Stamp Duty on a S$2,300,000 Property in Singapore
Buying a S$2,300,000 home in Singapore means paying S$84,600.00 in Buyer's Stamp Duty, plus Additional Buyer's Stamp Duty if it is not your first property or you are not a citizen.
Buyer's Stamp Duty workings
| Band | Rate | BSD |
|---|---|---|
| S$0.00 – S$180,000.00 | 1% | S$1,800.00 |
| S$180,000.00 – S$360,000.00 | 2% | S$3,600.00 |
| S$360,000.00 – S$1,000,000.00 | 3% | S$19,200.00 |
| S$1,000,000.00 – S$1,500,000.00 | 4% | S$20,000.00 |
| S$1,500,000.00 – S$2,300,000.00 | 5% | S$40,000.00 |
ABSD by buyer
| Buyer | ABSD rate | ABSD | Total stamp duty |
|---|---|---|---|
| Citizen, 1st property | 0% | S$0.00 | S$84,600.00 |
| Citizen, 2nd property | 20% | S$460,000.00 | S$544,600.00 |
| PR, 1st property | 5% | S$115,000.00 | S$199,600.00 |
| PR, 2nd property | 30% | S$690,000.00 | S$774,600.00 |
| Foreigner | 60% | S$1,380,000.00 | S$1,464,600.00 |
When and how to pay
Stamp duty is due within 14 days of signing the sale and purchase agreement or exercising the option to purchase. You pay IRAS in cash first; BSD can then be reimbursed from your CPF Ordinary Account, but ABSD rules differ, so check with your lawyer.
Before you sign
- Using CPF for housing reduces what is left for retirement, and you must refund the amount used plus accrued interest when you sell.
- Seller's Stamp Duty can wipe out the gains on a quick resale, so check your holding period before selling.
- A second housing loan drops the LTV limit sharply and raises the minimum cash downpayment to 25%.
- Banks test your TDSR at a stress-test rate, not the advertised rate, so your borrowing limit is lower than you might expect.
Background
Most Singaporeans live in HDB flats, which can be financed with an HDB concessionary loan at 0.1% above the CPF Ordinary Account rate or with a bank loan. Private property must be financed with a bank loan, and banks offer fixed, floating and SORA-pegged packages.
Stamp duties are paid upfront. Buyer's Stamp Duty applies to every purchase at tiered rates up to 6%, while ABSD depends on the buyer's residency status and how many residential properties they already own. Sellers who dispose of a property within the holding period pay Seller's Stamp Duty.
The Total Debt Servicing Ratio limits monthly debt repayments to 55% of gross monthly income for any property loan, and the Mortgage Servicing Ratio limits the housing instalment to 30% of income for HDB flats and new executive condominiums. Banks apply a medium-term interest rate in these tests rather than the rate you will actually pay.
Related calculations
- Total Debt Servicing Ratio (TDSR) Calculator: TDSR limits all monthly debt repayments to 55% of gross monthly income when you take a property loan.
- Loan-to-Value (LTV) Calculator: Shows the maximum bank loan and the minimum downpayment under MAS loan-to-value limits for loans up to 30 years (25 years for HDB flats).
- Property Affordability Calculator: Estimates the biggest loan and property price your income supports under TDSR, using the stress-test rate banks apply.
- Rental Yield Calculator: Measures the return from rent before and after costs such as property tax, maintenance fees and agent fees.
Change the price and buyer profile in the Stamp Duty on a S$2,300,000 Property Calculator.
Run your own numbers: Stamp Duty on a S$2,300,000 Property Calculator