{"id":26076,"date":"2019-05-21T11:50:28","date_gmt":"2019-05-21T03:50:28","guid":{"rendered":"https:\/\/www.99.co\/blog\/singapore\/?p=26076"},"modified":"2022-06-13T17:06:55","modified_gmt":"2022-06-13T09:06:55","slug":"5-often-overlooked-budgeting-steps-when-renting-in-singapore","status":"publish","type":"post","link":"https:\/\/www.99.co\/singapore\/insider\/5-often-overlooked-budgeting-steps-when-renting-in-singapore\/","title":{"rendered":"5 Often Overlooked Budgeting Steps When Renting in Singapore"},"content":{"rendered":"
<\/div>

As the world’s most expensive city for expatriates, you may be expecting the worst when it comes to rental costs. Well don’t worry, because…actually, just do <\/em>worry because it’s crazy expensive. Here are some ways to keep things in check:<\/p>\n

First, what does <\/em>it cost to rent in Singapore?<\/h3>\n

Since this is such a common question, here are the numbers you’re looking for. They’re accurate as of Q1 2019. We update these every quarter on 99.co, and you can find them in our quarterly report – like us on Facebook<\/a> for the latest numbers.<\/p>\n

\"Young
Rental costs in Singapore is crazy, which is why it’s important to budget accordingly.<\/figcaption><\/figure>\n

Average rental rate for a condo in Singapore: approx. $3,506 per month<\/strong><\/p>\n

Average rental rate for a Core Central Region (CCR) condo: approx.\u00a0$4,969 per month<\/strong><\/p>\n

Average rental rate for an Rest of Central Region (RCR) condo: approx.\u00a0$3,873 per month<\/strong><\/p>\n

Average rental rate for an Outside Central Region (OCR) condo: approx.\u00a0$2,474 per month<\/strong><\/p>\n

For more details on these different areas, look here<\/a>.<\/p>\n

That being said, here’s how to set your budget when renting in Singapore:<\/p>\n

1. Budget for the initial deposit<\/h3>\n

When you decide on a unit to rent, you’ll first sign the Letter of Intent (LOI) with the landlord. As part of this process, you may be asked to hand over a good faith deposit of the first month’s rent (note that this can be negotiated; some tenants insist that they see the TA<\/a> before they hand over a deposit, for example).<\/p>\n

\"coins
You may be asked to hand over a good faith deposit of the first month’s rent.<\/figcaption><\/figure>\n

Note that you don’t need to budget for a security deposit after that – the good faith deposit handed over during the LOI will become the security deposit.<\/p>\n

Because of this deposit, you should factor in another month’s worth of rent at the start (you’ll get it back when you leave, assuming the house is in good condition).<\/p>\n

2. Budget for at least $350 a month in utilities<\/h3>\n

In Singapore, tenants usually pay the utility bills themselves (this includes the cost of servicing air-conditioners, and internet access). Most internet plans – excluding cable – will reach around $60 per month. Overall, a realistic amount to set aside is $350 to $400 per month.<\/p>\n

Bear in mind that Singapore is in the tropics; it’s humid, and temperatures usually hover at around 32 degrees centigrade. The air-conditioner will almost always see use, unless you love the heat (or can bear with just using a fan). Also, the humidity and frequent rain often necessitates the use of a dryer.<\/p>\n

3. Set aside money for your property agent’s commission (and it’s a good idea for first time renters to use one)<\/h3>\n

Singapore is landlord-friendly. There’s no standardised contracts for all tenants, so it’s possible for a landlord to slip in unique clauses that are unfair to you.<\/p>\n

\"An
Don’t forget to pay your agent his or her commission!<\/figcaption><\/figure>\n

The best way around that is to have a property agent representing you. We advise that new renters do this at least for the first time they rent<\/em> – then you can ask a property agent about what to look for, what each separate form does, etc. The commission paid to the agent is almost always worth the assurance provided.<\/p>\n

Here’s how much you’d usually pay:<\/p>\n