A Foreigner's Guide to Buying Property in Singapore

Singapore's strong governance, political stability, and consistent long-term economic growth make it one of the most attractive real estate markets for foreign investors globally. However, purchasing property as a foreigner involves a distinct set of rules, costs, and processes that differ significantly from those faced by Singaporean and PR buyers.

Who is Considered a Foreigner?

A foreigner in Singapore's property context refers to individuals who are neither Singapore citizens nor permanent residents (PRs). Your residency status determines which property types you are eligible to buy, and what stamp duties apply — particularly ABSD.

What Can Foreigners Buy in Singapore?

Foreigners can generally purchase non-landed private residential properties without restriction. Landed properties are off-limits except in Sentosa Cove. HDB flats are reserved for citizens and PRs. Foreigners may also purchase commercial and industrial properties, which carry no ABSD.

ABSD: The Key Cost Consideration

Since April 2023, the ABSD rate for foreigners purchasing any residential property in Singapore is 60%. Following this tightening, average foreign residential transactions fell from approximately 80 per month to just 25 per month.

Commercial and Industrial: An Alternative Route

For foreign investors deterred by the 60% ABSD on residential property, commercial and industrial assets offer a compelling alternative. Office units, shophouses, industrial factories, and food factory spaces carry no ABSD — making them structurally more accessible while still offering stable rental yields.

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Source: ERA Realty Network. Original article published on era.com.sg (7 May 2026). Data references: URA REALIS, ERA Research and Market Intelligence.