Buyer's Guide

Your Singapore Property Journey

Everything you need to know to buy property in Singapore confidently — from budget to keys in hand.

1Know Your Budget›

2Find the Right Property›

3Check the Price›

4Secure Financing›

5Make the Offer›

6Complete the Purchase›

7Think About the Exit

Before you look at a single listing, you need to know what you can afford. Singapore has strict lending rules that determine your maximum loan size.

55%

TDSR — Total Debt Servicing Ratio

All your monthly debt obligations (mortgage, car loan, student loan, credit cards) combined cannot exceed 55% of your gross monthly income. Applies to all property purchases.

30%

MSR — Mortgage Servicing Ratio

For HDB flats and Executive Condominiums only — your monthly mortgage repayment alone cannot exceed 30% of gross monthly income. More restrictive than TDSR.

CPF Usage for Property

CPF OA funds can be used for the down payment, monthly mortgage repayments, and stamp duties
The property must be residential and within CPF withdrawal limits
Important: CPF used must be returned with accrued interest (2.5% p.a.) when you sell — this reduces your net sale proceeds
Cash over valuation (COV) must be paid in cash — CPF cannot be used

Buyer's Stamp Duty (BSD) — Tiered Rates

Purchase Price Band	Rate
First $180,000	1%
Next $180,000 ($180K–$360K)	2%
Next $640,000 ($360K–$1M)	3%
Next $500,000 ($1M–$1.5M)	4%
Next $1.5M ($1.5M–$3M)	5%
Above $3M	6%

Example: A $1.2M property attracts BSD of approximately $32,600.

Additional Buyer's Stamp Duty (ABSD) — 2023 Rates

Buyer Profile	1st Property	2nd Property	3rd+
Singapore Citizen	0%	20%	30%
Permanent Resident	5%	30%	35%
Foreigner	60%	60%	60%

Typical Upfront Costs

Cost Item	Amount	Paid In
Option Fee	1% of purchase price	Cash
Exercise of OTP	4–9% of purchase price	Cash / CPF
Buyer's Stamp Duty (BSD)	1–6% (tiered)	Cash / CPF (within 14 days)
ABSD	0–60% (citizenship-dependent)	Cash / CPF
Legal Fees (conveyancing)	~$3,000	Cash / CPF
Agent Fees	1–2% of purchase price	Cash

Calculate your exact costs

Use our affordability and investment calculators to model your exact BSD, ABSD, and total cash required before making an offer.

Budget check Full cost model

Armed with your budget, you can start evaluating properties strategically — not just by price, but by long-term investment value and lifestyle fit.

New Launch vs Resale

Factor	New Launch	Resale
Price	Developer-set, typically at a premium	Market-driven, often negotiable
What you see	Show flat only	The actual unit
Keys timeline	3–5 years (under construction)	8–12 weeks
Agent fee	Paid by developer (buyer pays 0%)	1–2% typically by buyer
Defect coverage	Defects Liability Period (1 year)	Buy as-seen
Payment	Progressive payment scheme available	Full payment at completion

HDB vs Private Property

Factor	HDB Resale / BTO	Private Condo
Eligibility	SC (BTO). SC + PR (resale)	All buyers
Max LTV	80% (HDB loan) / 75% (bank)	75% (bank loan)
MSR	Yes — 30% of income	No
Minimum Occupation	5 years before you can sell	No MOP
ABSD (SC 1st property)	0%	0%
Rental	Whole flat only after MOP	Anytime (whole unit)
Lease	99 years	99 years or freehold

What Makes a Property a Good Investment

Location + Transport

Properties within 500m–1km of an MRT station command a consistent price premium. Check walking time, not just map distance.

School Proximity

Primary 1 registration gives priority to children living within 1km of the school. Top schools in sought-after areas hold a structural price floor.

Price Trend History

Review 3–5 years of PSF data for the project and district. Rising PSF with growing transaction volume is a healthy signal.

