Singapore announces latest cooling measures to promote a stable and sustainable property market .

Latest Measures FAQs

1) From 16 Dec, what do I need to take note?

  • New cooling measures will apply, as follow:
  1. Additional Buyer’s Stamp Duty (ABSD) rates will be adjusted (refer to table)
  2. Total Debt Servicing Ratio (TDSR) will be lowered to 55% (previous 60%)

iii. HDB loan – max. loan granted capped at 85% (previous 90%)

2) What about OTP before 16 Dec? (to be clear, 15 Dec).

  • To exercise by 5 January 2022, or expiry of Option, whichever is earlier.

 

Parties affected

3) Who are the parties affected by the latest cooling measures from 16 Dec?

  • Singapore Citizen (SC) & Singapore PR (SPR) Buyers purchasing 2nd or more properties
  • Foreign buyers
  • Entities, e.g. ABC Pte Ltd buying a condominium

4) Does it affect first-time homeowners?

  • No. The new measures do not affect SC and SPR first time home buyers, with

ABSD unchanged at 0% & 5% respectively.

5) How does it affect developers?

  • Developers bidding for the land will have to pay an ABSD of 5% (nonremissible)

and 35% (if units remain unsold in 5 years).

 

Loans – HDB & Bank

6) How about HDB buyers? Any impact?

  • Max. HDB loan is 85%, e.g. HLE application, will be adjusted to a cap of 85%
  • Max. Bank loan is 75% – subject to MSR 30% and TDSR 55%

7) How about Executive Condominium buyers?

  • Max. Bank loan is 75% – subject to MSR 30% and TDSR 55%

 

Active Market Segments

8) Which market segments will continue to be active?

  • First-time home buyers
  • HDB upgraders, recent MOP owners.
  • Executive Condominiums
  • Rental market
  • Non-residential

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