How much Stamp Duty PR need to pay when buying HDB

How much Stamp Duty PR need to pay when buying HDB

As a realtor, I'm here to answer your questions about Permanent Residents (PRs) buying HDB flats in Singapore and any additional taxes they may need to pay, such as the Additional Buyer's Stamp Duty (ABSD).

Can PRs Buy HDB? 

Yes, Permanent Residents (PRs) are eligible to purchase HDB flats in Singapore. However, there are certain conditions and criteria that PRs must fulfill:

  1. The ownership of the PR must be at least 3 years old.
  2. The PR must form a family nucleus: To buy an HDB flat, a PR must form a family nucleus with at least one other Singapore Citizen (SC) or PR. The eligible family nucleus can include the PR, their spouse, children (if any), and parents (if they are listed as essential occupiers).

  3. The PR must meet the MOP: PRs are subject to a Minimum Occupation Period (MOP) of 5 years before they are allowed to sell or rent out the whole HDB flat.

  4. Non-subsidized flat purchase: PRs can only buy non-subsidized HDB flats from the resale market. They are not eligible to purchase new HDB flats directly from HDB, as new flats are typically reserved for Singapore Citizens.

Additional Buyer's Stamp Duty (ABSD) for PRs Buying Residential Properties (HDB)

Yes, PRs are subject to the Additional Buyer's Stamp Duty (ABSD) when buying residential properties in Singapore. The ABSD rates for PRs are as follows:

  • 5% on the purchase 

The ABSD is payable on top of the existing Buyer's Stamp Duty (BSD) that all property buyers must pay. The BSD rates range from 1% to 4%, depending on the property price. (Commonly if HDB is under $1m would be at around 3%)

It's important for PRs to factor in the ABSD when budgeting for their property purchase. The ABSD is an additional cost that PRs need to consider, especially if they are buying a second or subsequent residential property in Singapore.

As a realtor, I can provide personalized guidance and assistance to PRs who are interested in buying HDB flats or other residential properties in Singapore. Feel free to reach out to me for expert advice and support throughout the property buying process, including understanding tax implications and compliance with relevant regulations.

Ready to explore buying an HDB flat as a PR in Singapore? Contact me today for professional assistance and to navigate the property market with confidence. Let's find your dream home while ensuring a smooth and successful property transaction.

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