{"id":18198,"date":"2022-06-19T22:00:35","date_gmt":"2022-06-19T14:00:35","guid":{"rendered":"https:\/\/www.99.co\/blog\/singapore\/?p=18198"},"modified":"2022-07-01T05:22:04","modified_gmt":"2022-06-30T21:22:04","slug":"absd-increase-property-buyers","status":"publish","type":"post","link":"https:\/\/www.99.co\/singapore\/insider\/absd-increase-property-buyers\/","title":{"rendered":"How property buyers should react to the ABSD increase"},"content":{"rendered":"
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So you were either celebrating your wedding anniversary at a Michelin-star restaurant or working overtime in your office. Either way, you missed the chance to buy your dream property before the Singapore government raised Additional Buyer Stamp Duty (ABSD) and further tightened the Loan-to-Value (LTV) limit<\/a> on the stroke of midnight on 16 December 2021.<\/p>\n

It was a move that provoked widespread panic buying<\/a>. during the last round of cooling measures back in July 2018<\/a>.<\/p>\n

With the ABSD increases at a minimum 5% quantum, this was no doubt a heavy handed measure to put many prospective buyers out of the game. So, where do you go from here?<\/p>\n

Assuming you’re a Singapore Citizen or Permanent Resident intending to buy a second property, here’s our essential before-and-after guide for every budget<\/em>:<\/p>\n

Your maximum budget: Under S$1 million<\/strong><\/h2>\n

Goal: You were probably looking at buying a shoebox-sized, new launch, 99-year leasehold mass market condo unit for the rental yield.<\/strong><\/p>\n

Well, now the combination of ABSD increase and tighter loan-to-value (LTV) ratio has completely eliminated that option… but not<\/em> entirely. If you still really want to invest in property, you might want to consider the merits of buying a resale condo<\/a>. In doing so, you might realise three things:<\/p>\n