Singapore Property Ownership Policies
Singapore property is attracting many local and foreign investors. If you are interested in buying Singapore real estate, one of the very first things you must do is to understand ownership properties. If you a hire a real estate agent, he or she should be able to update on you on the policies so that buying or investing in an area is a well informed decision.
Ownership Restrictions by Housing Development Board (HDB)
The Central Provident Fund (CPF) helps Singaporeans finance their purchases of a home. It was first introduced on July 1, 1955 by the Colonial British Government; this is also known as a pension scheme funded by the government.
Ownership in Singapore can be put in two categories mainly private and public. The public home is more popular among those living in Singapore since it holds about 81% of households. These households come from a low to upper middle incomes. The public is under the HDB. They are responsible for housing production and management as well as creating policies among other responsibilities. Private homeowners make up less than 10% of households. They are not given as much subsidy as the public which is one of the reasons why it is less known and practiced.
New policies have been made which no longer allows people to own HBD and private homes for a certain period of 5 years. On top of that, private owners of properties can no longer buy HDB flats for business or investment. Private property owners must sell their property within a short span of 5 months if they already bought a flat. Likewise, those who had flats are not allowed to purchase private property while the minimum occupation period (MOP) is still ongoing.
The Seller’s Stamp Duty was formerly put in one year of holding period; today, it is now three years. The goal of this policy will help investors think long term of investing in Singapore property. Those who plan to sell their Singapore real estate or house after three years of owning it will be the only ones who are not required to pay stamp duty.
Those who plan to invest must now pay a deposit of 10% cash. This came up from the minimum of 5%. A real estate agent will be able to share with your financial obligations and agreements.
More Singapore property sites for development will be given by the government. This is in an effort to be able to provide Singapore real estate as demanded and needed. A real estate agent will help show you prime locations. The Government Land Sales Program shares that they will be able to provide 13,900 units. More development was promised in the year 2011.
The ownership properties made some revisions; getting updated will help in making a decision of the best properties to invest in.
Even with the turn of the economic market, real estate properties are good investments. Singapore property is in demand. Singapore real estate is hot in the market for locals and expats. To find more information on the best investment properties, look at the following site.
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