“Is it a good time to buy?”
The strong sales market that was fuelled by low interest rates and
high equity levels required the government to step in with regular
“cooling measures”, which has turned the market into a buyers’
market. Buyers are able to take more of a wait-and-see approach.
The current market is less of an investors’ market and more
of an owner-occupiers’ market. Buying is a good option if you
can afford it. Investing a monthly rental amount into your
own property rather than someone else makes good sense and
especially if you are looking at it long term. As an expatriate,
how long you reside here usually depends on your employment
contract. If you do buy property and have to sell it at short notice,
you run the risk of having to offload it at an unfavourable price.
If you have the financial holding power to keep the property
and sell it at a later time when prices are high, Singapore offers
great returns on your investment and is a popular country for
property investors for this and other reasons.“Are there any restrictions I need to know about?”
There are no restrictions against expats purchasing condominiums.
However, to buy a landed property (a house with a garden or yard),
you must be a Singapore Citizen or alternatively hold Permanent
Residence status and receive special approval from the Land
Development Authority, with strict conditions attached. Landed
properties include bungalows, semi-detached houses, terrace
houses and cluster housing. For more information, see sla.gov.sg.Questions from Buyers
met. You or your agent should take
notes on the Inventory List and
take file photos of any defects such
as damaged flooring or broken
items. This will protect you at the
termination of the lease. Signing your
contracts and moving in should not be
the end of the relationship with your
agent. A good agent will keep in touch
to provide ongoing help and advice
and help with the hand-back of the
unit at the end of the lease.“Are there any hidden charges
to be aware of?”
For apartments, your rental usually
includes the service charge for
general maintenance of the common
facilities. For landed properties,
there is no service charge, but
as with apartments, you are
responsible for minor repairs and
routine maintenance, payment of
public utilities, telephone and cable
TV services, and servicing of air-
conditioning units. All of this is
covered in the Tenancy Agreement.“How much deposit do I need
to pay?”
Two deposits are required: one
month’s rent payable with the
LOI, and two months’ rent with
the Tenancy Agreement (TA). One
month’s payment goes towards the
first month’s rental and is called the
good faith deposit, or holding deposit.
The second is held as the security
deposit and returned by the landlord
interest free (minus the cost of making
good any damage) at the end of the
lease. The tenant is also required to
pay the stamp duty.82 CITY GUIDE 2018
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