What Properties Can Foreigners Buy in Singapore?
Foreigners in Singapore have access to specific property types without requiring government approval, primarily private condominiums and apartments in multi-story developments. However, purchasing landed properties requires special approval from the Land Dealings Approval Unit, a process reserved for rare cases demonstrating significant economic contribution to Singapore. Understanding these distinctions is crucial before you begin your property search, as the rules directly impact your investment strategy and total acquisition costs.
At Homejourney, we believe informed buyers make safer decisions. This guide breaks down exactly which properties you can purchase, the regulatory framework governing foreign ownership, and the financial implications—particularly the 60% Additional Buyer's Stamp Duty (ABSD) that applies to all foreign residential property purchases through 2026.
Properties Foreigners Can Purchase Without Approval
Under Singapore's Residential Property Act, administered by the Singapore Land Authority, foreigners enjoy unrestricted access to several property categories. These represent the vast majority of foreign residential purchases in Singapore and require no prior government approval.
Private Condominiums and Apartments
This is the primary property type available to foreign buyers. Private condominiums and apartment units in multi-story buildings (typically six stories or more) can be purchased freely, whether they are freehold or leasehold projects, new launches, or resale units. The flexibility here is significant—you can purchase your first property, second property, or subsequent properties without additional restrictions beyond the standard ABSD.
Condominiums offer several advantages for foreign investors: professional management through Management Corporation Strata Title (MCST), shared amenities like swimming pools and gyms, and generally lower maintenance responsibilities compared to landed properties. When evaluating condominiums, consider the development's location, proximity to MRT stations, and the quality of management—factors that directly influence rental yield and property appreciation.
Strata Landed Houses in Approved Developments
Certain landed properties within approved condominium developments—commonly known as strata landed houses, townhouses, or cluster houses—can be purchased without approval. These properties combine the appeal of a landed home with the security and amenities of a condominium development. They typically feature private gardens and direct ground-level access while benefiting from shared facilities and professional management.
Short-Term Leasehold Landed Properties
Foreign buyers can purchase leasehold estates in landed residential properties for terms not exceeding seven years, including any further renewal options. This option provides limited exposure to Singapore's landed property market but comes with significant constraints. The short lease term means the property will depreciate in value as the lease period shortens, making this option less attractive for long-term investment.
Properties Requiring Government Approval
If you wish to purchase landed properties beyond the short-term leasehold option, you must obtain approval from the Land Dealings Approval Unit. This includes bungalows, semi-detached houses, terrace homes, and vacant residential land. The approval process is deliberately restrictive—Singapore prioritizes housing availability for citizens and permanent residents.
Approval Criteria
The Land Dealings Approval Unit assesses each application on a case-by-case basis using these primary criteria:
- You must be a Singapore Permanent Resident for at least five years
- You must demonstrate exceptional economic contribution to Singapore, assessed through factors such as employment income assessable for tax in Singapore
Approvals are rare. The government reserves landed property ownership for citizens and long-term residents who have demonstrated substantial commitment to Singapore's economy and society.
Conditions Upon Approval
If approval is granted, strict conditions apply:
- Exclusive Residential Use: The property must be used solely as a dwelling for you and your immediate family. Renting out the property is prohibited.
- Minimum Five-Year Holding Period: You cannot sell the property within five years from legal completion. For properties under construction, this period begins from the Temporary Occupation Permit or Certificate of Statutory Completion issuance.
- No Subdivision: The property cannot be subdivided without further government approval.
These conditions ensure approved foreign buyers acquire landed properties for genuine residential purposes rather than speculation, preserving Singapore's housing stock for citizens.
Properties Foreigners Cannot Buy
Certain property types are completely off-limits to foreign buyers, regardless of circumstances:
- HDB flats (public housing)
- Executive Condominiums (ECs)
- Vacant residential land
- Most landed properties (without rare approval)
- Worker dormitories and serviced apartments
- Commercial properties used for residential purposes
HDB flats and ECs are reserved exclusively for Singapore citizens and permanent residents, reflecting the government's commitment to ensuring affordable housing for its population.
The 60% ABSD: Your Biggest Cost Consideration
Before deciding which property type to purchase, you must understand the Additional Buyer's Stamp Duty (ABSD) imposed on all foreign residential property purchases. This tax has remained unchanged since April 2023 and continues through 2026.
How ABSD Works
The ABSD rate for foreign individuals is a flat 60% on the purchase price or market valuation, whichever is higher. This applies to your first property, second property, and any subsequent purchases. The tax must be paid within 14 days of signing the Sale and Purchase Agreement or exercising your Option to Purchase.
