Buy Residential Property in Singapore: HDB, Condo, Landed

Buying residential property in Singapore isn't one decision. It's three. HDB, condo and landed each come with their own rules. And your first question shouldn't be price. It's whether you're allowed to buy.

I'm Chan, an expert residential property agent in Singapore with OrangeTee & Tie and over 20 years of experience in the property market. Let me walk you through who can buy what, what it really costs, and how to choose the right home for your needs. Ever fallen for a home you weren't allowed to buy? It happens more often than you'd think.

Who Can Buy What in Singapore?

Start here. Your status decides your options before your budget does.

Here's what sits behind that table.

Citizens: You can buy a resale HDB flat on your own from age 35. Younger buyers usually apply as a couple or a family.

PRs: You can't buy a resale flat alone. You buy with another PR or a citizen. With no citizen in the household, you usually need three years as a PR first.

Foreigners: HDB flats are off the table. Condos are open to you, but ABSD is steep.

Landed: Only citizens can buy freely. Everyone else needs approval from the Singapore Land Authority.

Own another home? If you hold another HDB flat, a private home or an overseas property, you must sell it within six months of buying a resale flat.

HDB, Condo or Landed: What Each One Really Means

Each one comes with a rule that can change your plan.

Buying a Resale HDB Flat

Get your HDB Flat Eligibility letter first. It tells you what you can buy and what loan you can get. Then check the block, not just the flat.

Every block has ethnic and PR quotas. A flat you love may be off-limits to you. HDB has an online tool to check this before you view.

The seller must also finish the Minimum Occupation Period first. That's the time an owner must stay before selling.

Rule to know: If a flat sells above HDB's valuation, you pay the gap in cash. That gap is called cash over valuation, or COV. In sought-after estates like Toa Payoh or Queenstown, it can be real money.

Buying a Condo

A condo is open to citizens, PRs and foreigners. There's no eligibility letter. But there are other things to check.

Tenure comes first. Is it freehold or a 99-year lease? Then look at what has really sold in the same stack, not the asking price.

As a professional condo specialist in Singapore, I narrow the list by budget, lifestyle and long-term goals. A shorter list saves you months.

Rule to know: If you already own a home, ABSD can change your numbers fast.

Buying Landed Property

Landed homes are the tightest part of the market. Only citizens can buy landed properties in Singapore freely. Everyone else needs approval, and it's rare.

Even citizens have homework to do. Check the tenure, the title and the land use before you fall for a house. A Bukit Timah or Katong address won't fix a weak title.

Cluster houses sit between a condo and landed. They're strata-titled, so the ownership rules differ.

Rule to know: Not every buyer can buy every landed home.

What Buying Residential Property in Singapore Really Costs

The price tag is only the start. In my 20 years, the cash shortfall catches buyers out more than the price does. So let's add it up.

Buyer's Stamp Duty (BSD)

Every buyer pays BSD. It's a sliding scale on the price:

• 1% on the first $180,000
• 2% on the next $180,000
• 3% on the next $640,000
• 4% on the next $500,000
• 5% on the next $1.5 million
• 6% on anything above $3 million

That works out to $9,600 on a $500,000 flat. It's $32,600 on a $1.2 million condo. And it's $44,600 on a $1.5 million condo. You pay within 14 days of exercising the option.

Additional Buyer's Stamp Duty (ABSD)

ABSD is the big one. It depends on who you are and how many homes you own.

Say you're a PR buying a $1.2 million condo as your first home. ABSD is $60,000. Add the $32,600 BSD, and you'll pay $92,600 in stamp duty. A foreigner buying the same condo pays $720,000 in ABSD alone.

These rates last changed in April 2023. Some older guides still show 15% for foreigners. That's out of date. Some buyers also get relief, like couples with a citizen spouse. Ask before you assume either way.

