Understanding ABSD: Your Complete Stamp Duty Calculator Guide for Singapore Property Buyers
The Additional Buyer's Stamp Duty (ABSD) is a critical cost that many Singapore property buyers overlook until it's time to complete their purchase. Whether you're a Singaporean buying your second home, a permanent resident acquiring your first property, or a foreigner entering Singapore's property market, understanding ABSD rates and using an accurate calculator can save you thousands of dollars. At Homejourney, we're committed to helping you make informed property decisions through transparent, verified information—and that starts with understanding every cost involved in your purchase.
ABSD is calculated based on the purchase price or market value of your property (whichever is higher) and varies significantly depending on your residency status and the number of properties you already own.[1] As of 27 April 2023, Singapore's ABSD rates underwent substantial changes designed to promote sustainable property markets and prioritize owner-occupation.[3] This guide will walk you through current rates, how to calculate ABSD accurately, and strategies to understand your total stamp duty liability.
Current ABSD Rates in 2026: What You Need to Know
ABSD rates depend entirely on your residency status and how many properties you currently own. The rates were last updated on 27 April 2023 and remain in effect through 2026.[3]
For Singapore Citizens:
- First property: No ABSD payable
- Second property: 17% ABSD
- Third and subsequent properties: 25% ABSD
For Permanent Residents (PRs):
- First property: 5% ABSD
- Second property: 25% ABSD
- Third and subsequent properties: 30% ABSD
For Foreigners:
- Any property purchase: 60% ABSD
The increase in foreigner ABSD rates from 30% to 60% represents one of the most significant changes in Singapore's property market policy.[3] This substantial increase means that foreign buyers must carefully evaluate whether purchasing property in Singapore aligns with their investment goals, particularly when factoring in total stamp duty obligations.
How to Calculate Your Total Stamp Duty: BSD + ABSD
Your total stamp duty liability consists of two components: Buyer's Stamp Duty (BSD) and Additional Buyer's Stamp Duty (ABSD). Understanding how each is calculated ensures you're not caught off guard by unexpected costs.
Step 1: Calculate Your Buyer's Stamp Duty (BSD)
BSD is calculated on a tiered basis using the purchase price or market value (whichever is higher).[1] As of 15 February 2023, higher marginal rates apply to properties exceeding S$1.5 million.[3]
Current BSD rates for residential properties are:
- First S$180,000: 1%
- Next S$180,000 (S$180,001–S$360,000): 2%
- Next S$640,000 (S$360,001–S$1,000,000): 3%
- Next S$500,000 (S$1,000,001–S$1,500,000): 4%
- Next S$1,500,000 (S$1,500,001–S$3,000,000): 5%
- Amount exceeding S$3,000,000: 6%
For non-residential properties, the top marginal rate is 5% instead of 6%.[1]
Example BSD Calculation: For a S$2,500,000 residential property:
- First S$180,000 × 1% = S$1,800
- Next S$180,000 × 2% = S$3,600
- Next S$640,000 × 3% = S$19,200
- Next S$500,000 × 4% = S$20,000
- Remaining S$1,000,000 × 5% = S$50,000
- Total BSD = S$94,600
Step 2: Calculate Your ABSD
ABSD is calculated as a percentage of the same purchase price or market value used for BSD. Simply multiply your property value by your applicable ABSD rate based on your residency status and property count.
Example ABSD Calculation: A Singapore citizen buying their second S$2,500,000 residential property would pay:
- S$2,500,000 × 17% (second property rate) = S$425,000
Step 3: Calculate Total Stamp Duty
Add BSD and ABSD together. In our example: S$94,600 (BSD) + S$425,000 (ABSD) = S$519,600 total stamp duty.[3] This represents approximately 20.8% of the purchase price—a substantial cost that must be factored into your financing and cash outlay planning.
Using an ABSD Stamp Duty Calculator Effectively
While manual calculations are possible, using an accurate ABSD stamp duty calculator eliminates human error and provides instant results. Multiple calculators are available online, including tools provided by property platforms and the official IRAS myTax Portal.[2][4]
What Information You'll Need:
- Property type (residential or non-residential)
- Purchase price or estimated market value
- Your residency status (Singapore citizen, PR, or foreigner)
- Number of properties you currently own
- Whether this is a joint purchase and co-buyer details
At Homejourney, we emphasize the importance of using verified, up-to-date calculators that reflect current 2026 rates. Many older calculators still reference pre-April 2023 rates, which would significantly underestimate your ABSD liability, particularly for foreigners and investors buying multiple properties.
Pro Tip for Accuracy: Always cross-reference your calculator results by manually verifying the tiered BSD calculation. This double-check ensures the tool is applying current marginal rates correctly, especially for properties valued above S$1.5 million where rates increased substantially.