On a S$2 million condominium, you would pay S$1.2 million in ABSD alone—a substantial cost that fundamentally changes your investment analysis. This punitive rate aims to prioritize housing for citizens and permanent residents while cooling speculative foreign demand.
Key ABSD Rules
- Calculation Base: ABSD is calculated on the higher of purchase price or market valuation, just like Buyer's Stamp Duty (BSD)
- Payment Method: ABSD cannot be paid using Central Provident Fund (CPF) savings—you must pay in cash
- Joint Purchases: When a property is purchased jointly by buyers of different profiles (e.g., Singapore Citizen and foreigner), the highest applicable ABSD rate applies to the entire property value. This means the 60% foreigner rate would apply to the full purchase price
- No Exemptions: Unlike some other buyer categories, foreigners receive no ABSD exemptions or reductions
Understanding whether the 60% ABSD makes your investment worthwhile requires careful financial analysis. Read our detailed analysis on Is Singapore Property Worth Buying with 60% ABSD? 2026 Analysis ">whether Singapore property is worth buying with 60% ABSD to evaluate your specific situation.
Total Acquisition Costs: Beyond ABSD
The 60% ABSD is only one component of your total acquisition costs. Foreign buyers must budget for several additional expenses that significantly impact your investment returns.
Stamp Duties and Fees
- Buyer's Stamp Duty (BSD): Ranges from 1% to 4% of purchase price depending on property value
- Seller's Stamp Duty: Typically 1% of purchase price (though negotiable)
- Legal and Conveyancing Fees: Approximately S$1,500-S$3,000
- Property Valuation: S$300-S$800
Ongoing Costs
- Annual Property Tax: Based on Annual Value (estimated rental value), with owner-occupied properties enjoying concessionary rates
- Maintenance and Sinking Fund: Monthly contributions to MCST for condominium upkeep
- Property Insurance: Mandatory if you have a mortgage
Use our ABSD Stamp Duty Calculator & Guide 2026 | Homejourney ">ABSD stamp duty calculator to accurately estimate your total acquisition costs before committing to a purchase.
Financing Options for Foreign Buyers
Most foreign buyers require mortgage financing to complete their purchase. Singapore banks typically offer loans up to 75% of property value for foreigners, though some banks may offer slightly lower ratios. Your loan eligibility depends on factors including income stability, employment type, and debt servicing ratios.
The 60% ABSD cannot be financed—you must pay this in cash. This means on a S$2 million property with 75% financing, you would need approximately S$1.65 million in cash (S$1.2 million ABSD plus S$450,000 down payment and other costs), with the bank financing S$1.5 million.
Explore Financing Options for Foreign Buyers in Singapore | Homejourney ">comprehensive financing options for foreign buyers to compare loan terms, interest rates, and eligibility requirements across Singapore's major banks.
Making Your Property Type Decision
Choosing between available property types requires balancing several factors:
| Property Type | Approval Required | Best For | Key Consideration |
|---|---|---|---|
| Private Condominium | No | Most foreign buyers; investors seeking rental yield | Professional management; rental restrictions apply |
| Strata Landed House | No | Buyers wanting landed property feel without approval hassle | Higher price point; limited availability |
| Short-Term Leasehold | No | Temporary residents; short-term investors | Depreciating asset; poor long-term investment |
| Landed Property | Yes (rare) | Long-term PR residents with exceptional economic contribution | 5-year holding period; no rental allowed; approval unlikely |
For most foreign buyers, private condominiums offer the optimal balance of accessibility, investment potential, and management convenience. They provide genuine rental opportunities, professional maintenance, and liquidity when you decide to sell.
Next Steps: Your Property Buying Journey
Once you've decided which property type aligns with your goals, the buying process involves eight distinct phases. Start by Step-by-Step Property Buying Process for Foreigners | Homejourney ">understanding the complete step-by-step property buying process for foreigners, which walks you through each phase from property selection through legal completion.
At Homejourney, we prioritize your safety and success throughout this process. Our Property Search ">property search tool helps you identify available properties matching your criteria, while our Bank Rates ">bank rates comparison ensures you secure the most competitive mortgage terms.
Frequently Asked Questions
Can I buy an HDB flat as a foreigner?
No. HDB flats are reserved exclusively for Singapore citizens and permanent residents. This policy ensures affordable housing remains available for Singapore's population. Foreigners can only purchase private residential properties—condominiums, strata landed houses, or with rare approval, landed properties.