Rental Demand

High rental yield + low vacancy means strong demand from tenants. This underpins capital values even in soft markets.

Explore properties School proximity tool

Never buy on list price alone. Singapore has excellent transaction data — use it to verify you're paying a fair price.

What Is PSF and Why It Matters

Price Per Square Foot (PSF) is the standard metric for comparing property values in Singapore. It strips out size to give a like-for-like comparison.

Example: Unit A at $2.1M / 800 sqft = $2,625 PSF. Unit B at $1.8M / 650 sqft = $2,769 PSF. Unit B is cheaper in absolute terms but more expensive per square foot.

How to Value a Property Using Comparables

Start within the same development — find the last 10–15 transacted units over 12 months
Adjust for floor level — higher floors typically command a 0.5–1% premium per floor
Adjust for facing — pool/city view vs car park / void deck can affect PSF by 5–10%
Cross-reference with neighbouring projects of similar age, tenure, and facilities
Check the developer's last launch price — resale trading below launch price is a red flag

Red Flags to Watch For

›Project consistently transacting below its original launch price

›Falling transaction volumes over 6+ consecutive months — poor liquidity

›High proportion of sub-sales (investor flip failures)

›Developer offering large cash rebates (inflates headline price, reduces real value)

›Agent pressure with 'only 2 units left' or 'price goes up next week'

Estimate price Market Intelligence

Securing the right loan is as important as finding the right property. A half-percent difference in your mortgage rate can cost or save tens of thousands over your loan term.

Bank Loan vs HDB Concessionary Loan

Factor	Bank Loan	HDB Concessionary Loan
LTV	Up to 75%	Up to 80%
Interest rate	~2.5–4% (variable, SORA-based)	2.6% (fixed, CPF OA rate + 0.1%)
Lock-in period	Usually 1–3 years	None
Eligible properties	All residential	HDB flats only
Prepayment penalty	Yes (during lock-in)	None
Refinancing	Allowed after lock-in	Cannot return to HDB loan

Fixed vs Floating Rate

Fixed Rate

Your rate is locked for a set period (usually 2–3 years). Provides payment certainty and protection if market rates rise. Typically slightly higher than floating at time of signing.

Floating (SORA-based)

Tracks the Singapore Overnight Rate Average (SORA). Lower when rates fall, higher when they rise. More flexible — useful if you plan to refinance or sell within a few years.

LTV Limits

Scenario	Max LTV	Min Down Payment
Private property — no outstanding loans	75%	25% (5% must be cash)
HDB — HDB concessionary loan	80%	20% (CPF or cash)
HDB — bank loan	75%	25% (5% must be cash)
Private — 1 outstanding loan	45%	55%
Private — 2+ outstanding loans	35%	65%

Typical Mortgage Timeline

Get IPA (In-Principle Approval)

Submit income docs to bank. Approval in 2–3 days. Valid for 30 days. Lock in your borrowing power before making offers.

Pay Option Fee + receive OTP

1% cash to seller. You now have 14 days to exercise.

Submit OTP to bank

Bank issues formal Letter of Offer. Takes 1–2 weeks.

Exercise OTP

Pay remaining down payment (cash/CPF). Buyer's solicitor lodged.

Completion

8–12 weeks after exercising OTP. Bank releases funds. Seller transfers keys.

Refinancing tip: After your lock-in period expires (typically 2–3 years), compare rates across banks. Even a 0.3% reduction on a $900,000 loan saves ~$2,700/year. Factor in legal fees (~$2,500) and valuation costs (~$500) when comparing.

When you've found your property and agreed on a price, the formal purchase process begins with the Option to Purchase.

The Option to Purchase (OTP) — Step by Step

Pay Option Fee (1%)

Must be cash. Seller issues you an OTP — a legal contract giving you the exclusive right to buy the property at the agreed price.

