How to buy a house in Singapore City?

Authored by the expert who managed and guided the team behind the Singapore Property Pack

Yes, the analysis of Singapore's property market is included in our pack

Who is the author of this content?

BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Singapore. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At BambooRoutes, we explore the Singapore real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in areas like Marina Bay, Orchard, and Sentosa. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

How easy is it to buy a house in Singapore compared to Western countries?

Buying property in Singapore is significantly more challenging and expensive for foreigners compared to most Western countries.

The Singapore government imposes a 60% Additional Buyer's Stamp Duty (ABSD) on all foreign buyers as of September 2025, making it one of the highest foreign buyer taxes globally. In comparison, countries like Canada charge 15-20% foreign buyer taxes in select cities, while most European countries have no additional foreign buyer penalties.

Foreign buyers in Singapore are restricted to purchasing only private condominiums and certain privatised Executive Condominiums over 10 years old. This contrasts sharply with Western countries where foreigners typically can buy any type of residential property, including houses, apartments, and land. Additionally, mortgage financing is more restrictive, with loan-to-value ratios capped at 45-55% for foreigners versus 70-90% in most Western markets.

However, Singapore's legal system is extremely transparent and robust, with strong buyer protections and regulated real estate agents. The entire purchase process can be completed remotely through a Power of Attorney, which is more convenient than some Western jurisdictions that require physical presence.

The process timeline of 8-12 weeks is comparable to Western countries, but the total cost burden makes Singapore property purchasing exceptionally expensive for international buyers.

What types of properties can foreigners actually buy, and what is off-limits?

Foreigners can purchase a very limited selection of property types in Singapore, with strict restrictions on residential options.

Foreign buyers are permitted to buy private condominium apartments, including strata units in approved developments, and privatised Executive Condominiums (ECs) that are more than 10 years old. They can also purchase condos in mixed-use buildings and limited landed properties at Sentosa Cove with government approval.

The vast majority of Singapore's housing stock is completely off-limits to foreign buyers. This includes all HDB (public housing) flats, which represent about 80% of Singapore's residential units, and most landed residential properties such as terraced houses, bungalows, and traditional shophouses. These restrictions exist regardless of the property's price or location.

The only exceptions are for foreigners who marry Singapore citizens or permanent residents, who may then be eligible to purchase HDB flats subject to income ceilings and other criteria. Extremely rare government approvals may be granted for landed property purchases, typically for significant economic contributors or in special circumstances.

Commercial real estate purchases face fewer restrictions, allowing foreigners to invest in office buildings, retail spaces, and industrial properties with proper approvals.

What are the step-by-step procedures from start to finish when buying a home?

The Singapore property buying process follows a structured seven-step procedure that takes 8-12 weeks from start to finish.

1. **Secure financing and pre-approval**: Arrange funds and obtain mortgage pre-approval from Singapore banks if financing is required. This step is crucial as foreign buyers face stricter lending criteria.2. **Property selection and agent engagement**: Hire a licensed real estate agent (recommended but optional) and identify eligible private condominium properties within your budget and preferences.3. **Make offer and secure Option to Purchase (OTP)**: Negotiate the purchase price and pay a 1% option fee to secure the OTP, which grants exclusive rights to purchase the property for 14-21 days.4. **Conduct due diligence and arrange mortgage**: Engage a conveyancing lawyer for legal checks, property title verification, and mortgage arrangement if financing the purchase.5. **Exercise the option**: Pay an additional 4% of the purchase price to exercise the OTP and sign the formal Sale & Purchase Agreement, legally committing to the transaction.6. **Pay taxes and fees**: Submit and pay the Buyer's Stamp Duty (BSD) and Additional Buyer's Stamp Duty (ABSD) to IRAS within 14 days of signing the agreement.7. **Complete the transaction**: Handle final legal formalities, pay the remaining balance, transfer property title, and collect keys, typically 8-12 weeks after exercising the option.

