Posted On Wednesday, 19th October 2011
Law change will slash Singapore's foreign buyer numbers in half
19 October 2011
Singapore expects foreign purchases of landed property to be cut by 50% after changes to their Residential Property Act (RPA) in January, according to the law minister Kasiviswanathan Shanmugam.
Only foreigners who are permanent residents (PR) can buy landed residential properties, and approval must be given by the minister himself…with only one property purchase per approval allowed.
The new rules mean that PR owners who rent out their residencies or sell restricted properties without approval could face large fines.
Mr Shanmugam said: "After the further tightening up, I suspect we are looking at very few people who would qualify.”
“I think probably less than half of those who had previously qualified under the earlier strict criteria would qualify now. I'd be surprised if approvals are more than 50 per year.”
He added the government’s move to put strict conditions on PR purchasing approvals of landed properties stems from the belief that primarily Singaporeans should own them. “The exceptions will be very rare,” he said.