A new launch purchase is made before you can inspect the completed home. Good due diligence therefore means replacing assumptions with documents, measurements and site observations—and knowing which questions belong to the developer, bank, lawyer or public authority.
The checklist below is designed for private residential projects sold by licensed developers in Singapore. It deliberately avoids launch-day predictions and instead focuses on facts that can change whether a specific unit is affordable and suitable.
1. What are BSD and ABSD in Singapore?
When purchasing residential property in Singapore, buyers encounter two primary property taxes administered by the Inland Revenue Authority of Singapore (IRAS): Buyer’s Stamp Duty (BSD) and Additional Buyer’s Stamp Duty (ABSD).[1][2]
Buyer’s Stamp Duty (BSD) applies to all property acquisitions regardless of buyer nationality or property count. BSD is calculated progressively on the higher of the purchase price or open market valuation, with marginal tax rates scaling up to 6% for residential properties above S$3,000,000.[1]
Additional Buyer’s Stamp Duty (ABSD) was introduced as a macroprudential property cooling measure. It applies as an additional flat percentage on top of BSD, determined strictly by the buyer’s residency status (Singapore Citizen, Permanent Resident, Foreigner, or Entity) and the count of residential properties owned at the time of purchase.[2]
Checkpoint
- BSD applies to all buyers; ABSD is tiered by citizenship and property portfolio count
- Both duties are computed on the higher of the contract purchase price or market value
- Payment is due within 14 calendar days of executing the Sale and Purchase Agreement (or Option to Purchase if signed in Singapore)
- Stamp duties can be funded with CPF Ordinary Account savings subject to CPF Board rules
2. Official Singapore ABSD & BSD rates breakdown
Under the cooling measures in effect since 27 April 2023, ABSD rates reflect significant differentiation across buyer profiles. Singapore Citizens (SC) purchasing their first home enjoy complete ABSD exemption (0%), while multiple-property owners, permanent residents, and foreigners face higher tax tiers.[2]
For co-purchases involving individuals with different residency profiles or property counts, IRAS applies the highest applicable ABSD rate across all purchasers to the entire value of the property, unless a specific statutory remission applies.[2]
| Buyer Profile | 1st Property | 2nd Property | 3rd & Subsequent |
|---|---|---|---|
| Singapore Citizens (SC) | 0% (Not applicable) | 20% | 30% |
| Singapore Permanent Residents (SPR) | 5% | 30% | 35% |
| Foreigners (Individuals) | 60% | 60% | 60% |
| Entities / Corporates | 65% | 65% | 65% |
| Trustees (Residential on Trust) | 65% | 65% | 65% |
| Housing Developers | 35% (Remittable) + 5% (Non-remittable) | 35% + 5% | 35% + 5% |
Checkpoint
- First-time Singapore Citizen buyers pay 0% ABSD
- First-time SPR buyers pay 5% ABSD
- Second-property SC buyers pay 20% ABSD upfront
- Foreign buyers pay 60% ABSD unless covered by qualifying Free Trade Agreements
3. Married couple ABSD remission & the 6-month sale timeline
Singaporean married couples upgrading from an existing home (such as an HDB flat or private condo) to a new private residential property can qualify for a full ABSD refund under the Stamp Duties (Spouses) (Remission of ABSD) Rules.[3]
To qualify for the refund, the couple must meet strict statutory criteria: at least one spouse must be a Singapore Citizen, both spouses must hold no interest in more than one residential property each at purchase, and the second property must be bought in the joint names of both spouses only.[3]
Crucially, the first matrimonial home must be disposed of within 6 months from the date of purchase (for completed resale properties) or within 6 months from the issue date of the Temporary Occupation Permit (TOP) or Certificate of Statutory Completion (CSC), whichever is earlier, for uncompleted new launch developments.[3]
The ABSD refund application must then be submitted via the IRAS myTax Portal within 6 months after the date of sale (OTP exercise date) of the first residential property.[3]
Checkpoint
- At least one spouse must be a Singapore Citizen
- Both spouses must buy jointly with no other third parties
- Second-property ABSD (e.g. 20%) must still be paid upfront upon stamping
- First property must be sold within 6 months of TOP/CSC for new launches
- Refund application to IRAS must be submitted within 6 months of selling the first property
4. Special remissions: Free Trade Agreements & Senior Concessions
Under reciprocal Free Trade Agreements (FTAs) signed by Singapore, nationals and permanent residents of specific countries are accorded the same stamp duty treatment as Singapore Citizens:[4]
Nationals and Permanent Residents of Iceland, Liechtenstein, Norway, and Switzerland, as well as Nationals of the United States of America, are eligible for 0% ABSD on their first residential property purchase in Singapore.[4]
Additionally, under the Stamp Duties (Senior Singles) (Remission of ABSD on Replacement Property) Rules, single Singapore Citizens aged 55 and above who are right-sizing to a lower-value replacement private residential property can apply for an ABSD refund if they dispose of their first property within 6 months of purchase (completed) or TOP/CSC (uncompleted new launch).[5]
Checkpoint
- US nationals and EFTA nationals/PRs receive Singapore Citizen ABSD parity (0% on 1st property)
- Single SC seniors (55+) can claim ABSD refund when right-sizing to a replacement home
- Conveyancing solicitors must apply for FTA remission via the e-Stamping portal upon contract stamping
- Entity buyers and trusts are subject to 65% upfront ABSD with specific clawback and remission criteria
5. Worked example: Total stamp duties on a S$2,400,000 new launch unit
To see how BSD and ABSD work together in practice, consider a Singapore Citizen couple purchasing a S$2,400,000 3-bedroom unit at a new launch development like Thomson Reserve or Lucerne Grand.