It's something we develop in our Singapore property pack.

What documents and approvals are mandatory, and which ones are optional?

The Singapore property purchase process requires several mandatory documents while some approvals remain optional depending on your financing situation.

Document Type	Status	Purpose
Valid Passport/National ID	Mandatory	Identity verification for all legal documents
Option to Purchase (OTP)	Mandatory	Legal document securing purchase rights
Sale & Purchase Agreement	Mandatory	Formal contract binding both parties
BSD and ABSD Payment Receipts	Mandatory	Proof of tax payments to IRAS
Power of Attorney (if remote)	Mandatory for remote buyers	Legal authorization for lawyer representation
Mortgage Pre-approval Letter	Optional	Demonstrates financing capability to sellers
Income/Asset Proof	Mandatory if financing	Required for mortgage applications
Work Permit Documentation	Optional	May be required for specific visa holders

Can someone go through the entire process without physically being in Singapore?

Yes, the entire Singapore property purchase process can be completed remotely without requiring physical presence in the country.

Foreign buyers can appoint a qualified Singapore lawyer through a properly notarized Power of Attorney document, which must be prepared in their home country and authenticated by Singapore's embassy or consulate. This legal authorization allows the appointed lawyer to act on the buyer's behalf for all aspects of the transaction.

The remote process includes virtual property viewings through video calls with real estate agents, digital document signing through secure platforms, and electronic fund transfers for all payments including the option fee, stamp duties, and final settlement. Modern banking systems enable international wire transfers for the full purchase amount without requiring the buyer's physical presence.

However, buyers should ensure their Power of Attorney document is comprehensive and covers all potential transaction scenarios. Some banks may require additional documentation or video conferencing for mortgage applications, but this doesn't necessitate travel to Singapore.

The key collection can also be handled remotely through authorized representatives, making it possible to complete the entire purchase while remaining in your home country throughout the process.

How long does the process usually take from offer to ownership?

The Singapore property purchase process typically takes 8-12 weeks from securing the Option to Purchase to final ownership and key collection.

The initial phase involves 1-2 weeks for property selection, negotiation, and securing the OTP with the 1% option fee. The OTP itself provides a 14-21 day period to conduct due diligence, arrange financing, and decide whether to proceed with the purchase.

Once you exercise the option by paying the additional 4% deposit, the completion period is usually 8-10 weeks for existing completed properties. New launch properties may have longer completion periods of 3-4 years depending on the construction timeline and project status.

The stamp duty payment deadline is strict - both BSD and ABSD must be paid within 14 days of signing the Sale & Purchase Agreement, or penalties will apply. Legal completion, final payment, and title transfer occur simultaneously on the completion date agreed in the contract.

For cash buyers, the process may be slightly faster as there's no mortgage approval waiting period. Foreign buyers using financing should allow extra time for bank processing, which can add 2-4 weeks to the overall timeline depending on the complexity of their financial situation.

What are the taxes, fees, and extra costs involved, and what's the full breakdown?

Foreign buyers in Singapore face substantial tax obligations and fees that can add over 60% to the property purchase price.

Cost Type	Rate/Amount	Notes
Additional Buyer's Stamp Duty (ABSD)	60% of purchase price	Massive tax for all foreign buyers as of 2025
Buyer's Stamp Duty (BSD)	1-6% progressive	1% first SGD 180k, 2% next SGD 180k, then higher tiers
Legal/Conveyancing Fees	SGD 2,500-5,000+	Varies by property value and complexity
Mortgage/Bank Fees	SGD 2,000-5,000	If applicable, includes processing and valuation
Property Tax (Annual)	0-20% of annual value	Progressive rates based on property use and value
Maintenance/Management Fees	SGD 200-800/month	Condo facilities and building upkeep
Insurance	SGD 500-2,000/year	Property and mortgage insurance if financed

For a SGD 2 million condo purchase, total upfront costs would include SGD 1.2 million ABSD (60%), approximately SGD 37,000 BSD, plus legal and other fees, bringing the total initial outlay to around SGD 3.25 million.

