If you are a Permanent Resident (PR) living in Singapore, you may be wondering whether you are eligible to purchase private property in the city-state. The answer is yes, but with some conditions. PRs can buy private property in Singapore, but there are certain regulations and eligibility criteria that must be met.
For instance, PRs must have held their PR status for at least three years before they can purchase private property. Additionally, PRs who own an HDB flat must dispose of it within six months of purchasing a private residential property in Singapore. In this article, we will explore the eligibility and regulations for PRs buying private property in Singapore, as well as the types of private properties available to them.
Overall, while PRs can buy private property in Singapore, there are certain conditions that must be met. If you are a PR looking to purchase private property in Singapore, it is important to understand the eligibility criteria and regulations that apply. By doing so, you can make an informed decision about whether purchasing private property is the right choice for you.
Key Takeaways
- PRs can buy private property in Singapore, but must meet certain eligibility criteria and regulations.
- PRs must have held their PR status for at least three years before purchasing private property.
- PRs who own an HDB flat must dispose of it within six months of purchasing a private residential property in Singapore.
Eligibility and Regulations for PRs Buying Private Property in Singapore
If you are a Singapore Permanent Resident (PR) looking to purchase private property in Singapore, there are certain regulations and eligibility criteria that you need to be aware of. In this section, we will discuss the Residential Property Act for PRs and the Additional Buyer’s Stamp Duty (ABSD) that you need to navigate.
Understanding the Residential Property Act for PRs
The Residential Property Act regulates the ownership of residential properties by non-Singaporeans, including PRs. Under this Act, PRs are allowed to purchase private residential property in Singapore, subject to certain restrictions.
One of the key restrictions for PRs is that they are not allowed to purchase landed property without approval from the Land Dealings Approval Unit (LDAU). Additionally, PRs are not allowed to purchase HDB flats that are less than 30 years old, unless they are buying the flat with a Singaporean citizen spouse or have obtained an approval from HDB.
Navigating the Additional Buyer’s Stamp Duty (ABSD)
As a PR, you are also subject to the Additional Buyer’s Stamp Duty (ABSD) when purchasing private property in Singapore. The ABSD is a tax that is imposed on top of the standard Buyer’s Stamp Duty (BSD) that all property buyers have to pay.
The ABSD rates for PRs are higher than those for Singaporean citizens. For instance, if you are a PR purchasing your first residential property in Singapore, you will have to pay an ABSD of 5% on top of the BSD. If you are purchasing your second or subsequent residential property, the ABSD rate increases to 15%.
It is important to note that the ABSD rates are subject to change, and you should always check the latest rates before making a property purchase.
In summary, while PRs are allowed to purchase private property in Singapore, there are certain restrictions and regulations that they need to be aware of. By understanding the Residential Property Act and navigating the ABSD, you can make an informed decision when purchasing private residential property in Singapore.
Types of Private Properties Available to PRs
As a PR in Singapore, you have several options when it comes to buying private properties. Here’s a breakdown of the types of private properties available to you:
Exploring Condos and Executive Condominiums
Condos and executive condominiums (ECs) are popular choices among PRs. These properties offer a luxurious lifestyle with modern amenities and facilities. Condos are typically more expensive than ECs, but they offer more space and privacy.
As a PR, you can purchase both condos and ECs, but there are certain conditions you need to meet. For instance, you need to have held PR status for at least three years before you can buy an EC. Additionally, you can only buy a resale EC that is at least 10 years old.
Insights into Landed Property Ownership for PRs
Landed properties such as bungalows, semi-detached houses, and terrace houses offer more space and privacy than condos and ECs. However, they are also more expensive and require more maintenance.
As a PR, you can purchase landed properties, but there are certain restrictions. For example, you can only buy a landed property in a leasehold estate. Additionally, you need to seek approval from the Land Dealings (Approval) Unit before you can buy a landed property.
Another option for PRs is strata landed housing, which is a hybrid between landed and condominium living. In strata landed housing, you own the house and the land it sits on, but you share common facilities with other residents.
Overall, there are plenty of options for PRs looking to buy private properties in Singapore. Whether you’re interested in a luxurious condo or a spacious landed property, there’s something for everyone. Just make sure to do your research and understand the conditions and restrictions that come with each type of property.
When it comes to pricing, private properties in Singapore can be expensive. A condo unit can cost anywhere from $1 million to $5 million, while a landed residential property can cost upwards of $10 million. However, with the right financial planning and budgeting, owning a private property in Singapore can be a worthwhile investment.
Frequently Asked Questions
What are the Additional Buyer’s Stamp Duty (ABSD) rates for Permanent Residents purchasing condos?
If you are a Permanent Resident (PR) of Singapore and you are looking to purchase a private condominium, you will be subject to Additional Buyer’s Stamp Duty (ABSD). The ABSD rates for PRs are as follows: 5% for your first residential property and 15% for your second and subsequent residential properties.
Are Permanent Residents eligible to purchase executive condominiums in Singapore?
Yes, PRs are eligible to purchase Executive Condominiums (ECs) in Singapore. However, there are certain eligibility criteria that must be met, such as fulfilling the five-year Minimum Occupation Period (MOP) for your current HDB flat, if you own one.
Is it possible for a single Permanent Resident to acquire a resale HDB flat?
Yes, it is possible for a single PR to acquire a resale HDB flat. However, there are certain eligibility criteria that must be met, such as fulfilling the five-year MOP for your current HDB flat, if you own one.
Can Permanent Residents own both HDB and private properties simultaneously?
No, PRs are not allowed to own both HDB and private properties simultaneously. If you are a PR and you wish to purchase a private property, you must dispose of your HDB flat within six months of the purchase.
What are the eligibility criteria for Permanent Residents wishing to buy landed properties?
PRs are not eligible to purchase landed properties in Singapore. Landed properties are only available for purchase by Singapore citizens.
How can Permanent Residents calculate the costs involved in buying a condominium?
When purchasing a private condominium, PRs are required to pay Buyer’s Stamp Duty (BSD) and ABSD. The BSD rate is 3% for the first $1 million of the purchase price and 4% for the remaining amount. The ABSD rates for PRs are 5% for your first residential property and 15% for your second and subsequent residential properties. You can use online calculators or consult with a property agent to get an estimate of the costs involved in purchasing a condominium.
Remember, as a PR, you have certain restrictions and eligibility criteria that must be met when purchasing a property in Singapore. It is important to do your research and consult with experts to ensure a smooth and successful property purchase.