Singapore cooling measures - raises additional buyer's stamp duty, tightens loan limit
16 Dec 2021 12:00AM - CNA
The Singapore government has raised the additional buyer's stamp duty and narrowed down HDB loan limits in an effort to cool their property market.
From Thursday 16th Dec, the price of residential properties in Singapore will increase with additional ABSD. The TDSR for borrowers and Housing Board loans are going to be tightened while they’re lowering it from 90% down to 85%.
The 12% rate will go up to 17% for second home, and the 15% rate for citizens who buy their third or subsequent home has been increased to 25%.
As of 16th Dec, permanent residents will see their ABSD rate rise from 15% to 25%. If they are purchasing three or more properties the rate will increase from 15 per cent to 30 per cent and the rates for foreigners buying residential properties are increasing from 20% to 30%.
The authorities have raised the ABSD rate for entities, including housing developers from 25% to 35%. However if housing developers abide by certain conditions the sum can be waived but will still have to abide by the existing rule under which they must pay an extra 5 per cent of ABSD that cannot be waived.
The revised ABSD rates will apply where the option to purchase (OTP) is granted from Dec 16 onwards.
(Courtesy of CNA)