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Investigate new launches – I.R.L. – Investability, Rentability, Livability | Share Must-Knows for new and existing property owners

Understanding ABSD: What Foreigners Need to Know When Buying Residential Properties in Singapore

Posted on 17 August 202323 August 2023 By Shelwyn @ SGPD

What does ABSD mean for Foreigners?

ABSD refers to Additional Buyer’s Stamp Duty, a tax levied to foreigners intending to buy any residential property in Singapore. 

ABSD is computed based on the valuation or purchased price, whichever is higher, and is payable on top of BSD (Buyer’s Stamp Duty).

Does ABSD affect me as a Foreigner intending to buy a residential property?

Yes, as long as you are buying a residential property in Singapore, you will have to incur ABSD. 

I'm a foreigner, how much ABSD do I have to pay for my residential properties?

You will have to pay 60% ABSD for any residential property purchase.

At which point during property purchase do I pay ABSD?

Within 14 days upon signing your sale and purchase agreement or within 30 days if your sale and purchase agreement was signed overseas.

How can I avoid paying ABSD as a Foreigner?

The only legal way to avoid paying ABSD for your first residential property is if you are married to a Singaporean. 

You may also qualify for an ABSD refund as a married couple if the property you paid ABSD for is sold within six months as you purchase the second residential property,

You do not have to pay ABSD for a property that you inherited in accordance to the Intestacy Law, Muslim Inheritance Law or a Will.

Did I miss anything?

If you have any other questions that I did not address

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BUY/SELL HDB or EC BUY/SELL PRIVATE PROPERTY MUST-KNOWS ABSDstamp duty

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Shelwyn @ SGPD

Digging deep in the SG property market, investigating new launches, identifying the good, the bad and the ugly.

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