Buyer’s Stamp Duty (BSD) Calculation on S$2,400,000:[1]
• First S$180,000 @ 1% = S$1,800
• Next S$180,000 @ 2% = S$3,600
• Next S$640,000 @ 3% = S$19,200
• Next S$500,000 @ 4% = S$20,000
• Next S$900,000 @ 5% = S$45,000
Total BSD Payable = S$89,600
ABSD Scenarios on S$2,400,000:[2]
• First Property (SC): 0% ABSD = S$0. Total duties = S$89,600.
• Second Property (SC Couple Upgrading with Remission): 20% ABSD (S$480,000) paid upfront, then fully refunded upon selling existing home within 6 months of TOP.
• Second Property (SC Investment): 20% ABSD = S$480,000. Total duties = S$569,600.
• Foreign Buyer: 60% ABSD = S$1,440,000. Total duties = S$1,529,600.
| Buyer Category | BSD Amount | ABSD Rate | ABSD Amount | Total Initial Duty |
|---|---|---|---|---|
| SC First Home | S$89,600 | 0% | S$0 | S$89,600 |
| SC 2nd Property (Upgrader with Remission) | S$89,600 | 20% (Refundable) | S$480,000 | S$569,600 (S$480k refunded post-sale) |
| SC 2nd Property (Retaining 1st) | S$89,600 | 20% | S$480,000 | S$569,600 |
| SPR First Home | S$89,600 | 5% | S$120,000 | S$209,600 |
| Foreign Purchaser | S$89,600 | 60% | S$1,440,000 | S$1,529,600 |
Checkpoint
- Calculate cash and CPF reserves to cover initial upfront stamping within 14 days of OTP
- Check cash flow timelines alongside the <a href="/blog/progressive-payment-scheme-singapore-condo/">Progressive Payment Scheme guide</a>
- Review developer documents and unit mix using our <a href="/blog/new-launch-condo-due-diligence-checklist-singapore/">New Launch Due Diligence Checklist</a>
- Explore boutique freehold options such as <a href="/new-launches/dunearn-house/">Dunearn House</a> or prime projects like <a href="/new-launches/amberwood-at-holland/">Amberwood at Holland</a> and <a href="/new-launches/the-serra-residences/">The Serra Residences</a>
6. Strategic considerations & risks for new launch buyers
Navigating ABSD requires careful legal and cash flow planning before committing to an uncompleted project. Upgrading families should evaluate whether they possess the liquidity to bridge the upfront 20% ABSD payment while their capital remains tied up in their existing property.
Because new launch condominiums take 3 to 4 years to reach TOP, upgraders enjoy the benefit of delaying the sale of their existing home until the new project nears completion. This avoids interim rental expense, but buyers must be vigilant about marketing their first home early to comfortably meet the strict 6-month statutory deadline. IRAS does not grant ad-hoc extensions.[3]
Buyers should also avoid artificial restructuring schemes (such as 99-to-1 tenancy-in-common transfers designed solely to circumvent ABSD). IRAS actively reviews sham transactions and enforces statutory surcharges and civil penalties under Section 33A of the Stamp Duties Act.[6]
Checkpoint
- Ensure sufficient liquid CPF OA / cash to bridge upfront ABSD before the remission refund
- Set a clear timeline for listing the first home 6 to 9 months before estimated TOP
- Never rely on artificial ownership split schemes to bypass legitimate stamp duties
- Consult an experienced conveyancing lawyer to execute Option and S&PA stamping correctly