Invest in Singapore Property: Singapore Property Stamp Duty

Invest in Singapore Property: Singapore Property Stamp Duty
Courtesy of http://www.PropertyBUYER.com.sg
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Stamp duty for Property Purchase for Singapore Properties

Conveyance: Purchase Price or Market Value, whichever is higher

For the First $180,000 - 1% = $1,800

For the next $180,000 - 2% = $3,600

Thereafter, - 3%


Before you even consider a property or a Home loan mortgage, you should

first assess whether you can afford a property.

If the property is valued at or transacted at $1,000,000, your stamp duty will

be: -


For the First $180,000 - 1% = $ 1,800

For the next $180,000 - 2% = $ 3,600

For the next $ 640,000 - 3% = $19,200

The Stamp duty = $24,600

If you are able to get a 90% loan to a property valuation, you will need 10%

downpayment, plus roughly 3% for Stamp duty.


For a 90% loan to valuation, for a $1,000,000 property, you will need to

standby for downpayment: -

* $124,600


This is the minimum amount required.


Problems with 90% Loan to valuation

Since 90% loans become available, this affordability has led to property

becoming more affordable. But due to this affordability, it has created an

increased number of people being able to afford Private properties. On top

of that, banks are increasing their number of years of loan tenure from 20 to

25 to 30 and even 35 or 40 years in some cases.


This has the effect of reducing the monthly installment, leading to more

people chasing after properties and eventually elevated property prices.

We are very worried about this development. The false sense of affordability

will surely come back to haunt the person or the Singapore economy when

they hit their CPF withdrawal limits.

We will talk about that in the next article.

www.PropertyBUYER.com.sg is a Research-Focused Mortgage Advisory that do NOT emphasize Cheap rates, but balance risks versus possible savings and structure the best fit mortgage packages based on the Home Owner's personal circumstances. On top of that, we help buyers check the property valuations and recommend a safe bid price for their properties and help them in getting a Home Loan approved-in-principle before they go into a property price negotiation and before they pay a 1% option to purchase.

Contact us

Tel: 6100 - 0608 sms: 9782 - 8606

Email: loans@propertyBUYER.com.sg

Contact us
http://www.propertybuyer.com.sg/contactus.php

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