ABSD Rates by Nationality 2026: Complete Comparison for Singapore Buyers

Understanding Additional Buyer's Stamp Duty (ABSD) is critical for anyone purchasing property in Singapore. Whether you're a Singapore citizen buying your second home, a permanent resident investing in property, or a foreigner entering the Singapore real estate market, ABSD represents a significant cost that directly impacts your total purchase price. At Homejourney, we believe informed buyers make safer, smarter decisions—and that starts with understanding exactly how much ABSD you'll pay based on your nationality and residency status.

This comprehensive guide breaks down ABSD rates by nationality for 2026, provides real-world calculation examples, and explains how these rates affect your property investment strategy. We've structured this guide to help you understand not just the numbers, but the reasoning behind Singapore's ABSD structure and how to plan accordingly.

Table of Contents

• What Is ABSD and Why Does It Matter?
• ABSD Rates by Nationality 2026
• Singapore Citizens: ABSD Rates Explained
• Permanent Residents: ABSD Comparison
• Foreigners: Understanding the 60% ABSD Rate
• Entities and Companies: Special ABSD Rules
• How to Calculate ABSD: Real Examples
• ABSD Remission: Can You Reduce Your Liability?
• Joint Purchases and Mixed Nationalities
• ABSD Comparison Table by Nationality
• Planning Your Property Purchase Strategy
• Frequently Asked Questions
• Next Steps: Making Your Property Purchase Safer

What Is ABSD and Why Does It Matter?

ABSD (Additional Buyer's Stamp Duty) is a tax imposed on property purchases in Singapore, designed to moderate property speculation and maintain housing affordability for residents.[1] Unlike the standard Buyer's Stamp Duty (BSD), which applies to all property purchases, ABSD is an additional layer of taxation that depends on your nationality, residency status, and how many properties you already own.

Introduced in December 2011, ABSD has evolved significantly, with rates increasing substantially in April 2023 as part of Singapore's property cooling measures.[2] These rates remain in effect through 2026 and represent one of the largest components of your total purchase costs. For example, a foreigner buying a S$1 million condominium will pay S$600,000 in ABSD alone—before considering BSD and other transaction costs.[2]

At Homejourney, we emphasize understanding ABSD because it fundamentally affects your investment returns, affordability calculations, and property selection strategy. This is why we prioritize transparency—helping you see the complete financial picture before committing to a purchase.

Why ABSD Exists: Singapore's Housing Policy Context

Singapore's government implemented ABSD as a cooling measure to achieve several policy objectives: protecting housing affordability for citizens, preventing excessive speculation, and ensuring housing supply remains available for local residents. The rates are deliberately structured to be progressively higher for non-citizens and for multiple property purchases, reflecting the government's priority of keeping property accessible to Singaporeans.

Understanding this context helps explain why foreigners face a 60% ABSD rate while citizens buying their first property pay nothing. It's not arbitrary—it's a deliberate policy choice that affects your investment calculations and timeline.

ABSD Rates by Nationality 2026

As of February 2026, ABSD rates established on 27 April 2023 remain in effect. These are the rates you'll encounter for all property purchases made today. The structure varies significantly by buyer profile, creating substantial differences in total purchase costs.

Current ABSD Rate Structure

ABSD is calculated based on the higher of the purchase price or market valuation of the property.[1] This means if you negotiate a below-market purchase price, ABSD is still calculated on the property's true market value—you cannot reduce ABSD through aggressive negotiation.

The applicable rate depends entirely on your buyer profile on the date of purchase. If you're purchasing jointly with someone of a different nationality or residency status, the highest applicable rate applies to the entire property value.[3] This is crucial for joint purchases and we'll explore this in detail later.

Singapore Citizens: ABSD Rates Explained

Singapore citizens enjoy the most favorable ABSD treatment, reflecting the government's priority of supporting homeownership for residents. However, ABSD increases significantly for multiple property ownership.

SC ABSD Rates Breakdown

• First residential property: Not applicable (0%) – Singapore citizens pay no ABSD on their first property purchase[1]
• Second residential property: 20% – ABSD applies from your second property onward[1]
• Third and subsequent properties: 30% – The rate increases further for additional properties[1]

This structure encourages first-time homeownership while moderating investment activity. A Singapore citizen buying a S$1 million second property would pay S$200,000 in ABSD, compared to S$600,000 if they were a foreigner buying the same property as their first purchase.[2]

What Counts as "Ownership" for ABSD Purposes?

