Useful Guide

STAMP DUTY & PAYMENT SCHEME

Buyer’s Stamp Duty

Singapore Citizen 3% – $5400 of Purchase Price
Permanent Resident
Foreigners & Corporate Entities

Additional Buyer’s Stamp Duty

1st Property 2nd Property 3rd Onwards
Singapore Citizen N/A 7% 10%
Permanent Resident 5% 10% 10%
Foreigners & Corporate Entities 15% 15% 15%

Loan-to-Value (LTV) Limits

1st Loan 2nd Loan 3rd onwards
LTV Limits 80% or 60%* 50% or 30%* 40% or 20%*
Minimum Cash Down Payment 5% (for LTV of 80%) 25% 25%
10% (for LTV of 60%)
Corporate Entities 20% 20% 20%

* If the loan tenure is more than 30 years or extends past age 65.

Payment Scheme

STAGE PAYMENT (% of Total Purchase Price)
Upon the grant of Option to Purchase 5% (Booking Fee)
Upon signing of the Sale & Purchase Agreement or within 8 weeks from the Option date 20% less Booking Fee
Completion of foundation work 10%
Completion of reinforced concrete framework of unit 10%
Completion of partition walls of unit 5%
Completion of roofing / ceiling of unit 5%
Completion of door sub-frames / door frames, window frames, electrical wiring, internal plastering and plumbing of unit 5%
Completion of car park, roads and drains serving the housing project 5%
Temporary Occupation Permit or Certificate of Statutory Completion 25%
On completion date 15%

Procedures & Payment Timeline

For Purchase of Uncompleted Developments

Purchasers are required to make instalment payments of the purchase price, typically referred to as Progressive Payment Scheme. The first 20% will be settled within the first 2 months.

Stages Payment Timeframe
(1) Signing of Option To Purchase (OTP) 5% Option Fee Day of booking
(2) Select mortgage loan and engage lawyer
(3) Developer send Sale & Purchase Agreement to purchaser or representing lawyer Within 14 days from OTP (1)
(4) Signing of Sales & Purchase Agreement
If option expires, developer will keep 25% of the option fee (1.25% of purchase price)
Within 3 weeks from S&P delivered (3)
(5) Pay Stamp Duty to IRAS (3% – $5,400) + ABSD Within 14 days from S&P signed (4)
(6) Pay remaining downpayment to developer 15% Downpayment Within 8 weeks from OTP (1)

The remaining 80% outstanding payment is paid out in accordance with the construction progress

Upon Completion Of Payment Estimated Timeframe
Foundation work 10% 6 – 9 months
Reinforced concrete framework 10% 6 – 9 months
Brick walls of unit 5% 3 – 6 months
Ceiling of unit 5% 3 – 6 months
Electrical wiring, internal plastering, plumbering and installation of door and windowframes 5% 3 – 6 months
Car parks, roads, and drains serving the housing projects 5% 3 – 6 months
On Temporary Occupation Permit (TOP) 25%
On Certificate of Statutory Completion (CSC) 15%

 

For Purchase of Completed Developments

For completed projects, the developer collects payments from the buyer in accordance with the payment schedule specified in the Sale & Purchase Agreement as follows:

Stages Payment Timeframe
(1) Granting of Option To Purchase (OTP) 1% Option Fee Day of booking
(2) Both buyer and developer appoint respective lawyers. Buyer to select mortgage loan
(3) Buyer exercise Option To Purchase at lawyer’s office and signs Sale & Purchas Agreement 4% Exercise Fee Within 14 days from granting of OTP (1)
(4) Pay Stamp Duty to IRAS (3%-$5,400) + ABSD Within 14 days from exercising of OTP (3)
(5) Completion of Sale & Purchase at lawyer office Balance payment 8 – 12 weeks from exercising of OTP (3)
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