Singapore is one of the world’s most popular tourist destinations, and millions of investors visit year after year for one reason or another.
If you are a foreign investor, you will most likely spend days or weeks in Singapore before returning to your home nation.
You might need to rent an apartment or stay in a hotel for several weeks or months at a time. (The cost of staying at a hotel might be quite high!)
Of course, everyone needs a place to live, and Riviere is one of Singapore’s newest developments.
Even if you live in Singapore, once your family size or status changes, you will require a new residence.
Nobody wants to spend their money on rent for the rest of their lives; thus, if you live in Singapore or plan to relocate there, you should be aware of the cost of housing in Singapore.
The average cost of a house in Singapore is discussed in this article – Condos, BTO Flats, Executive and private condominiums, resale flats, and so on are all included.
When you decide to buy your first home, you will likely face a lot of anxiety and confusion.
The challenge is always getting started, and you may not know how much it will cost to buy the house.
Don’t worry; this article will walk you through the steps involved in purchasing a new home in Singapore, as well as the estimated costs.
What are the expected costs when purchasing a home in Singapore?
When looking to purchase a new home in Singapore, keep in mind that the final price will be determined by a variety of factors, and you should ask yourself a few key questions.
The state of the house is one of these criteria.
- Is this a brand-new home?
- When was it constructed?
- When was the last time it was renovated?
- What amenities are in close proximity to it?
If the flats are adjacent to a convenience, such as an MRT station, the price is likely to rise.
As a result, depending on these characteristics, houses may be highly dear or very inexpensive in particular places.
As at August last year, the cost of buying units in Singapore without grants were as follows:
(Yet to Mature)
|Resale Flats||Executive Condo||Private Condo|
|One room or Studio||$420k -$560k||$600- $700k|
|Two Rooms (Flex)||$90,000 -$162,000||$137,000 – $277,000||$640k – $720k||$800k – $900k|
|Three Rooms||$164k – $248k||$205k – $421k||$350k – $380k||$776k – $960k||$970k – $1.2M|
|Four Rooms||$253k – $381k||$311k – $617k||$420k – $550k||$1.12M – $1.4M||$1.4M – $1.8M|
|Five Rooms||$405k – $516k||$423k – $725k||$520k – $700k||$1.6M – $1.76m||$2M – $2.2M|
|Three Generation||Min. of $355k|
|Penthouse||Average $1.9M||Average $3M|
What about resale flats?
If you don’t want to ballot or wait for a BTO flat, HDB resale flats are a good option.
To begin with, there’s no certainty that balloting for a HDB BTO flat would result in you receiving a unit in the estate.
Take it from these first-time homebuyers: BTO developments aren’t always in the buyer’s desired location, which could be a familiar neighborhood, close to their parents’ house, or close to school or job.
If you don’t want to waste time waiting or renting, HDB resale flats are a good option.
Even if you don’t receive the whole 99-year lease, practically new HDB resale units should have at least 90 years left, which is plenty.
However, assess whether the price you’re paying is reasonable in light of the remaining lease years.
You can also pick up the keys to HDB resale flats as soon as the purchase is finished.
This means you can get started on your renovations right away and move in swiftly.
If you’re not picky about the look of your property, you might be able to save money on renovations because the previous owner may have already done so.
However, if you have a specific concept in mind, a BTO (also known as a “blank canvas”) may be preferable, as hacking walls and removing existing structures from a resale unit can be costly.
Prices of resale flats
The HDB resale price index portal is a useful tool if you’re looking for a HDB resale flat and aren’t sure how much you should pay for a unit in your preferred estate.
You may search by HDB town, flat type, and resale registration date, as well as additional parameters like street name, block number, and even the price range of transacted resales.
Based on recorded resale applications, quickly verify the transacted prices for resale flats during the last two years.
The HDB resale price index portal is updated on a daily basis as well.
Condominiums and ECs
The price of private condos is shown in the table above, and it would be very pricey for condos close to premium facilities like Orchard Park (District 9).
Condos in the Orchard area are considered premium homes.
Riviere Condo by Frasers, for example, is a new premium home property located near premium facilities with prices ranging from $1.5 million to $5.3 million.
It comes in one bedroom, two bedroom, three bedroom (deluxe and Premium), and four bedroom configurations.
Fresh executive condominiums are typically 20% less expensive than older private condominiums.
The minimum occupancy time is five years, and once the executive apartment has been occupied for five years, the price difference between it and a private unit will be reduced to 9%.
In a few years, it will be reduced to 5%.
In conclusion, there is a 20% price difference between a new executive condominium and a private condominium.
In this example, the executive condo is less expensive, but the margin will shrink to 9% when the executive condo is between 5 and 10 years old.
What else will I have to pay for when it comes time to purchase my first home?
It’s critical to remember that you’ll be making the following installments.
- If you’re taking out a private bank loan, you’ll need a 5% down payment.
Those who plan to finance their home with a private bank loan will be required to put down 25% of the total cost of the home as a down payment.
A minimum of 5% of the down payment must be paid in cash, and the remaining 20% can be paid in cash or using money from your CPF OA.
When paying for ECs, make sure you take out a loan from a private bank.
- Everything must be legalized, hence you must pay legal fees for certain essential services, such as:
- Fees for conveyancing
- Registration costs are a caveat.
- Stamp duty for a contract
The conveyancing fees for the first $30,000 of the house’s cost are $0.90 per $1000, according to Singapore’s inland revenue department.
The next $30,000 of the property’s cost will incur a $0.72 per $1,000 transfer fee, while the remaining amount will incur a $0.60 per $1,000 conveyance fee.
- Home insurance costs anywhere from $45 to $700 per year.
- Accidents, fire, personal assets, and other risks are covered by premium insurance plans.
- Property tax will be due, and it will be based on the annual valuation of your home, which is the amount you will receive each year when you rent out your property.