ABSD is triggered based on the number of residential properties you own at the time of purchase, not the number you've purchased historically. If you sell your first property and then buy a second, that second purchase is still considered your "second property" for ABSD purposes. However, if you own a property jointly with a spouse or partner, you each count as owning that property, which affects your ABSD rate on subsequent purchases.

This distinction is important for property upgraders. Many Singaporeans plan to sell their first HDB flat and upgrade to a private property—but they need to time this correctly to avoid paying ABSD on the new property if they still own the first one at purchase time.

Permanent Residents: ABSD Comparison

Singapore Permanent Residents (PRs) occupy a middle ground between citizens and foreigners, with rates significantly higher than citizens but substantially lower than foreigners. PR status is granted by Singapore's Immigration and Checkpoint Authority (ICA), and your ABSD rate is determined by your status on the date of purchase.[3]

PR ABSD Rates Breakdown

• First residential property: 5% – PRs pay a modest ABSD on their first property[1]
• Second residential property: 30% – This jumps significantly for the second property[1]
• Third and subsequent properties: 35% – Further increases apply[1]

The jump from 5% to 30% for a PR's second property is substantial. A PR buying a S$1 million first property pays S$50,000 in ABSD, but their second property at the same price triggers S$300,000 in ABSD—a six-fold increase.[2] This structure reflects Singapore's policy of prioritizing housing for citizens while still welcoming permanent residents.

PR Status and Financial Planning

For individuals considering PR status, ABSD differences represent significant long-term financial advantages. PRs enjoy the same Buyer's Stamp Duty as citizens (1% on the first S$180,000, 2% on the next S$180,000, and progressively higher rates thereafter), but their ABSD rates are considerably higher.[5] This means PR status makes sense for long-term residents planning to own multiple properties, but the ABSD cost difference should factor into your decision timeline.

Foreigners: Understanding the 60% ABSD Rate

Foreigners face the most significant ABSD burden in Singapore's property market. As of 27 April 2023, the ABSD rate for any residential property purchased by a foreigner increased from 30% to 60%.[2] This represents a doubling of the rate and fundamentally changes the economics of foreign property investment in Singapore.

Foreigner ABSD: The 60% Rate

Any residential property purchased by a foreigner is subject to 60% ABSD, regardless of whether it's the first property.[2] This flat rate applies to condominiums, landed properties, and all other residential real estate. A foreigner purchasing a S$1 million property pays S$600,000 in ABSD—making the total acquisition cost S$1.6 million before BSD and other transaction costs.[2]

This rate is deliberately high, reflecting Singapore's policy of prioritizing housing for citizens and permanent residents. The government views foreign property purchases as investment activity rather than primary residence needs, and the 60% ABSD reflects this distinction.

Who Qualifies as a "Foreigner" for ABSD Purposes?

A foreigner is anyone who is not a Singapore citizen or Singapore permanent resident.[3] This includes international investors, expatriates working in Singapore, and foreign nationals of any origin. Your nationality doesn't matter—your residency status in Singapore is what determines your ABSD rate.

Notably, foreigners can still purchase residential property in Singapore, but they face significant ABSD costs. Some foreigners explore obtaining PR status to reduce ABSD liability, but PR applications have specific requirements and timelines. This is a strategic consideration for long-term foreign investors.

ABSD Remission for Foreign Spouses

One important exception exists: if a foreigner is married to a Singapore citizen or PR, they may qualify for ABSD remission on the foreign spouse's share of the property.[2] This remission reduces ABSD payable based on the percentage ownership attributable to the foreign spouse. For example, if a foreigner and Singapore citizen buy a property 50-50, the ABSD remission could reduce the overall ABSD rate from 60% to 30% (the SC rate), applied proportionally.

This remission is only available for residential properties and requires couples to document marital status and joint ownership for IRAS verification.[2] If you're in this situation, consult with a property lawyer or tax advisor to ensure you claim the remission correctly.

Entities and Companies: Special ABSD Rules

If you're purchasing property through a company, trust, or other entity rather than as an individual, different ABSD rules apply. All entities purchasing residential property are subject to a 65% ABSD rate.[3] This includes companies, investment trusts, associations, and other legal entities.

