Q1: Who are those classified as "foreigner buyer"?
Q2: What are the restrictions for "foreigner buyer" wanting to own properties in Singapore?
Q3: What is the procedure for buying Restricted residential properties?
Q4: What factors would the government consider when evaluating my application?
Q1: Who are those classified as "foreigner buyer"? A "foreign buyer" is defined in the Residential Property Act as the follows:
1) Any person who is not a citizen of Singapore (including a permanent resident, employment pass holder, work permit holder or a social visit pass holder
2) Any foreign company or converted company or
3) Any society or converted society which has not been granted approval or received exemption by the minister
Q2: What are the restrictions for "foreigner buyer" wanting to own properties in Singapore? A) Yes. "foreigner buyer" can only buy the following type of properties listed below.
1) Any flat, apartment and development approved as condominium development under the Planning Act. However, a "foreigner buyer" cannot buy all the flats or all the units in any of the said buildings/developments.
2) A leasehold estate in restricted residential property for a term not exceeding 7 years including any further term which may be granted by way of an option for renewal.
3) Any non-residential, commercial or industrial property
B) However the followings are Restricted residential properties where a written approval from the Controller of Residential Property Land Dealings is required.
1) Any landed residential properties including detached houses, semi-detached houses and terrace house
2) Any vacant land zoned for residential use
1) Any person who is not a citizen of Singapore (including a permanent resident, employment pass holder, work permit holder or a social visit pass holder
2) Any foreign company or converted company or
3) Any society or converted society which has not been granted approval or received exemption by the minister
Q2: What are the restrictions for "foreigner buyer" wanting to own properties in Singapore? A) Yes. "foreigner buyer" can only buy the following type of properties listed below.
1) Any flat, apartment and development approved as condominium development under the Planning Act. However, a "foreigner buyer" cannot buy all the flats or all the units in any of the said buildings/developments.
2) A leasehold estate in restricted residential property for a term not exceeding 7 years including any further term which may be granted by way of an option for renewal.
3) Any non-residential, commercial or industrial property
B) However the followings are Restricted residential properties where a written approval from the Controller of Residential Property Land Dealings is required.
1) Any landed residential properties including detached houses, semi-detached houses and terrace house
2) Any vacant land zoned for residential use
Q3: What is the procedure for buying Restricted residential properties?
The "foreigner buyer" can apply for a written approval from the Controller of Residential Property Land Dealings:
The application forms can be obtained from > The Controller of Residential Property, Land Dealings Unit.
The application forms can be obtained from > The Controller of Residential Property, Land Dealings Unit.
The duly filled applications are evaluated on a case-by-case basis, and the entire process should take about three months.
Q4: What factors would the government consider when evaluating my application? The government will consider the following main factors:
1) your ability to make an economic contribution to Singapore
2) your qualifications
3) whether you are a Permanent Resident of Singapore
Special Schemes unique to Sentosa Cove
S1: Application by Foreign individual for in-principle approval to buy/ acquire a Restricted residential property in Sentosa Cove
S2: Long Term Social Visit Pass Scheme
S3: Financial Investor Scheme
S1: Application by Foreign individual for in-principle approval to buy/ acquire a Restricted residential property in Sentosa Cove
Foreign individual who wish to buy/ acquire a Restricted residential property in Sentosa Cove can obtain fast track approval from Singapore Land Dealing Unit.
S2: Long Term Social Visit Pass Scheme
Foreign individual who wish to buy/ acquire a Restricted residential property in Sentosa Cove can apply for a long term social visit pass under this Scheme to facilitate entry into Singapore.
S3: Financial Investor Scheme
Foreign individual who wish to apply for permanent residency in Singapore can contact SLA or MAS approved institutions.
should you need more information on the above.
The 5 Steps checks before investing
Assess your commitment and work out your budget for the investment ( checking with your financial people make good sense ).
Know your property needs and look at the various options available.
Finally study the Property market before going in .. read on the steps below :
>> Step 1 Consult your Banker
See your Banker to have an assessment of your financial situation. Decide on the range of Property you are willing to invest. Check for the best rate in town or contact our partner bankers for assistance if required.
>> Step 2 Decide your needs and make your wish list
Is it a landed villas or a penthouse that you need?
See your Banker to have an assessment of your financial situation. Decide on the range of Property you are willing to invest. Check for the best rate in town or contact our partner bankers for assistance if required.
>> Step 2 Decide your needs and make your wish list
Is it a landed villas or a penthouse that you need?
3 or 4 or more bedrooms ?
Specific type of condo Facilities you desired, eg. private berth, lap pools etc ?
Focus on the features you want in your new home and knowing what you're looking for will help you to focus your search.
>> Step 3 Checking out the Properties
Check and compare the various projects out !
Focus on the features you want in your new home and knowing what you're looking for will help you to focus your search.
>> Step 3 Checking out the Properties
Check and compare the various projects out !
Look at the online brochures and listings. Call us for an appointment to view the show flats. Oversea investors and buyers, do e-mail us your needs. We can arrange to meet you up.
