Singapore has raised the tax on the purchase of housing by foreigners
Fees for the purchase of second and subsequent homes have also increased for citizens and permanent residents. Singapore is introducing a series of measures to cool the real estate market, including raising taxes on the purchase of second and subsequent homes. The innovations include raising the purchase tax, locally referred to as the buyer's "stamp duty", on second homes to 17% from 12% for citizens and to 25% from 15% for residents. This was stated by the Ministry of National Development, the Ministry of Finance and the Monetary Authority of Singapore. For the third and subsequent houses, Singapore citizens will now pay 25% purchase tax, up from 15%, and the rate for permanent residents will double to 30%. The purchase tax for foreigners without permanent resident status will increase to 30% from 20%. The new measures come into effect on 16 December. Purchase taxes for Singapore citizens and permanent residents purchasing their first property will remain unchanged at 0% and 5% respectively. The government has said private home prices in Singapore have risen by about 9% since the first quarter of 2020. Contrary to forecasts, local real estate continues to rise in price. Including, because of the return of consumer confidence. And sales of luxury homes in Singapore hit a new high in more than 10 years.
