Understanding ABSD: Your Complete Stamp Duty Calculator Guide for 2026
The Additional Buyer's Stamp Duty (ABSD) is a crucial cost that affects property buyers in Singapore, particularly those purchasing second properties, foreigners, and permanent residents. Understanding how to calculate ABSD and knowing the current rates is essential for making informed property investment decisions. At Homejourney, we prioritize transparency and accuracy so you can confidently navigate Singapore's property market with complete clarity on your financial obligations.
What is ABSD and Why Does It Matter?
ABSD is an additional stamp duty imposed on top of the standard Buyer's Stamp Duty (BSD) when purchasing property in Singapore. The amount you pay depends on your residency status, citizenship, and how many properties you already own. Since the April 2023 revisions, ABSD rates have increased significantly—particularly for foreign buyers—making it critical to understand these costs before committing to a property purchase.
The key distinction is that BSD applies to all property purchases, while ABSD applies conditionally based on your buyer profile. This means your total stamp duty obligation could be substantially higher than the base BSD rate alone, especially if you're purchasing your second property or buying as a foreigner.
Current ABSD Rates (2026): What You Need to Know
As of February 2026, ABSD rates are tiered based on your residency status and property ownership history. These rates were last updated on 27 April 2023 and remain in effect:
Singapore Citizens
- First property: 0% ABSD (no additional duty)
- Second property: 17% ABSD
- Third and subsequent properties: 25% ABSD
Singapore Permanent Residents (PRs)
- First property: 5% ABSD
- Second property: 25% ABSD
- Third and subsequent properties: 30% ABSD
Foreigners
- Any property: 60% ABSD (applies to all properties, regardless of how many you own)
The 60% rate for foreigners represents a significant increase from the previous 30% rate and reflects Singapore's policy to prioritize property ownership for citizens and permanent residents. This is a critical consideration for international buyers exploring Singapore property investment.
How to Calculate Your Total Stamp Duty: A Step-by-Step Process
Calculating your stamp duty involves two components: BSD and ABSD. Here's how to work through this systematically:
Step 1: Calculate Your Buyer's Stamp Duty (BSD)
BSD is calculated based on the purchase price or market value of the property (whichever is higher) using tiered rates that increased on 15 February 2023. The current BSD rates for residential properties are:
- First $180,000: 1%
- Next $180,000 ($180,001–$360,000): 2%
- Next $640,000 ($360,001–$1,000,000): 3%
- Next $500,000 ($1,000,001–$1,500,000): 4%
- Next $1,500,000 ($1,500,001–$3,000,000): 5%
- Remaining amount (above $3,000,000): 6%
For non-residential properties, the top marginal rate is 5% instead of 6%, with all other tiers remaining identical.
Step 2: Calculate Your Additional Buyer's Stamp Duty (ABSD)
ABSD is calculated as a percentage of the same purchase price or market value. Multiply your property value by your applicable ABSD rate based on your residency status and property ownership history. For example, if you're a Singapore citizen buying a second property valued at $800,000, your ABSD would be $800,000 × 17% = $136,000.
Step 3: Calculate Total Stamp Duty
Add your BSD and ABSD together to determine your total stamp duty obligation. This total must be paid to the Inland Revenue Authority of Singapore (IRAS) within 14 days of the property purchase completion.
Practical Example: Calculating Stamp Duty for Different Buyer Profiles
Scenario: Purchasing a residential property valued at $1,200,000
Singapore Citizen (First Property)
- BSD: ($180,000 × 1%) + ($180,000 × 2%) + ($640,000 × 3%) + ($200,000 × 4%) = $1,800 + $3,600 + $19,200 + $8,000 = $32,600
- ABSD: $0 (no ABSD for first property)
- Total Stamp Duty: $32,600
Singapore Citizen (Second Property)
- BSD: $32,600 (same calculation as above)
- ABSD: $1,200,000 × 17% = $204,000
- Total Stamp Duty: $236,600
Foreign Buyer
- BSD: $32,600 (same calculation as above)
- ABSD: $1,200,000 × 60% = $720,000
- Total Stamp Duty: $752,600
This example demonstrates why ABSD can dramatically increase your property purchase costs. The same property costs a foreign buyer $720,000 in additional stamp duty alone—more than 22 times what a first-time Singapore citizen buyer pays.
Using the ABSD Stamp Duty Calculator: Homejourney's Approach to Transparency
While manual calculations are possible, using a dedicated ABSD stamp duty calculator eliminates errors and provides instant results. When selecting a calculator, Homejourney recommends choosing tools that allow you to input your specific buyer profile, property type, and purchase price to generate accurate estimates.
The most reliable calculators ask you to specify:
- Property type (residential or non-residential)
- Purchase price or estimated market value
- Your nationality and residency status
- Number of properties you currently own
- Whether this is a joint purchase and co-buyer details
Homejourney's commitment to user safety means we recommend using the official IRAS myTax Portal calculator or verified third-party tools that transparently display their calculation methodology. This ensures you're getting accurate information to support your property investment decisions.
