Singapore’s government has announced changes to the Seller’s Stamp Duty (SSD) for residential properties, effective from 4 July 2025. The holding period will be extended from three to four years, and SSD rates will increase by four percentage points for each tier of the holding period. These measures are intended to address the recent surge in private residential property transactions with short holding periods.
The number of subsale transactions has risen sharply, with subsale volumes averaging 338 units per quarter between Q1 2023 and Q1 2025, compared to 131 units per quarter from Q1 2013 to Q4 2022. Tricia Song, CBRE Head of Research for Southeast Asia, noted that whilst some owners have sold properties for significant capital gains due to a 40% price increase since 2020, the percentage of subsales in total private residential transactions has declined from 9.5% in Q4 2023 to 4.4% in Q1 2025.
Song commented, “We believe the increase in SSD of 4ppts and holding period to 4 years could have some but insignificant impact on transaction volumes and pricing.” She added that the measure is prudent to deter investors from short-term flips, as buyers without holding power may reconsider their decisions.
The revised SSD schedule will impose rates of 16%, 12%, 8%, and 4% for properties held up to one, two, three, and four years, respectively. Properties held for more than four years will not incur SSD. This move aims to stabilise the market and discourage speculative buying, ensuring that genuine owner-occupiers and long-term investors are not adversely affected.
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