Housing Developer Exception

Licensed housing developers receive special treatment under ABSD rules. Developers purchasing residential sites for construction are subject to 35% ABSD plus an additional 5% non-remittable ABSD, totaling 40%.[3] This lower rate reflects the government's interest in encouraging housing supply.

However, developers may apply for remission on the 35% rate under specific circumstances: when developing 4 or fewer units of housing, or when developing 5 or more units.[3] These remissions recognize the government's priority of increasing housing supply.

How to Calculate ABSD: Real Examples

Understanding ABSD calculation is straightforward once you know the formula. ABSD is calculated as: Property Value × ABSD Rate = ABSD Amount Payable[1]

The "property value" is the higher of the purchase price or the property's market valuation.[1] This distinction is important because it prevents buyers from reducing ABSD through below-market negotiations.

Example 1: Singapore Citizen Buying Second Property

A Singapore citizen purchases a S$2 million condominium as their second property. The purchase price and market valuation are both S$2 million.

Calculation: S$2,000,000 × 20% = S$400,000 ABSD payable[1]

In addition to ABSD, the buyer also pays Buyer's Stamp Duty (BSD). BSD on a S$2 million property is approximately S$47,400 (1% on first S$180,000 = S$1,800; 2% on next S$180,000 = S$3,600; 3% on next S$640,000 = S$19,200; 4% on remaining S$1,000,000 = S$40,000). Total stamp duty = S$400,000 + S$47,400 = S$447,400.

Example 2: Permanent Resident Buying First Property

A Singapore PR purchases a S$1.5 million apartment as their first residential property. The market valuation is S$1.5 million.

Calculation: S$1,500,000 × 5% = S$75,000 ABSD payable[1]

BSD on S$1.5 million is approximately S$35,400. Total stamp duty = S$75,000 + S$35,400 = S$110,400. This demonstrates why PR status can be attractive for first-time property buyers—the 5% ABSD is modest compared to foreigner rates.

Example 3: Foreigner Buying Any Residential Property

A foreigner purchases a S$1 million condominium. This is their first property purchase in Singapore, but ABSD rates are the same regardless.

Calculation: S$1,000,000 × 60% = S$600,000 ABSD payable[2]

BSD on S$1 million is approximately S$23,700. Total stamp duty = S$600,000 + S$23,700 = S$623,700. This represents 62.4% of the property purchase price going to taxes alone—a significant consideration for foreign investors.

Example 4: Partial Property Ownership

A buyer purchases a 1% share of a S$1 million property from a co-owner. The buyer is subject to a 17% ABSD rate (as a citizen buying a second property under the old rate structure, though this example illustrates the calculation method).

Calculation: (S$1,000,000 × 1%) × 17% = S$1,700 ABSD payable[1]

This demonstrates an important principle: ABSD is calculated on your proportional share of the property value, not the full property value. If you're buying a minority stake, your ABSD liability is proportionally lower.

ABSD Remission: Can You Reduce Your Liability?

ABSD remission is a mechanism that can reduce your ABSD liability in specific circumstances. The primary remission available to most buyers is the foreign spouse remission, but understanding when remission applies is crucial for tax planning.

Foreign Spouse ABSD Remission

If you're purchasing a residential property jointly with a spouse of different nationality, you may qualify for remission on the foreign spouse's proportional share.[2] For example, if a Singapore citizen and foreigner buy a property 50-50, the ABSD remission reduces the overall rate from 60% (foreigner rate) to approximately 40% (weighted average of 20% citizen rate and 60% foreigner rate).

Remission Requirements:[2]

• Property must be residential
• Couples must document marital status
• Joint ownership must be clearly established
• IRAS verification is required

This remission can save significant money for international couples. A couple buying a S$1 million property where one is a foreigner might save S$100,000+ in ABSD through proper documentation and remission claims.

Developer ABSD Remission

Licensed housing developers can apply for remission on the 35% ABSD component (not the 5% non-remittable portion) when developing new housing.[3] Remission eligibility depends on the number of units being developed and the specific development circumstances. This is a specialized area requiring consultation with tax professionals.

Joint Purchases and Mixed Nationalities

When multiple buyers of different nationalities purchase property together, ABSD rules create a specific outcome: the highest applicable ABSD rate applies to the entire property value, regardless of proportional ownership.[3]

How Joint Purchase ABSD Works

If a Singapore citizen and a foreigner purchase a property jointly, the 60% foreigner rate applies to the full property value, not just the foreigner's share.[3] This is a significant consideration for international couples or business partners purchasing property together.