14-Day Option Period

Your window to arrange financing, engage a solicitor, and conduct due diligence. The seller cannot accept other offers during this period.

Exercise the OTP

Pay the remaining deposit (typically 4–9%) by signing and returning the OTP to the seller's solicitor before the deadline. Payment via cash or CPF.

If you don't exercise

The seller keeps the 1% option fee. You have no further obligations — but you lose your deposit.

During Your 14-Day Option Period

Engage a conveyancing solicitor immediately — they check title, encumbrances, and outstanding loans
Submit OTP to your bank — triggers formal mortgage approval
Commission a structural survey if you have any concerns about the unit condition
Check IRAS records for property tax arrears (your solicitor handles this)
Verify the exact floor area against URA records (strata vs. floor area differences are common)

Once you exercise the OTP, the purchase is binding. Pulling out after exercising will result in forfeiture of your deposit and potential legal action. There is no cooling-off period for private resale properties in Singapore.

After exercising the OTP, the conveyancing process runs in the background while you prepare for your new home.

Completion Timeline (8–12 Weeks Typical)

Week	Milestone
Week 1	Exercise OTP — deposit paid, solicitors engaged on both sides
Week 1–2	BSD and ABSD paid (must be within 14 days of exercise)
Week 2–4	Bank issues Letter of Offer; Buyer's solicitor conducts title search
Week 4–8	Vendor's solicitor prepares completion documents
Week 8–10	Completion notice issued — CPF Board notified to release funds
Completion Day	Simultaneous exchange: keys handover + balance payment + title transfer

The Conveyancing Process

Your solicitor handles the legal transfer of property. They conduct title searches, liaise with the bank, coordinate CPF withdrawals, and ensure the seller discharges any existing mortgage before completion. Budget approximately $2,500–$4,000 for conveyancing fees.

Keys Handover Checklist

Take utility meter readings (electricity, water, gas) at handover
Test all fixtures — water pressure, electrical outlets, aircon, appliances
For new launches: submit a defects list to the developer within the Defects Liability Period (DLP — typically 12 months)
Change the locks immediately after receiving keys
Update IRAS for property tax billing (you become liable from completion date)
Notify SP Group to transfer utilities to your name

Ongoing Costs After Purchase

Cost	Typical Range	Notes
MCST Maintenance Fees	$200–$800/month	Covers shared facilities, security, cleaning
Sinking Fund	Included in above	Reserve for major repairs (lifts, roof, etc.)
Property Tax	4–16% of Annual Value	Non-owner-occupied rates are higher
Home Insurance	$150–$400/year	Covers building structure and contents
HDB S&CC (Service & Conservancy)	$20–$90/month	HDB flats only, based on flat type

Smart property buyers think about their exit from day one. Understanding the holding-period rules and tax implications will shape which property you buy and when you sell.

HDB Minimum Occupation Period (MOP)

5 Years

You must live in your HDB flat for a minimum of 5 years from the date of key collection before you can:

Sell the flat on the open market
Rent out the entire flat
Purchase a private residential property

Seller's Stamp Duty (SSD) — Private Property

For properties purchased from 16 December 2021 onwards:

Year of Sale (from purchase)	SSD Rate
Year 1 (within 1 year)	12%
Year 2 (1–2 years)	8%
Year 3 (2–3 years)	4%
After 3 years	0%

SSD is charged on the higher of the sale price or market value. Plan to hold for at least 3 years to avoid it entirely.

When to Sell — Data Signals to Watch

Rising PSF trend in your submarket over 4+ consecutive quarters
High transaction volumes — liquidity means you can sell quickly and at a fair price
New infrastructure opening nearby — MRT line, mall, school — these typically boost prices 6–18 months before opening
Your MOP expiry (HDB) or SSD window closing (private) — the calendar often determines the optimal window
Interest rate environment — high rates reduce buyer purchasing power and dampen prices

Model your investment return

Our Investment Return Calculator models your true profit — including BSD, ABSD, loan interest, rental income, and SSD — across multiple exit scenarios. See your annualised return and sensitivity table before you commit.

