Are you contemplating buying property in Singapore? You have come to the right place because before you buy, you have to be as informed as possible about the market so that you can be able to make a smart decision. However, you should know that the Singaporean property market is not very different from what you get in other markets.
Perhaps the only difference is that in this island nation, the mortgage rates are very low, at times 3.5% at their highest. This, compared to other property markets in the world, is indeed very low, even at its highest. While the legal system for Singapore places stringent measures on foreigners owning property in Singapore, it offers a very encouraging atmosphere for the Singaporean real estate investors.
Prerequisites for buying property in Singapore
One must be over 21 years of age and he/she must be part or intending to form a nucleus family. If you are a permanent resident of singapore, then you must at least have another sibling who is also a Singapore permanent resident.
As you will realize when buying property in Singapore, this is not a one-stage process but a web of processes that only a solicitor can understand. Therefore, you need to hire one right away so that he/she can oversee every step of the transaction. That is the only way to make sure that you get good value for your money and that you hasten the process as much as possible. To get a good solicitor, you should look for one based on referrals from colleagues and friends. Chances are that if other people were satisfied, you too will.
It is important that you decide beforehand whether you want to buy the singapore property for keeps or whether you will have to sell it later. In that case, it is imperative that you find out what the current rules are in the market. The most important thing that you should find out is the sellers stamp duty. This is usually hefty and it is applied when you sell your home within some time of buying it. The sooner that you sell your property, the higher the rate of SSD you will pay. For example, for the year 2011, the SSD rate rule are that if you buy a property and then sell it within the first year of purchasing it, you pay SSD at the rate of 16%, 12%, 8%, 4% and Zero for the second, third, fourth and beyond respectively. The SSD is calculated on the total value that you get from the sale, irrespective of whether you sold it at a profit or loss.
Decide what you want before buying property in Singapore
Do you want property to live in or to invest? This is very important because if you want property to invest, then it should be on a prime location where it can attract renters. For example, if you want landed property so that you can rent it out and make regular income from it, then it had better be near amenities like supermarkets, schools and hospital. Of course, if it is close to the CBD, it will fetch you a high rent every month. When buying property in Singapore, whether to live in or for investment purposes, location is very important.
The property market in Singapore is very competitive and so you will find what you need, no matter what it is. However, that will largely depend on your budget. Prices for buying property in Singapore will range from affordable to very high. For example, if you want to buy a luxurious apartment, or landed property, then the prices will be higher than what you would pay for, say, an executive condominium. Make a plan beforehand and then stick by that plan by it all means. Change of plan might be impossible once the transaction is under way.
Even before you come to our realty firm so that we can help you, shop widely until you make up your mind the areas where you would like to own property. Is this going to be HDB property or private property? It does not matter because there are enough of both options for everyone. Decide whether you want to own your property on leasehold or freehold. While each has its disadvantages, it also has benefits. Find more about them. Buying property in Singapore need not be hard, not even the Option to Purchase, Offer to Purchase and other process involved in the transaction.