Singapore is a very popular destination for foreigners. It is rated as the best place to live in Asia by Monocle Magazine, and has the third highest Global Liveability Ranking. It has also been ranked as one of the best countries in the world to invest in by Forbes. The country is small and densely populated, which makes it a suitable location for investors and home buyers, however one must take certain factors into consideration before moving there. Nowadays, Singapore is a global city with many people coming from different walks of life and cultures. This means that there are many ways to make friends here, find your feet, settle down even if you don’t speak English or learn about local customs and traditions.
Which Types of Houses Can you Buy in Singapore as a Foreigner?
Foreigners of all nationalities are entitled to buy residential properties in Singapore. But there are certain restrictions on the type of property that they can buy https://devncommerce.com/process-for-a-foreigner-to-buy-a-property-in-singapore/. For example, foreigners can only buy certain types of housing in Singapore. This includes condominiums, private apartments, cluster houses and townhouses. However, foreigners are not allowed to buy semi-detached, terraced houses or public housing like Housing and Development Board (HDB) flats or Executive Condominiums (EC). Foreigners who have a valid certificate for long-term stay in Singapore can purchase these types of properties as well. One exception is when foreigners marry a Singapore citizen and reside here for more than six months consecutively before the sale transaction takes place. If this applies to them, they can then purchase any type of residential property in Singapore.
Top Property Hotspots for Foreigners in Singapore
The increasing number of foreigners buying properties in Orchard Road, River Valley and Bugis is a sign that the country’s economy has been doing well and they see potential for growth. This will put a lot more money into the local economy. Foreigners have been increasingly looking to buy properties in these areas as they are international hubs for innovation and lifestyle. There are many developments happening in these areas like malls, hotels, international schools and restaurants which are of interest to foreigners and their families.
Take Note of Substantial Fees and Taxes Foreigners Need to Pay Before Buying a Property
Property Tax
Property tax is a compulsory payment levied by government authorities on landowners to fund local public services. While property owners usually have the option of passing on some or all of the property tax liability to their tenants, they can also choose to pay this charge themselves. The Singapore government levies property taxes at rates determined by land use and annual value of the house, as well as other factors, including type of property.
Stamp Duty
The Stamp Duty (SD) is a tax that has to be paid when there is a transfer of ownership of an immovable property. SD has two rates – Standard Stamp Duty and Additional Buyer Stamp Duty (ABSD). There are exemptions for SD which include the transfer from the seller’s spouse, children, or parent.
Conclusion
Singapore is well-known for its beautiful architecture and climate. As an international city, it attracts many tourists from around the world. Along with the increase in immigration, a lot of foreigners are purchasing properties in Singapore.