Owning property in Singapore is not easy because it involves various procedures that may be complicated to some people. A person needs first to confirm if the seller is legitimate by getting that information from a trusted real agent. The information may include a detailed transaction procedure and also the property taxes. The following are three important tips to consider before buying property in Singapore:
1. Real estate agents
In Singapore, properties are either acquired through leasehold or freehold tenure. In leasehold tenure, the buyer possesses the property for an indefinite period of time.freehold tenure involves the buyer owning the property for a specified period of time, and upon the expiration of the agreed duration, the property reverts back to the state. Purchasing property through real estate agents ensures the process is properly documented. An agent’s working knowledge of the Singaporean real estate market ensures that the clients are provided with accurate information, and helped in making important decisions. The agent will shortlist property for your approval and then you will be required to make a trip to the property and make sure that it satisfies you. A person should also check the fixtures, interior, and exterior design.You are supposed to be completely satisfied with the condition of the property before agreeing on the selling price.
2. Foreign ownership
The Singaporean government restricts foreign ownership of private residential properties. If a foreigner wants to buy an apartment or condominium units, he does not need to contact the Singaporean government. But if the property being acquired includes houses and bungalows, then it becomes mandatory to obtain an approval from the Singapore Land Authority.
Properties covered by HDB in Singapore adhere to the regulation that foreigners are not permanent residents; therefore, they cannot purchase an executive condominium through the open market.
In this arrangement, it becomes mandatory to contact the developer of the property. Permanent residents are not prohibited from purchasing HDB flats directly from the HDB as long as they form a family nucleus with a citizen of Singapore. Permanent residents are also allowed to buy HDB flats from the resale market, although they are supposed to enlist a single occupier as a citizen of Singapore.
You should involve the services of an attorney when you are purchasing property in Singapore.
A lawyer is supposed to conduct necessary searches and ensure that the ownership of the property is legitimate. A solicitor is the one who will lodge a caveat that is supposed to notify the general public of the buyer’s intention to own the property. A solicitor will check the credentials and reputation of the seller to confirm if the alterations and renovations of the property were correctly done and approved.
After you have made your choice, you are supposed to sign a document referred to as An Option to Purchase. The report gives the buyer fourteen days in which he is supposed to decide if he will be buying the property or not. At this stage of the purchase, the buyer is required to have at least one percent of the purchase price ready. The documents are then sent to the seller’s solicitor. As the buyer, you are supposed to have paid nine percent of the purchase price at this stage.
Purchasing property in Singapore is a brilliant idea if you are looking forward to becoming a permanent resident or an investor. Singapore has a robust economy with a real estate market that is stable. So, if you are planning to buy a property, please look at the Singapore’s property listing and choose the appropriate property for your investment.