I raved about the ABSD (Additional Buyers Stamp Duty) when it was announced. Singapore’s property market is currently overheated by rich foreign investors, who see Singapore as a sort of Switzerland without mountains.
Where do you think all our money comes from? Productivity?
Anyway, the ABSD made foreign buyers pay 10% stamp duty on their property. As it turns out, this hindered the rich to the same degree that a toothpick would hinder an attacking polar bear. H88 has an article on it. Despite having paid half a billion dollars to the government already, foreign buyers won’t stop parking their cash here. They’re still buying, and locals can’t outbid them.
At least BTO flats aren’t directly affected, because foreigners can’t buy them. However, as private property prices soar, more Singaporeans will back down from purchasing condos and resale flats. They’ll go for lower-end properties, and you may get more competition when balloting for BTO flats.
Whatever the case, you might have to abandon your hopes of owning a condo or resale flat for now. Full story