>> Step 4 Confirming the Purchase
Once you have decided on a unit, you need to pay a booking fee of between 5% to 10% of the purchase price or such amount as determined by the developer. Upon payment, the developers will issue you an Option to Purchase to confirm your purchase.
Within three weeks ( this time frame may varies from project to project ) from the receipt of the Sale and Purchase Agreement, you will have to exercise your Option by paying the developers a sum equivalent to 20% of the purchase price less the booking fee (paid earlier) together with the signed Sale and Purchase Agreement. This should be done through your lawyer who will act for you in the transaction.
>> Step 5 Progressive Payments
The remaining amount is payable in instalments at relevant stages through your lawyer, upon completion of the construction works as certified by the developer's architect. Once you have made all progress payments, the Legal title will be issued to you
>> Step 4 Confirming the Purchase
Once you have decided on a unit, you need to pay a booking fee of between 5% to 10% of the purchase price or such amount as determined by the developer. Upon payment, the developers will issue you an Option to Purchase to confirm your purchase.
Within three weeks ( this time frame may varies from project to project ) from the receipt of the Sale and Purchase Agreement, you will have to exercise your Option by paying the developers a sum equivalent to 20% of the purchase price less the booking fee (paid earlier) together with the signed Sale and Purchase Agreement. This should be done through your lawyer who will act for you in the transaction.
>> Step 5 Progressive Payments
The remaining amount is payable in instalments at relevant stages through your lawyer, upon completion of the construction works as certified by the developer's architect. Once you have made all progress payments, the Legal title will be issued to you
Common Property Laws
Q1: What is considered "residential property"?
Q2: What are "joint tenants" and "tenancy in common" in property co-ownership?
Q3: Can I make a gift of my real estate property during my lifetime?
Q4: What is the effect of a gift of property?
Q5: What is an Option to Purchase?
Q6: What are the main terms to include, in order that the Option is valid?
Q7: What is "exercising" the Option?
Q8: What happens if I have paid the Option money but cannot exercise the Option within the agreed due date?
Q1: What is considered "residential property"?
It means all residential landed properties, including vacant land, detached houses, semi-detached houses, terrace houses; and any land or building zoned or gazetted for residential purposes, such as flat comprised in a building of less than 6-storey.
Q2: What are "joint tenants" and "tenancy in common" in Property co-ownership?
a. A property held by 2 or more persons as joint tenants means that upon the death of one joint owner, his interest in the property is taken over by the surviving owner(s). The joint owner may not will away his interest in the property to others in his Will.
b. A property held by 2 or more persons as tenants in common means that each owner has a specified or distinct share or proportion in the property. For example, such share could be on an equal basis (50%-50%) or 90% - 10% basis etc. Each owner may be able to dispose his share in the property either by sale or under his Will. Upon the death of one owner, the surviving co-owner(s) do(es) not take over the deceased's interest in the property as is in the case of joint tenancy. His share shall be passed under his will or in accordance with the law of intestacy, as the case may be.
Q3: Can I make a gift of my real estate property during my lifetime?
Yes, but you may have to engage a Lawyer to draft the Deed of Gift, and seek his advice on the effects and consequences of a gift of real property.
Q4: What is the effect of a gift of property?
a. In the event the Grantor (person giving the property) dies within 5 years form the date inserted in the Deed of Gift, estate duty will be attracted on the whole of the property as if it is still formed part of the Grantor's estate (section 8, Estate Duty Act, Cap. 97)
b. If the Donor (person giving the property) is bankrupt within 2 years from the date of the Deed of Gift, the gift becomes absolutely void as against the Official Assignee
c. Up to a period of 10 years form the date of the Deed of Gift, the Grantor's bankruptcy will make the instrument voidable at the option of the Official Assignee only being rebuttable on evidence being furnished of the Grantor's solvency at the date of the gift (section 52 of the Bankruptcy Act, Cap. 20)
Please note that because of the serious consequences, before any gift of real properties, it is important that you discuss your intended gift with your Lawyer, so that you are fully aware of the implications resulting from such gift.
Q5: What is an Option to Purchase?
It is an irrevocable offer made by the seller to the buyer which prevents the seller from offering another buyer of the same property within the agreed time period (usually 14 days). To ensure that a contract is enforceable the buyer pays the Option Money which is usually 1% of the purchase price to the seller.
However 5% to 10% is the standard norm for the purchase of new properties.
Q6: What are the main terms and conditions in the Option to Purchase
The main terms are:
a) the names of the parties involved in the transaction;
b) the description of the property and the price;
c) the option money or consideration and
d) the validity period within which the Buyer must exercise the option in order to purchase the property.
Q7: What is "exercising" the Option?
It means that the Buyer is complying with all the terms in of the Option made by the Seller for selling his/her property. A binding contract is created, and the Buyer will also pay the 10% deposit minus the option money of the purchase price of the property.
Q8: What happens if I have paid the Option money but cannot exercise the Option within the agreed due date?
If you do not exercise the Option within the validity period stated, the Option would expire and your seller is entitled to forfeit the option money and sell the property to another buyer.
