What You Should Know about Singapore Real Estate

Thinking of a place to invest real estate? Well, look no more because Singapore is just the right place to do that. Not only is the country filled with tourist destinations it is also an open country with different businesses from all over the world. It's like a tiny paradise in the East. If it is your first time investing in Singapore, you should know more about the regulations of the country before you sign any contract. As they say, knowledge is power. You see there have been some changes to the real estate transaction regulations because of the sudden boom of the country, prices of properties are also increasing which has become a concern for local home buyers and owners in the country. Here are a few of the regulation changes that you need to be aware of.

 

Loans

 

Before, the initial loans are higher than it is today. But the Government has decided to decrease the 90% Loan to Value (LTV) to 80% in order to avoid risking properties check out this real estate property website. And if a buyer already has an existing loan, his LTV would be cut to 60% which is a great way to prevent people who are out to get quick money from their banks where they made the loans.

 

Foreigners

 

This is the most affected group in the regulation changes. Before, foreigners are required to pay an additional 3% on the property they are thinking of buying, now they are charge an additional 10% as buyer's stamp. This change in regulation has discouraged a lot of foreign investors to continue investing in the country but the bright side to this is that foreign investors from USA, Norway, Liechtenstein, Switzerland and Iceland can enjoy the same tax privileges as Singaporeans.

 

Corporate Entities

 

If you are an individual looking for housing properties then lucky you, if you belong to a big corporation looking for properties to invest in in this country then this isn't particularly good news since corporate entities are also required to pay addition 10% as buyer's stamp. To add to that, their Loan to Value is cut to 50% this makes it more difficult for them to purchase properties. You may visit sgnewlaunchportal.com/property/cityscape-farrer-park to learn more about real estate properties.

 

Singaporeans

 

Those who are least affected in these new set of regulations. They are entitled to buy 2 properties with the normal 3% stamp duty and will only be required to pay an addition 3% buyer's stamp upon the purchase of a third property.