Calculate my ROI

Ready to take the next step?

Use AgentIQ's free tools to check your budget, estimate property value, and model your investment return — all in one place.

Budget Check Estimate Price ROI Calculator

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Purchase Price Band

Rate

First $180,000

Next $180,000 ($180K–$360K)

Next $640,000 ($360K–$1M)

Next $500,000 ($1M–$1.5M)

Next $1.5M ($1.5M–$3M)

Above $3M

Buyer Profile

1st Property

2nd Property

3rd+

Singapore Citizen

20%

30%

Permanent Resident

30%

35%

Foreigner

60%

Cost Item

Amount

Paid In

Option Fee

1% of purchase price

Cash

Exercise of OTP

4–9% of purchase price

Cash / CPF

Buyer's Stamp Duty (BSD)

1–6% (tiered)

Cash / CPF (within 14 days)

ABSD

0–60% (citizenship-dependent)

Cash / CPF

Legal Fees (conveyancing)

~$3,000

Cash / CPF

Agent Fees

1–2% of purchase price

Cash

Factor

New Launch

Resale

Price

Developer-set, typically at a premium

Market-driven, often negotiable

What you see

Show flat only

The actual unit

Keys timeline

3–5 years (under construction)

8–12 weeks

Agent fee

Paid by developer (buyer pays 0%)

1–2% typically by buyer

Defect coverage

Defects Liability Period (1 year)

Buy as-seen

Payment

Progressive payment scheme available

Full payment at completion

Factor

HDB Resale / BTO

Private Condo

Eligibility

SC (BTO). SC + PR (resale)

All buyers

Max LTV

80% (HDB loan) / 75% (bank)

75% (bank loan)

MSR

Yes — 30% of income

Minimum Occupation

5 years before you can sell

No MOP

ABSD (SC 1st property)

Rental

Whole flat only after MOP

Anytime (whole unit)

Lease

99 years

99 years or freehold

Factor

Bank Loan

HDB Concessionary Loan

LTV

Up to 75%

Up to 80%

Interest rate

~2.5–4% (variable, SORA-based)

2.6% (fixed, CPF OA rate + 0.1%)

Lock-in period

Usually 1–3 years

None

Eligible properties

All residential

HDB flats only

Prepayment penalty

Yes (during lock-in)

None

Refinancing

Allowed after lock-in

Cannot return to HDB loan

Scenario

Max LTV

Min Down Payment

Private property — no outstanding loans

75%

25% (5% must be cash)

HDB — HDB concessionary loan

80%

20% (CPF or cash)

HDB — bank loan

75%

25% (5% must be cash)

Private — 1 outstanding loan

45%

55%

Private — 2+ outstanding loans

35%

65%

Week

Milestone

Week 1

Exercise OTP — deposit paid, solicitors engaged on both sides

Week 1–2

BSD and ABSD paid (must be within 14 days of exercise)

Week 2–4

Bank issues Letter of Offer; Buyer's solicitor conducts title search

Week 4–8

Vendor's solicitor prepares completion documents

Week 8–10

Completion notice issued — CPF Board notified to release funds

Completion Day

Simultaneous exchange: keys handover + balance payment + title transfer

Cost

Typical Range

Notes

MCST Maintenance Fees

$200–$800/month

Covers shared facilities, security, cleaning

Sinking Fund

Included in above

Reserve for major repairs (lifts, roof, etc.)

Property Tax

4–16% of Annual Value

Non-owner-occupied rates are higher

Home Insurance

$150–$400/year

Covers building structure and contents

HDB S&CC (Service & Conservancy)

$20–$90/month

HDB flats only, based on flat type

Year of Sale (from purchase)

SSD Rate

Year 1 (within 1 year)

12%

Year 2 (1–2 years)

Year 3 (2–3 years)

After 3 years