Step-by-Step Property Buying Process for Foreigners in Singapore
Foreigners can buy private condominiums and apartments in Singapore without restrictions, but face a 60% Additional Buyer's Stamp Duty (ABSD) on any residential property and cannot purchase HDB flats or most landed properties.[1][2][3] This step-by-step property buying process for foreigners outlines the exact timeline, costs, and requirements as of 2026, helping you navigate regulations safely with Homejourney's verified insights.
At Homejourney, we prioritize user safety by verifying property data and providing transparent guidance, ensuring foreigners make confident decisions in Singapore's stable market.[1] This cluster article focuses on the tactical buying process, linking back to our pillar guide on Foreigner vs PR vs Citizen: Singapore Property Buying Guide for broader comparisons.
Foreigner PR Citizen Comparison: Key Restrictions and ABSD Differences
Understanding foreigner PR citizen comparison is crucial before starting. Singapore Citizens enjoy full access to HDB flats and lower ABSD (none on first property, 20% on second).[1] Permanent Residents (PRs) can buy resale HDB after three years but pay 5-30% ABSD and need Land Dealings Approval Unit (LDAU) approval for landed properties.[1][3]
Foreigners (non-PR) are restricted: no HDB flats, no Executive Condominiums (ECs) until privatized after 10 years, and no mainland landed properties except Sentosa Cove with LDAU approval.[1][2][3] See our property buying comparison table below:
| Status | HDB Resale | Private Condo | Landed (Mainland) | ABSD First Property |
|---|---|---|---|---|
| Citizen | Yes | Yes | Yes | 0% |
| PR | Yes (after 3 yrs) | Yes | LDAU Approval | 5-30% |
| Foreigner | No | Yes | Sentosa Only | 60% |
ABSD different status impacts affordability: Foreigners pay 60% on purchase price (e.g., S$1.5M condo = S$900K ABSD).[1] Use Homejourney's ABSD Stamp Duty Calculator for precise calculations. Exceptions apply for FTA citizens like US (possible remission).[3]
Step 1: Confirm Eligibility and Get Mortgage Pre-Approval
Start by verifying your status via Singapore Land Authority (SLA).[3] Foreigners need valid pass (Employment Pass, etc.). Apply for In-Principle Approval (IPA) from banks for loans up to 70% Loan-to-Value (LTV), subject to Total Debt Servicing Ratio (TDSR) of 55%.[2]
- Check Homejourney Projects Directory for foreigner-eligible condos like those in District 10 (e.g., near Orchard MRT, 5-min walk).
- Secure IPA (2-3 weeks): Compare rates via Homejourney Bank Rates. Expect 3-4% interest for foreigners.[2]
- Budget: Add Buyer's Stamp Duty (BSD 1-6%), 60% ABSD, legal fees (S$2K-5K).
Insider tip: Pre-approval strengthens offers in competitive launches like those at One Holland Village (prices S$2.5M+).[1]
Step 2: Search and Shortlist Properties
Use Homejourney Property Search for verified listings of condos/apartments. Focus on freehold options (e.g., Ardmore Park, freehold tenure).[1] Avoid misconceptions: Foreigners can buy high-rise condos freely.[2]
- Timeline: 1-4 weeks.
- Costs: Agent commission negotiable (1-2%).
- Tip: Prioritize MRT proximity, e.g., properties 400m from Stevens MRT for convenience.
Link to our guide: Types of Properties Foreigners Can Buy.
Step 3: Issue Option to Purchase (OTP) and Pay Deposits
For new launches: Pay 5% option fee (Day 0), receive OTP, sign Sale & Purchase (S&P) in 2-3 weeks, pay stamp duties in 14 days.[1]
For resale: Negotiate 1-5% option fee, exercise in 2 weeks (pay 4-15% more).[1] Example: S$2M condo – S$20K-100K initial outlay.
Ownership comparison: Titles transfer at Certificate of Statutory Completion (CSC) for new (2-5 years post-TOP).[1] Homejourney verifies seller documents for safety.
Step 4: Financing and Legal Completion
Finalize loan, pay balance at completion (8-12 weeks for resale, years for new).[1][2] See Financing Options for Foreign Buyers. No CPF for foreigners.
Post-purchase: Pay maintenance fees (S$300-600/month).[1] Budget for aircon services (S$100-200 annually).
Common Mistakes to Avoid and Costs Breakdown
Avoid: Underestimating 60% ABSD (real example: S$1.8M purchase adds S$1.08M duty).[1] Red flags: Unverified OTPs – use Homejourney for trust.
Costs for S$2M condo: ABSD S$1.2M, BSD S$88K, legal S$4K, total upfront ~65% cash.[1]
FAQ
Can foreigners buy landed property in Singapore?
Yes, only in Sentosa Cove without approval; mainland needs LDAU.[1][3]
What is the ABSD for foreigners in 2026?
60% on any residential property.[1]
How long does the process take for resale condos?
10-12 weeks from OTP to keys.[1]
Do foreigners get bank loans?
Yes, up to 70% LTV with IPA.[2]
What's the difference in ownership for new vs resale?
New: Possession at TOP, title at CSC; resale: keys at completion.[1]
Ready to buy safely? Start with Homejourney Property Search and our pillar guide on foreigner PR citizen comparison. Homejourney ensures transparency for your trusted property journey. Disclaimer: This is not legal/financial advice; consult professionals.