Example: A Singapore citizen and foreigner buy a S$1 million property 50-50.

• Without remission: S$1,000,000 × 60% = S$600,000 ABSD (the foreigner's higher rate applies)
• With foreign spouse remission (if married): S$1,000,000 × 40% = S$400,000 ABSD (weighted average)

The difference is S$200,000—a substantial amount that makes proper structuring essential for international couples.

Strategic Considerations for Joint Purchases

If you're purchasing with someone of a different nationality, consider these strategies:

• Sole ownership: Have the citizen or PR purchase alone to avoid the higher rate applying to the full property
• Married couples: Document marital status clearly to claim foreign spouse remission
• Timing: If one party is applying for PR status, coordinate the purchase timing to potentially benefit from lower PR rates
• Professional advice: Consult a property lawyer to structure the purchase optimally for your circumstances

At Homejourney, we emphasize that joint purchases with mixed nationalities require careful planning. This is exactly the type of situation where professional guidance creates safer, smarter outcomes.

ABSD Comparison Table by Nationality

This comprehensive table summarizes ABSD rates across all buyer profiles for easy reference and comparison:

Key Takeaway: The difference between a Singapore citizen's first property (0% ABSD) and a foreigner's property (60% ABSD) is S$600,000 on a S$1 million purchase. This 60% difference fundamentally changes investment economics and property affordability.

Planning Your Property Purchase Strategy

Understanding ABSD rates is the first step; using this knowledge to make better property decisions is the next. At Homejourney, we help you think strategically about ABSD in the context of your overall property goals.

For Singapore Citizens

Your primary ABSD consideration is timing your second property purchase. If you're upgrading from an HDB flat to a private property, you want to time the purchase so you don't own both properties simultaneously (which would trigger 20% ABSD on the private property). Many Singaporeans sell their HDB flat first, then purchase the private property—ensuring the private property counts as their "second property" rather than their "third property."

Additionally, consider whether you'll eventually own multiple investment properties. If you plan to build a property portfolio, the 30% ABSD on your third property is substantial. Some investors structure purchases through entities (though this triggers 65% ABSD), or time purchases strategically across years.

Use Homejourney's Property Search to explore properties in your target price range and neighborhoods, then calculate total acquisition costs including ABSD to understand true affordability.

For Permanent Residents

PR status creates a strategic inflection point: your first property at 5% ABSD is relatively affordable, but your second property jumps to 30%. If you're planning to own multiple properties, consider whether you should purchase multiple properties quickly (before the rate increases), or space purchases out over time.

Also consider whether obtaining Singapore citizenship is part of your long-term plan. Citizenship eliminates ABSD on your first property and reduces rates on subsequent properties. If you're eligible for citizenship, the ABSD savings might justify the application process and timeline.

For PRs considering property investment, consult with a tax advisor about entity structures. While entities face 65% ABSD (higher than PR rates), in some investment scenarios they may offer other tax advantages that offset the ABSD cost.

For Foreigners

The 60% ABSD rate is a fundamental constraint on foreign property investment in Singapore. This rate applies regardless of whether you're buying your first property or your fifth, and regardless of your investment timeline.

Strategic considerations for foreigners include:

• PR status timeline: If you're planning to stay in Singapore long-term, obtaining PR status could reduce ABSD from 60% to 5% on your first property—a massive saving of S$550,000 on a S$1 million purchase. PR applications typically take 2-4 years, so this is a long-term strategy.
• Marriage to citizen/PR: If you're married to a Singapore citizen or PR, document this clearly to claim foreign spouse remission, potentially reducing ABSD from 60% to 30-40%.
• Property selection: The 60% ABSD rate means you need to be highly selective about property purchases. A property must offer exceptional value or investment returns to justify the 60% ABSD cost. Use Homejourney's Projects to analyze development projects and Bank Rates to understand financing options.
• Non-residential properties: If you're interested in commercial property, ABSD rules differ. Consult with a property advisor about non-residential options.

References

1. Singapore Property Market Analysis 1 (2026)
2. Singapore Property Market Analysis 2 (2026)
3. Singapore Property Market Analysis 3 (2026)
4. Singapore Property Market Analysis 5 (2026)