10.Summary Of Property Measures In Singapore

Round 1   (14 September 2009)

 

1 ) Reinstatement of the Confirmed List for the 1st Half 2010 Government Land Sales (GLS) Programme.


2 ) Removal of the Interest Absorption Scheme (IAS) and Interest-Only Housing Loans (IOL),

 

3 ) Non-extension of the Jan 2009 Budget assistance measures for the property market when the measures expire.

 

*Please visit URA @2009 for more Details 

 

Round 2    (19 February 2010)

1 ) Introducing a Seller’s Stamp Duty (SSD) for property sold within 1 year from the date of purchase

 

2 ) Lowering the Loan-to-Value (LTV) limit to 80% for all housing loans

*Please visit URA @2010 for more Details 

 

Round 3 (30 August 2010)

 

1 )Increase of Seller’s Stamp Duty (SSD) from the current one year to three years.


2 )For buyers who already have one or more outstanding housing loans1 (incl HDB loan):

  • Increase minimum cash payment from 5% to 10% of the valuation limit2
  • Loan-to-Value (LTV) is lowered from 80% to 70%.

*Please visit URA @2010 for more Details 

Round 4 (13 January 2011)

1 ) Increase the holding period for imposition of Seller’s Stamp Duty (SSD) from the current three years to four years;


2 ) Raise the SSD rates to 16%, 12%, 8% and 4% of consideration for residential properties which are bought on or after 14 January 2011,and are sold in the first, second, third and fourth of purchase respectively

3 ) Lower the Loan-To-Value (LTV) limit to 50% on housing loans granted by financial institutions regulated by MAS for property purchase who are not individuals

4 ) Lower the LTV limit on housing loans granted by financial institutions regulated by MAS from 70% to 60% for property purchasers who are individuals with one or more outstanding housing loans2at the time of the new housing purchase.

 

*Please visit URA @2011 for more Details 

 

Round 5 ( 7 December 2011 )

 

1 ) Foreigners and non-individuals1 (corporate entities) buying any residential property will pay an ABSD of 10%;


2 ) Permanent Residents (PRs) owning one2 and buying the second and subsequent residential property will pay an ABSD of 3%;


3 ) Singapore Citizens (Singaporeans) owning two2 and buying the third and subsequent residential property will pay an ABSD of 3%.

*Please visit URA @2011 for more Details 

 

Round 6 ( 06 October 2012 )

1 ) Capping all residential Loan at 35 years.loan >30years will attract higher LTV, Applicable to both private and HDB properties 

* For Individual without outstanding home loans: 

            a) LTV is 80% if loan tenure does not exceed 30 years , or loan period is within retirement age of 65

b) LTV is 60% if loan tenure does not exceed 30-35 years , or if it extend beyond retirement age 

*For individuals already with outstanding home loans ( Incl HDB loans )

            a) LTV is 40% for new home loans 

* For Non-individuals, LTV for residential home loan is lowered from 50%-40%.

*Please visit Mas @ 2012for more Details 

 Round 7 ( 11 january 2013 )

Measures Applicable to all Residential Property

 

1)

Additional Buyer’s Stamp Duty (ABSD) rates will be:

·         Citizen: 7% for 2nd purchase : 10% for 3nd and subsequent purchase.

·         PRs : 5%for 1st purchase . 10% for 2nd and subsequent purchase

·         Foreigners and non –individuals : 15% on all purchase

 

     

2 ) Loan-to-Value limits will be tightened to individuals with outstanding loan, and  non-individuals

3 ) Minimum cash down payment for individuals applying for a second or subsequent housing loan will also be raised to 25%

Measures Specific to Public Housing

 

1 ) Tighter eligibility for loans to buy HDB flats

 

·         MAS will cap the Mortgage Servicing Ratio (MSR) for housing loans granted by financial institutions2 at 30% of a borrower’s gross monthly income3.

 

·         For loans granted by HDB, the cap on the MSR will be lowered from 40% to 35%.

2 ) PRs who own a HDB flat will be disallowed from subletting their whole flat:

3 ) PRs who own a HDB flat must sell their flat within six months of purchasing a private residential property in Singapore.

 

Cooling Measure for the Industrial Property Market: Seller’s Stamp Duty

1 ) SSD at 15% if the property is sold in the first year of purchase, i.e. the property is held for one year or less from the date of purchase.

2 ) SSD at 10% if the property is sold in the second year of purchase, i.e. the property is held for more than one year and up to two years from the date of purchase

3 ) SSD at 5% if the property is sold in the third year of purchase, i.e. the property is held for more than two years and up to three years from the date of purchase

*Please visit URA @2013 for more Details

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Shawn Soh
ERA Division Director in-charge
ERA REALTY NETWORK PTE LTD
shawnsoh007@gmail.com
CEA Licence No.:
L3002382K / R027650F
(+65) 9746 7007
(+65) 8183 9448