It's something we develop in our Singapore property pack.

Is it possible to pay fully in cash, and how does that work in practice?

Yes, paying the entire purchase price in cash is not only possible but extremely common among foreign buyers in Singapore due to the restrictive mortgage conditions and high ABSD burden.

Cash purchases eliminate the need for mortgage approval, which typically takes 2-4 weeks, allowing for faster transaction completion. The payment structure remains the same: 1% option fee upon securing OTP, 4% additional deposit when exercising the option, and the remaining 95% paid at legal completion through the lawyer's escrow account.

All cash payments must be made through proper banking channels with clear audit trails to satisfy Singapore's anti-money laundering regulations. Large cash transactions require source of funds documentation, including bank statements, salary certificates, or asset sale records from your home country.

The conveyancing lawyer holds all funds in a designated client account until completion, providing security for both buyer and seller. On the completion date, the lawyer transfers the full purchase amount to the seller and simultaneously registers the property title transfer.

Cash buyers often have stronger negotiating positions with sellers and may secure better purchase prices, as there's no financing contingency risk that could delay or derail the transaction.

Can foreigners get a mortgage, and if so, what are the rates, conditions, and useful tips?

Foreigners can obtain mortgages from Singapore banks, but face significantly more restrictive conditions than local buyers.

Major Singapore banks including DBS, UOB, OCBC, and Standard Chartered offer foreign buyer mortgages with loan-to-value ratios typically capped at 45-55% of the property value. This means foreigners must provide 45-50% down payment compared to 25% for Singapore citizens and permanent residents.

As of September 2025, mortgage interest rates for foreigners range from 3-4% per annum for fixed-rate loans, often 0.5-1% higher than rates offered to locals. Floating rate options are available but carry additional interest rate risk. Loan tenures typically extend to 25-30 years depending on the borrower's age and income profile.

Income requirements are strict - most banks require minimum annual income of SGD 120,000-200,000 with strong credit history and stable employment. Self-employed borrowers face additional documentation requirements and potentially higher interest rates. Some banks restrict lending to overseas residents without existing Singapore banking relationships.

Useful tips include engaging mortgage brokers who specialize in expat lending, maintaining Singapore bank accounts before applying, and providing comprehensive income documentation including tax returns and employment contracts. Consider the total debt service ratio including the massive ABSD when calculating affordability.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Singapore versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

How reliable are real estate agents in Singapore, and what should you look out for?

Singapore real estate agents are generally reliable due to strict government regulation through the Council for Estate Agencies (CEA), but buyers should still exercise due diligence.

All practicing agents must be licensed and registered with CEA, which maintains public records of agent credentials, disciplinary actions, and complaint histories. You can verify any agent's license status and track record through the official CEA website before engaging their services.

However, several cautions apply when selecting agents. Avoid "dual representation" situations where the same agent represents both buyer and seller, as this creates potential conflicts of interest. Be wary of agents who push specific properties aggressively without understanding your requirements, or those who cannot clearly explain property eligibility for foreign ownership.

Watch for inflated commission structures, particularly for obscure or hard-to-sell properties where agents may charge buyers additional fees beyond the standard seller-paid commission. Reputable agents should provide clear fee structures upfront and focus on properties that match your budget and preferences.

The best agents offer comprehensive market knowledge, transparent communication about all costs including ABSD implications, and can coordinate effectively with lawyers and mortgage brokers throughout the transaction process.

Will the legal system and regulations properly protect a foreign buyer?

Singapore's legal system provides exceptionally strong protection for foreign property buyers through robust regulations and transparent processes.

The country's legal framework includes comprehensive buyer protection measures such as mandatory escrow arrangements through licensed conveyancing lawyers, standardized contract templates, and strict disclosure requirements for sellers. The Sale & Purchase Agreement is legally binding and enforceable through Singapore's highly efficient court system.

