The higher stamp duty put in place since 2011 has led to hefty losses for some home sellers.
More than $70 million has been collected in seller’s stamp duty (SSD) for non-landed private property transactions since 5 years ago.
Since 14 Jan 2011, all properties sold within four years of its purchase would have incurred the higher SSD of 4% to 16%.
Properties sold within their first year of purchase would have to pay the maximum SSD of 16%, while those sold within two, three and four years of purchase would pay 12%, 8% and 4% respectively.
The higher SSD was put in place to discourage property speculation by motivating buyers to take a longer-term stance on their investment.
In the past year, at least 59 non-landed private home transactions suffered a loss after paying the SSD. For instance, a unit at Four Seasons Park incurred a total loss of $2.64 million after paying a 12% SSD of $1.14 million.
Mr Nicholas Mak, head of research and consultancy at SLP International said that these sellers choose to sell their homes despite a loss to reduce any further losses due to the market downturn.
For additional coverage, check out The Straits Times.
Conversely, you might also be interested in finding out how homebuyers have benefitted from new rules by URA.
Find the home of your dreams today at Singapore’s largest property portal, 99.co!
Looking to sell your property?
Whether your HDB apartment is reaching the end of its Minimum Occupation Period (MOP) or your condo has crossed its Seller Stamp Duty (SSD) window, it is always good to know how much you can potentially gain if you were to list and sell your property. Not only that, you’ll also need to know whether your gains would allow you to right-size to the dream home in the neighbourhood you and your family have been eyeing.
One easy way is to send us a request for a credible and trusted property consultant to reach out to you.
Alternatively, you can jump onto 99.co’s Property Value Tool to get an estimate for free.
If you’re looking for your dream home, be it as a first-time or seasoned homebuyer or seller – say, to upgrade or right-size – you will find it on Singapore’s fastest-growing property portal 99.co.
Meanwhile, if you have an interesting property-related story to share with us, drop us a message here — and we’ll review it and get back to you.
Join our social media communities!
Main Facebook page
Facebook #All Things HDB page
Facebook #Condo-Maniacs page
Facebook #UHNWIs Luxury Homes page
Leave a comment