Key Factors That Affect Your ABSD Calculation
Property Ownership History
Your current property ownership directly determines your ABSD rate. Singapore citizens and PRs moving from their first to second property see significant rate jumps (0% to 17% for citizens, 5% to 25% for PRs). Foreigners face the same 60% rate regardless of ownership history, making property portfolio expansion particularly costly.
Residency Status Changes
If you're a foreigner planning to become a Singapore PR or citizen, timing your property purchase strategically could result in substantial savings. However, ABSD is calculated based on your status at the time of purchase completion, so you must be officially recognized as a PR or citizen before signing the purchase agreement to benefit from lower rates.
Joint Purchases
When buying property jointly, ABSD is calculated based on the buyer with the higher rate. If one buyer is a Singapore citizen (first property, 0% ABSD) and the other is a foreigner (60% ABSD), the entire purchase is subject to 60% ABSD. This is a critical consideration for international couples or business partnerships purchasing Singapore property.
Property Type Distinction
While ABSD rates don't differ between residential and non-residential properties, BSD rates do. Non-residential properties have a lower top marginal rate (5% vs. 6%), which can provide modest savings on the BSD component for higher-value commercial purchases.
Strategies to Minimize Your ABSD Costs
Timing Your Purchase Around Residency Status
If you're eligible to become a Singapore PR or citizen, applying before your property purchase could unlock significant ABSD savings. A foreigner buying a $1 million property saves $600,000 in ABSD by becoming a PR (5% first property rate vs. 60% foreigner rate).
Considering Property Value Brackets
Since ABSD is calculated as a percentage of the full purchase price, properties valued just below psychological price points don't offer meaningful savings. However, understanding how BSD rates tier can help you evaluate whether a slightly less expensive property might suit your needs and budget.
Evaluating Financing Options
While ABSD cannot be avoided, optimizing your overall financing strategy through Bank Rates and understanding your mortgage options can offset stamp duty costs. Some buyers structure their financing to maximize CPF usage or explore different loan products that reduce overall interest costs.
Joint Ownership Considerations
For couples with mixed residency status, structuring ownership carefully—such as having the PR or citizen be the primary owner—can reduce ABSD rates. Consult with a property lawyer to understand implications for ownership, liability, and estate planning.
Common Misconceptions About ABSD
"I Can Avoid ABSD by Structuring the Purchase Differently"
IRAS has clear guidelines preventing ABSD avoidance through creative structuring. The duty applies based on your actual buyer status at completion, regardless of how you organize the transaction. Attempting to circumvent ABSD can result in penalties and legal consequences.
"ABSD Only Applies to Investment Properties"
ABSD applies to all property purchases beyond your first property, including owner-occupied homes. A Singapore citizen upgrading from their HDB to a private condo pays 17% ABSD on the condo purchase.
"Foreign Spouses Can Reduce ABSD Costs"
While marriage doesn't change individual residency status, joint ownership structures do affect which ABSD rate applies. A foreigner married to a Singapore citizen still pays 60% ABSD on their share of a joint property purchase.
Planning Your Property Budget: Including ABSD in Your Calculations
When evaluating property affordability, factor ABSD into your total cost of ownership alongside BSD, legal fees, agent commissions, and renovation costs. For a second property purchase by a Singapore citizen, ABSD often exceeds BSD, making it the largest stamp duty component.
Use this framework to budget accurately:
- Purchase price: Your target property value
- BSD: Calculate using the tiered rates above
- ABSD: Apply your applicable percentage rate
- Legal and conveyancing: Typically $1,500–$3,000
- Agent commission: Usually 1–1.5% of purchase price (if using an agent)
- Valuation and inspection: $300–$800
- Total acquisition costs: Usually 6–8% of purchase price when including all fees
This comprehensive view helps you determine whether you need to adjust your property search parameters or financing approach through Mortgage Rates .
ABSD for Different Buyer Categories: Detailed Breakdown
First-Time Singapore Citizen Buyers
You enjoy the most favorable ABSD treatment at 0%, paying only BSD. This makes first-time purchase significantly more affordable than subsequent purchases. If you're considering multiple properties, timing your purchases strategically can minimize total ABSD across your portfolio.
Singapore Citizens Upgrading Properties
Moving from an HDB to a private property or upgrading within the private market triggers 17% ABSD on your second property. Many buyers sell their first property before purchasing the second to reset their ownership count, though this requires careful timing and market analysis to avoid losses.
Permanent Residents
PRs face higher ABSD rates than citizens (5% for first property vs. 0%), reflecting Singapore's prioritization of citizen homeownership. PRs should carefully evaluate whether property investment aligns with their long-term Singapore plans, given the substantial ABSD costs.
Foreign Buyers
The 60% ABSD rate makes Singapore property investment significantly more expensive for foreigners. This rate applies universally, making it crucial to evaluate whether the property's appreciation potential and rental yield justify the substantial upfront stamp duty cost. For detailed guidance on foreign buyer financing options, see our Financing Options for Foreign Buyers in Singapore | Homejourney .
Frequently Asked Questions About ABSD and Stamp Duty
Q: Can I pay ABSD in installments or defer payment?
No. ABSD must be paid in full within 14 days of property purchase completion to IRAS. There are no installment options or deferment schemes. Plan your financing accordingly to ensure you have sufficient funds available for stamp duty payment.
