- Buyer's Stamp Duty is calculated on the higher of the price or the market value.
- Additional Buyer's Stamp Duty depends on the buyer's profile on the date of purchase.
- Seller's Stamp Duty applies to residential property sold within the holding period.
- Duty is generally payable within 14 days of signing, and late payment attracts penalties.
Buyer's Stamp Duty (BSD)
BSD is payable by the buyer on the document that transfers or agrees to sell the property, such as the accepted Option to Purchase or a sale and purchase agreement. It is calculated in tiers on the purchase price or the market value of the property, whichever is higher. This means a price well below market value does not reduce the duty.
Where the price and the market value may differ, a valuation can help show which figure applies.
Additional Buyer's Stamp Duty (ABSD)
ABSD is charged on top of BSD when certain buyers acquire residential property. Whether it applies, and at what rate, depends on the buyer's profile on the date of purchase, including:
- Whether the buyer is an individual or an entity such as a company or trust.
- The buyer's citizenship or residency status.
- How many residential properties the buyer already owns.
At the time of writing (IRAS rates in force since 27 April 2023), a Singapore Citizen buying a first home pays no ABSD, while a citizen buying a second residential property pays 20% and a third or later property 30%. A Singapore Permanent Resident buying a first home pays 5%, and a foreigner buying any residential property pays 60%. Rates and remissions change, so they should be checked against IRAS's current figures before you commit.
When more than one person buys together, the profile of each buyer matters. Because ABSD can be a substantial cost, it should be worked out before the option is exercised, not afterwards.
Seller's Stamp Duty (SSD)
SSD is paid by the seller when residential property is sold within a set holding period after it was bought. For residential property bought on or after 4 July 2025, the holding period is four years. Property bought earlier is subject to the shorter holding period and rates that applied at that time.
The relevant dates are usually not the completion dates. IRAS generally treats the date the Acceptance to the Option to Purchase was signed as both the date of purchase and the date of sale. A seller close to the end of the holding period should check those dates before granting an option, because the buyer's exercise date can decide whether SSD is payable.
When duty must be paid
Stamp duty generally has to be paid within 14 days after the document is signed in Singapore. Your conveyancing lawyer usually arranges the stamping and payment as part of the transaction. Late or insufficient stamping can lead to penalties.
CPF Ordinary Account savings can sometimes be used towards BSD and ABSD, subject to CPF Board's rules, but in some cases the duty must first be paid in cash and reimbursed later. Ask your lawyer early how this will work for you.
Buying and selling at the same time
If you are selling one home and buying another, the order and dates of the two contracts can affect your ABSD position, because a property counts towards your total from the date its contract is accepted. Let your lawyer know about both transactions from the start so the timing can be planned.
A lawyer can review your situation and explain your options.
This article is general information on Singapore law and is not legal advice. Rules and agency policies change, and every situation is different. For advice on your own circumstances, speak with one of our lawyers.
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