The Singapore Property ABSD Rates Comparison by Nationality in 2025 is one of the most important things you must understand before buying any home or investment property. Homejourney has created this definitive guide so Singaporeans, PRs and foreigners can compare ABSD clearly, avoid costly mistakes, and make safe, confident decisions.
In 2025, Additional Buyer’s Stamp Duty (ABSD) can easily add hundreds of thousands of dollars to a purchase, especially for foreigners and buyers of second or third properties.[2][5][10] Understanding how ABSD differs by nationality, residency status and number of properties is now as critical as comparing interest rates or locations.
Table of Contents
- 1. What Is ABSD and Why It Matters in 2025
- 2. ABSD Rates 2025: Side‑by‑Side Comparison by Nationality
- 3. Special Nationalities & FTA Countries: When Foreigners Pay Local Rates
- 4. How ABSD Interacts with BSD, LTV, TDSR and CPF
- 5. ABSD for Different Buyer Profiles: Citizens, PRs, Foreigners & Entities
- 6. Practical Scenarios: Real Cost Examples in 2025
- 7. Strategies to Manage or Reduce ABSD (Safely)
- 8. Process, Documents and Timeline for Paying ABSD
- 9. Common Mistakes, Red Flags and How Homejourney Protects You
- 10. FAQs: ABSD Comparison by Nationality 2025
- 11. Next Steps: Using Homejourney for a Safe Property Journey
1. What Is ABSD and Why It Matters in 2025
Additional Buyer’s Stamp Duty (ABSD) is a tax on top of normal Buyer’s Stamp Duty (BSD) that applies when you buy residential property in Singapore. The rate depends on your profile (citizen, PR, foreigner, entity) and the number of properties you already own.[2][5][10]
Since the major cooling measures on 27 April 2023, foreigners pay 60% ABSD on any residential purchase, while Singaporeans and PRs pay tiered ABSD rates on second and subsequent properties.[2][5][8][10] These rates remain in force in 2025.[2][5]
Why this matters now:
- Massive cash impact: On a S$2M condo in River Valley, a foreigner can face S$1.2M ABSD alone at 60%.[2][4][5]
- Financing constraints: ABSD must usually be paid in cash or CPF and is not covered by housing loans.[10]
- Citizens vs PRs vs foreigners: The same property can have zero ABSD for a first‑time Singapore citizen buyer but 60% for a foreigner.[2][5]
- National treatment exceptions: Certain nationals (e.g. US citizens) may be treated like Singaporeans for ABSD under Free Trade Agreements (FTAs).[4][9][10]
On the ground, this is changing behaviour. In 2024 and 2025, many foreign clients Homejourney has spoken to shifted from buying two small CBD units to a single larger CCR apartment or even renting for a few years first, once they saw the ABSD exposure.
2. ABSD Rates 2025: Side‑by‑Side Comparison by Nationality
2.1 Quick ABSD Comparison Table (2025)
The table below summarises the ABSD comparison by nationality for 2025, based on IRAS and market guides.[2][5][6][9][10]
This table alone already shows how foreigner ABSD comparison is stark: 0% for a first‑time Singaporean buyer vs 60% for a non‑FTA foreigner on the same unit.[2][4][5][8]
2.2 How ABSD Is Calculated
ABSD is calculated on the higher of the property’s purchase price or market value, similar to BSD.[2][10] The formula is:
ABSD payable = (Higher of purchase price or market value) × ABSD rate
Example (2025):
- SC buying 2nd condo in Punggol at S$1,200,000 – ABSD = 20% × S$1,200,000 = S$240,000.[2][5]
- Foreigner buying same condo – ABSD = 60% × S$1,200,000 = S$720,000.[2][4][5]
3. Special Nationalities & FTA Countries: When Foreigners Pay Local Rates
3.1 FTA Nationals Treated as Singapore Citizens
Under Singapore’s Free Trade Agreements, citizens and some permanent residents of certain countries are, for ABSD purposes, treated the same as Singapore citizens when buying residential property.[4][9][10] As of 2025, this group commonly includes:
- United States of America
- Iceland
- Liechtenstein
- Norway
- Switzerland
These buyers pay the same ABSD as Singaporeans: 0% on first, 20% on second, 30% on third and subsequent properties.[4][9][10] This is a critical nuance in any ABSD comparison by nationality – not all foreigners are treated equally.
