One of the biggest reasons that many foreigners go for a Singapore PR application is to become eligible to purchase certain types of property, as well as save on property taxes. In the following paragraphs, we will discuss more in-depth.
Here is the short answer to whether foreigners can buy property in Singapore
The short answer is that YES, foreigners are allowed to purchase. However, they are only allowed to get very few types of properties in Singapore, and even then, there will be a heft Additional Buyer Stamp Duty (ABSD) tax for the foreigners.
However, getting your permanent resident application approved, even without being a full citizen, will already open up the eligibility for virtually every other type of property in Singapore for you to purchase.
Buying condo in Singapore for foreigner
With the exception of executive condominiums, all private condos are able to be purchased by foreigners with zero restrictions.
When it comes to private condos, there are no restrictions as long as you have the necessary cash to buy it, or the necessary profile required to qualify for a loan to buy it. Additionally, there is no limit to the number of these units that you can snap up. However, ABSD taxes can be quite an hefty amount above the sale price for foreigners.
An executive condo looks exactly the same as a private one. The only difference is that it is partially subsidized by the government, for citizens.
Only Singaporeans are able to get them first hand. A PR can buy it after 5 years from the completion of its development. Foreigners are able to buy it after 10 years from date of completion.
There is an income limit cap for those who purchase a unit at one of these developments.
Can foreigners buy landed property?
What if you are a true baller and even intending to get a local investment VISA? Perhaps you want something more prestigious and to separate yourself from the pack by getting a landed property or home. Foreigners are not allowed to buy any kind of landed houses on mainland.
Sentosa Cove is the unique exception
Ever wondered why many foreign billionaires buy houses on Sentosa Cove? This is because there are absolutely no restrictions on the buyers when it comes to landed property on Sentosa Cove. That is the only known place right now which has no restrictions for the buyer’s profile.
Can PR buy landed property?
Even if you are a permanent resident, you are only eligible to get landed properties on the mainland with manual approval from the Singapore Land Authority (SLA), and only after you have been a PR for at least 5 years.
Can foreigners buy HDB?
Most of our readers are intending to stay in a condominium at least, or perhaps landed property. Therefore, we are answering the last. However, if you are wondering, the answer is a flat no.
Only citizens and PRs are allowed to purchase HDB units. Additionally, only citizens are allowed to buy HDB units at the subsidized rates. PRs are only eligible to buy them at the Open Market rate, which can be roughly $100,000 to $250,000 more expensive than the subsidized rates.