with a licensed property agent
Engage a conveyancing lawyer to handle legal paperwork
Calculate all upfront and recurring costs (property tax, maintenance, stamp duties)
Ensure the property fits your investment or lifestyle goals
Consider the exit strategy if you’re not planning long-term residence

Final Thoughts

Buying property in Singapore as a foreigner is certainly possible, but it comes with its share of rules and taxes. If you're looking for stability, high-quality living, and long-term investment potential, Singapore’s private condominium market is a great starting point.

However, due to the high ABSD and limited access to public and landed housing, it's important to plan your purchase carefully and consult professionals when needed.