Property title searches are conducted through the Singapore Land Registry, providing clear ownership records and encumbrance details. The Torrens system of land registration guarantees title certainty, meaning registered owners have indefeasible title protection against fraud or competing claims.

Regulatory oversight includes the Urban Redevelopment Authority (URA) for zoning and development approvals, CEA for agent licensing, and the Monetary Authority of Singapore (MAS) for banking and financing regulations. These agencies maintain strict enforcement and penalty structures for violations.

Foreign buyers receive the same legal protections as locals, with access to the same dispute resolution mechanisms and legal remedies. The legal system's efficiency, transparency, and low corruption levels make Singapore one of the safest jurisdictions globally for international property investment.

Always engage experienced conveyancing lawyers who specialize in foreign buyer transactions to ensure full compliance and protection throughout the process.

What are the classic mistakes and pitfalls foreigners make, and what precautions should you take?

Foreign buyers in Singapore frequently make costly errors that can be avoided with proper preparation and professional guidance.

The most expensive mistake is underestimating the ABSD impact, where the 60% additional tax can completely destroy investment returns and affordability calculations. Many buyers focus on property prices without factoring the true total cost including all taxes and fees.Property eligibility errors are common, with foreigners attempting to purchase restricted HDB flats or landed properties that are legally off-limits. This wastes time and can result in aborted transactions with financial penalties.Other frequent mistakes include:- Not verifying real estate agent credentials through CEA registry- Rushing into Option to Purchase agreements before securing financing approval - Failing to account for ongoing costs like property taxes and high maintenance fees- Ignoring due diligence on property title, building management, and development restrictions- Using unqualified or inexperienced conveyancing lawyers

Essential precautions include double-checking property eligibility for foreign ownership, obtaining comprehensive cost breakdowns before committing, and using only accredited professionals including CEA-licensed agents and experienced conveyancing lawyers.

Budget for the full transaction cost including the massive ABSD, maintain realistic expectations about mortgage availability, and allow sufficient time for due diligence rather than rushing decisions based on market pressure.

It's something we develop in our Singapore property pack.

Where do foreigners usually buy in Singapore, and does owning property lead to residency or citizenship?

Foreign buyers typically concentrate their purchases in Singapore's prime districts and luxury condominium developments, with property ownership providing zero pathway to residency or citizenship.

The most popular areas for foreign investment include prime Districts 9, 10, and 11 covering Orchard Road, Marina Bay, and the Central Business District. Sentosa Cove attracts buyers seeking landed property options, while River Valley, Tanjong Pagar, and newer developments in Districts 1-4 offer luxury high-rise living with city convenience.

Expatriate communities often cluster in areas like Holland Village, Bukit Timah, and East Coast for family-friendly environments with international schools nearby. However, these areas primarily offer private condominiums rather than the landed housing many expat families prefer in other countries.

Property ownership in Singapore provides absolutely no immigration benefits, residency rights, or pathway to permanent residence or citizenship. The Singapore government maintains strict separation between property ownership and immigration status, unlike some countries that offer investor visa programs.

Foreign property owners remain subject to all standard visa and work permit requirements regardless of their property investment value. Even substantial property investments worth millions of dollars do not facilitate visa applications or provide any special immigration consideration.

Buyers should view Singapore property purely as an investment or personal use asset rather than expecting any residency benefits from ownership.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. Instarem - Can Foreigners Buy Property in Singapore
2. BambooRoutes - Singapore Real Estate for Foreigners
3. DollarBack Mortgage - Foreigner Property Singapore
4. Pinnacle Singapore Property Guide
5. SingSaver - Foreigners Buying Property Singapore
6. Prop.sg - Foreigners Property Purchase Guide
7. HMLF - Real Estate Taxes for Foreign Buyers Singapore
8. IRAS - Property Tax Rates Singapore