ABSD Considerations for Different Buyer Categories
First-Time Singaporean Buyers
If you're a Singapore citizen buying your first property, you pay only BSD—no ABSD applies.[3] This is the most favorable scenario in Singapore's property market. However, once you purchase a second property, ABSD jumps to 17%, making property investment significantly more expensive. Many Singaporeans strategically plan their property purchases to minimize ABSD exposure, sometimes considering decoupling strategies or timing their upgrades carefully.
Permanent Residents
PRs face a different structure: 5% ABSD applies even to your first property, then increases to 25% for the second and 30% for subsequent properties.[3] This means PR status does not provide the same ABSD advantage as Singapore citizenship. If you're a PR considering property investment, factor this 5% cost into your financial planning from the outset.
Foreign Buyers
The 60% ABSD rate for foreigners is one of the most restrictive in the world and fundamentally changes the investment calculus.[3] For a foreigner purchasing a S$2,000,000 property, ABSD alone would be S$1,200,000—before adding BSD of approximately S$80,000. This S$1,280,000 stamp duty represents 64% of the purchase price. Given this substantial cost, foreign buyers should explore whether they qualify for exemptions. For example, citizens of EFTA countries like Liechtenstein may qualify for preferential ABSD treatment under certain conditions—refer to Liechtenstein Citizens Singapore Property: EFTA ABSD Benefits 2026 for detailed information on EFTA exemptions.
Key Factors That Affect Your ABSD Calculation
Property Valuation Method
ABSD and BSD are calculated on the purchase price or market value, whichever is higher.[1] If you're purchasing a property below market value, IRAS may require a professional valuation to determine the true market value. This protects the government from stamp duty avoidance but can increase your costs if the valuation exceeds your purchase price.
Mixed-Use Properties
If you're buying a property with both residential and commercial components (such as a shophouse or mixed-use development), stamp duty is calculated separately for each component based on the proportional value determined by a professional valuer.[1] This can result in different BSD rates applied to residential versus commercial portions, potentially increasing total stamp duty.
Joint Purchases
When two or more buyers purchase a property together, ABSD rates may apply differently depending on each buyer's residency status and property ownership history. A calculator should account for co-buyer details to provide accurate ABSD estimates.[2]
Planning Your Property Purchase Budget: Beyond ABSD
While ABSD and BSD represent the largest stamp duty costs, your total property acquisition expenses extend far beyond these two items. At Homejourney, we emphasize transparent cost planning because hidden expenses frequently surprise first-time buyers.
Additional Costs to Budget For:
- Legal fees: Typically S$800–S$2,000 depending on property value and complexity
- Valuation fees: S$300–S$800 for professional property valuation
- Survey fees: S$200–S$500 if required
- Property inspection: S$300–S$800 for professional home inspection
- Mortgage insurance: If your loan-to-value exceeds 80%
- Agent commission: Typically 1–2% split between buyer and seller agents
When planning your purchase, calculate total acquisition costs as a percentage of the property price. For many buyers, total costs (including stamp duty, legal fees, and other expenses) range from 5–8% of the purchase price. Using Homejourney's property search tools Property Search alongside accurate stamp duty calculators helps you identify properties that fit within your complete budget, not just your purchase price target.
Common ABSD Mistakes and How to Avoid Them
Mistake 1: Using Outdated Calculator Rates
Many online calculators were last updated in 2023 or earlier. If a calculator shows ABSD for foreigners at 30% instead of 60%, or doesn't reflect the higher BSD marginal rates for properties exceeding S$1.5 million, it's outdated. Always verify the calculator's last update date and cross-reference with official IRAS sources.
Mistake 2: Forgetting to Account for Market Value
Many buyers calculate stamp duty based only on their purchase price, overlooking that IRAS uses market value if it exceeds the purchase price.[1] If you negotiate a below-market purchase, request a professional valuation early to understand your true stamp duty liability.
Mistake 3: Miscounting Existing Properties
Your ABSD rate depends on how many properties you currently own. This includes properties held jointly, properties in other countries, and even properties you've sold within the past year in some cases. Carefully verify your property count before calculating ABSD—underestimating this number could mean underpaying stamp duty, resulting in penalties.
Mistake 4: Not Planning for Financing Impact
High ABSD costs reduce the cash you have available for down payments and may affect your loan-to-value ratio and mortgage eligibility. Use Bank Rates to understand current mortgage rates and financing options alongside your stamp duty calculations, ensuring you can actually afford the property after accounting for all costs.
ABSD Exemptions and Special Circumstances
While most property buyers pay ABSD based on their residency status, certain exemptions exist. The most notable is the EFTA exemption for citizens of countries in the European Free Trade Association, including Liechtenstein, Norway, Iceland, and Switzerland. These buyers may qualify for preferential ABSD treatment under bilateral agreements. For comprehensive information on EFTA benefits and eligibility requirements, see Liechtenstein Citizens Singapore Property: EFTA ABSD Benefits 2026 .
Additionally, some corporate structures or trust arrangements may have different ABSD implications. If you're purchasing through a company or complex ownership structure, consult a tax professional before finalizing your purchase, as ABSD calculations may differ significantly from individual purchases.