Other Cash You'll Need

• Option fee and exercise fee: For HDB, the option fee is up to $1,000. Both fees together can't exceed $5,000. For private homes, expect about 1% at the option and about 4% at exercise.
• COV for HDB: Any gap above valuation is paid in cash.
• Legal fees: Private purchases need a lawyer.
• Renovation and moving: Budget for these early. They're easy to forget.

How Much Can You Borrow?

You've got two loan types. An HDB loan works for HDB flats only. A bank loan works for any home. The HDB loan rate is fixed at 2.6%.

Both loans now cover up to 75% of the price. HDB cut its limit from 80% on 20 August 2024. Many guides online still say 80%. They're out of date.

Your down payment is the other 25%. With an HDB loan, CPF can cover all of it. With a bank loan, at least 5% must be cash.

Two limits cap how much you can borrow:

• TDSR: All your monthly debt payments can't exceed 55% of your income.
• MSR: For HDB flats and executive condos, your home loan alone can't pass 30% of your income.

Try it on a $1.2 million condo. The most you can borrow is $900,000. Your down payment is $300,000, and at least $60,000 of that is cash. BSD comes on top. Your income may also lower the loan below that 75% cap.

The Buying Process, Step by Step

HDB and private homes follow the same shape. The details differ.

1. Check Your Eligibility. For HDB, get your eligibility letter. For a condo or landed home, confirm your buyer status.
2. Get Your Loan Sorted. Ask a bank how much it will lend you. Or check your HDB loan.
3. Check Real Sold Prices. Look at what has sold on the same block or stack. Don't trust the asking price.
4. Get the Option to Purchase. For HDB, the fee is up to $1,000, and the option lasts 21 calendar days. For private homes, the fee is about 1%, and the option usually lasts 14 days.
5. Exercise the Option. For HDB, you ask for HDB's valuation first, then commit within the 21 days. For private homes, you pay the rest of the deposit, usually 4%.
6. Pay Stamp Duty and Submit the Paperwork. BSD is due within 14 days of exercising the option. For HDB, you and the seller both apply on the HDB portal.
7. Complete the Sale. Completion happens on the agreed date. Then you get the keys.

Miss the option deadline, and you lose your option fee. So line up your loan before you start.

HDB, Condo or Landed: Which One Fits You?

• HDB suits you if you're a citizen or PR who wants a lower entry cost and clear rules.
• A condo suits you if you want fewer eligibility checks, shared facilities, or you're a foreigner.
• Landed suits you if you're a citizen with a large budget who wants land and space.

Not sure? Tell me your budget and your plans. I'll check what you're eligible for first.

Own an HDB flat now and want a condo? The order of your sale and purchase changes your budget. Married couples with a citizen may get ABSD relief when they sell their first home within six months of buying the next one. The conditions are strict, so plan before you sign. As your HDB-to-condo upgrade agent in Singapore, I plan the sale and purchase together.

5 Mistakes Buyers Make

1. Falling in love first. Check eligibility before you view. It saves weeks.
2. Forgetting ABSD. One extra home, or PR status, can add tens of thousands.
3. Budgeting only for the price. BSD, COV and fees all come on top.
4. Using old numbers. Loan limits and stamp duty change. Check the date on any guide you read.
5. Trusting the asking price. Ask what has actually sold.

Why Work With a Residential Property Agent in Singapore?

You can buy on your own. Plenty of people do. But the rules above change by buyer, by block and by property type. One mistake can cost tens of thousands.

As an expert real estate consultant in Singapore, I start with real numbers. I check what has actually sold. Then I tell you what I'd do in your place, even when it's not what you hoped to hear.

You deal with me, not a team. See my full residential property agent services for sellers, buyers, upgraders and landlords.

Your Next Step

Buying residential property in Singapore gets easier in the right order. Check what you can buy. Add up the real cost. Then pick between HDB, condo and landed.

What's your situation right now? Message me on WhatsApp. I'll check your eligibility and your numbers first, with no pressure.

Chat with Chan on WhatsApp

FAQs