Insider tip from the ground: Many American clients in areas like Robertson Quay, Holland Village and Novena are surprised when they discover this, as overseas agents or bankers sometimes assume a flat 60% foreigner ABSD. Always confirm your nationality treatment with IRAS or a qualified solicitor before committing.
3.2 Verifying Your FTA Eligibility Safely
To avoid costly mistakes:
- Check the latest IRAS ABSD page: [10]
- Confirm with your conveyancing lawyer that you qualify as an FTA national buyer.
- Ensure your passport and residency documents are valid and up to date on the date of purchase – your profile is fixed at that point.[10]
Homejourney recommends documenting all advice in writing (email or letters) and keeping copies for at least the full holding period of the property, in case IRAS queries your profile later.
4. How ABSD Interacts with BSD, LTV, TDSR and CPF
4.1 BSD vs ABSD: Both Apply
Buyer’s Stamp Duty (BSD) applies to all buyers – citizens, PRs, foreigners and entities – regardless of property count.[2][4][10] ABSD is on top of BSD. In 2025, BSD is tiered (1–6%) based on price brackets.[4]
For a S$1.8M RCR condo:
- BSD is calculated using IRAS’ tiered rates (up to 6%).[4][10]
- ABSD is then added based on your nationality and property count.
4.2 Loan‑to‑Value (LTV) and ABSD Cash Requirements
MAS LTV rules cap how much you can borrow relative to the property value, depending on the number of outstanding housing loans and loan tenure.[2][5] ABSD must normally be paid upfront in cash and/or CPF, not financed by the mortgage.[10]
In practice, this means:
- A high ABSD rate effectively increases your downpayment.
- Foreigners and investors often need a significantly larger cash buffer.
- This is especially impactful for older buyers whose CPF OA may be lower.
Use Homejourney’s bank rate tools at Bank Rates or Mortgage Rates to model your LTV, monthly instalments and cash/CPF layout safely before committing.
4.3 TDSR, MSR and CPF Usage
Total Debt Servicing Ratio (TDSR) caps total monthly debt obligations at a percentage of gross monthly income, while Mortgage Servicing Ratio (MSR) applies specifically to HDB and EC purchases.[2][5] CPF can be used to pay ABSD and BSD, subject to CPF housing usage limits and applicable rules from CPF Board.
ABSD does not change your TDSR or MSR calculations directly, but because it must be funded in cash/CPF, it can strain finances and reduce tolerance for interest rate changes.
5. ABSD for Different Buyer Profiles: Citizens, PRs, Foreigners & Entities
5.1 Singapore Citizens (SC)
For Singapore citizens in 2025:[2][5][9][10]
- 1st residential property: 0% ABSD
- 2nd residential property: 20% ABSD
- 3rd and subsequent properties: 30% ABSD
This structure supports genuine homeownership for first‑timers while moderating investment demand.[2][9]
Real‑life example: A young couple buying their first 4‑room resale flat in Tampines at S$650,000 generally pays only BSD, with no ABSD. But if they later upgrade to a private condo in Bartley without selling the HDB first, they will temporarily incur ABSD on the second property until remission conditions are met.
5.2 Singapore Permanent Residents (SPR)
- 1st residential property: 5% ABSD
- 2nd residential property: 30% ABSD
- 3rd and subsequent: 35% ABSD
This is a key difference in the ABSD comparison nationality between SCs and PRs.[3][5]
Insider observation: Among clients living in city‑fringe areas like Kallang and Queenstown, it’s common for long‑term PRs to eventually apply for citizenship to enjoy lower ABSD on future upgrades or investment properties.
5.3 Foreign Individuals (Non‑FTA)
For foreign individuals who are not covered by FTA treatment, the ABSD structure is simple but steep:[2][4][5][6][8][10]
- 1st, 2nd, 3rd property (any residential): 60% ABSD
There is no progressive increase – it is a flat 60% across all properties. This is why any foreigner ABSD comparison now dominates investment calculations.
References
- Singapore Property Market Analysis 2 (2025)
- Singapore Property Market Analysis 5 (2025)
- Singapore Property Market Analysis 10 (2025)
- Singapore Property Market Analysis 8 (2025)
- Singapore Property Market Analysis 4 (2025)
- Singapore Property Market Analysis 9 (2025)
- Singapore Property Market Analysis 6 (2025)
- Singapore Property Market Analysis 3 (2025)
