Singapore property guide

Housing in Singapore is readily available with a vast selection to meet your choice of location, budget, facilities, nearby amenities and other personal preferences. You can rent either public housing or a private property in Singapore. While renting a private property is the most popular choice for majority of the expats in Singapore, public housing is also a very viable option for expats with limited budget.

Unless you’re a senior-level expatriate with an excellent housing compensation package, you will probably have to shoulder most of the cost of the housing on your own. Experts advise that not more than 30% of your salary should go into your monthly rent or mortgage to keep you financially afloat. Rentals vary depending on the choice of housing - public or private; size of the unit; facilities, amenities, interiors; fully furnished or partially furnished; and location.

Types of Housing Available
In general, housing in Singapore can be divided into three categories:

private apartments/condominiums - ideal for most expats
landed property (i.e. houses) - ideal for expats who prefer a large space and have a large budget
public housing locally known as Housing and Development Board (HDB) flats - ideal for expats with limited budget
Private apartments/condos
Private property can be divided into private condominium and private apartment, the former being bigger and having more facilities such as a swimming pool, tennis court, gym, squash court, children playground and BBQ area. Typically, private condos have their own security guards and enclosed car parks. They also have stylish exteriors and interiors. Most units are well furnished and come with basic household appliances (washing machine, microwave, television, air-con and refrigerator). Some may be partially furnished (minimal furniture and all basic household appliances). Very rarely are units totally non-furnished.

Rental costs vary depending on the location and size of the unit. A two-bedroom condo in the central business district (CBD) rents at 5000-10000 SGD, while units located outside the CBD rent between 2500-5000 SGD. Citizens, Permanent Residents (PR's) and foreigners can rent as well as buy private apartments and condos.

Landed property
Landed properties include terraced house, semi-detached house, detached house, and bungalows. Since land is scarce in Singapore, renting a landed property is usually lot more expensive, especially those nearer to the city center. Rental costs for such property ranges between 8,000-30,000 SGD. Only citizens and PR's (subject to approval from the Ministry of Law) are eligible to buy landed property. Foreigners are not eligible to buy such property, but can rent the same. In other words, you can own land in Singapore only if you are either a Singapore citizen or a Singapore permanent resident who has received approval to do so from the Ministry of Law.

HDB Flats
HDB flats are public housing that is owned by the government. Unlike most other countries, in Singapore HDB flats are not considered to be a sign of poverty or a lower standard of living. More than 80% of Singapore’s local population live in HDB estates. These estates include a concentration of a number of HDB apartment blocks designed to be self-contained neighborhoods. Many basic facilities such as local banks, local schools, markets, polyclinics, libraries, shopping malls and train and bus stations are located in close proximity. However these apartments do not come with luxury amenities like swimming pools or gyms. Also, keep in mind that majority of your neighbours in an HDB block would be working class Singaporeans and their lifestyle might not match yours.

For citizens of Singapore, the HDB flats are available at a subsidized rate, with the government providing the subsidy. For non-citizens, HDB flats are available for rent in the open market but not at subsidized rates. HDB flats can vary in size, ranging from two-bedroom to four-bedroom units. Rental costs for HDB units depend on the location and size of the unit. These units are usually fully or partially furnished. A three-bedroom HDB close to the Central Business District (CBD) rents at 2500-3000 SGD, while at other locations it costs 1500-2500 SGD.

If you’re planning to rent an HDB flat, make sure your landlord has approval from the HDB authorities to rent his flat. Such an approval is required beforehand and you can ask to see a copy of the approval letter when you go to view the unit.

Others: Serviced apartments/Hotels
For short-term stay (or until you find suitable longer-term accommodations), you might want to consider serviced apartments or one of Singapore’s hotels. You can get a hotel room around SGD 100-300 a night whereas the monthly rent for a serviced apartment will cost you around SGD 5000-10,000 a month. See Guide to short-term accommodations in Singapore for more details.

For more information on types of housing, see related article What property type to rent in Singapore?.

Location
You can choose to live in the North, East or West of Singapore depending on which location suits you best. Each region has its advantages and the choice is purely personal, depending on such factors as proximity to lifestyle attractions, the location of your child's school, and your place of work.

East
The East Coast is a favorite among expats for its panoramic view of the sea, myriad food choices and close proximity to the East Coast Park, East Coast Tennis Center and the Laguna Golf Course. Forty-five minutes away, you will find schools such as the Singapore American School and the United World College. Ten-minutes away, you will find the Changi airport. It is also close to the CBD and Suntec City Centre, where most of the banks and financial institutions are located.

West
Many of the well known schools including international schools such as Tanglin Trust School, United World College, and ISS as well as Singapore higher education institutes such as National University of Singapore, Singapore Polytechnic and INSEAD are located in the West Coast.

Another location favored by expats is Holland Village in the North West. Expats are drawn to the neighborhood’s bohemian appeal and high density of restaurant offerings. Also in the North West you will find upper Bukit Timah, an area with a lush green environment. It is a bit far from the city center but close to the Canadian International School. This area has fairly well connecting bus routes but lacks access to MRT.

North
Woodlands, the northern most part of town, is fast becoming a favorite among American expatriates due to its close proximity to the Singapore American School. Other districts in the North are Ang Mo Kio, Toa Payoh, Braddel and Yio Chu Kang. This area has a large concentration of HDB housing and offers a good rental choice for expatriates with smaller budgets. These neighborhoods are about thirty minutes away from the city center, if accessed using the public transport.

Central North

Areas located close to the central north like Serangoon, Upper Serangoon and Hougang areas are generally preferred by Indians since Delhi Public School is in the vicinity and Little India commercial center is nearby.

Central South
The areas to the south-centre of the island (Orchard Road and Lower Bukit Timah) command premium rent. This area is considered the city centre and the key benefit of living here is its central location and direct access to shopping malls. However, the rental prices in this area can be quite high, in some cases as high as anywhere else in the world!

Buying
Many expats with longer-term plans to stay in Singapore buy a property in Singapore instead of renting one. The real estate market in Singapore is well-regulated, clean and very efficient. As such, the process of buying or selling a property in Singapore is at par with the most developed countries. There is an efficient and liquid market for real estate in Singapore, therefore, selling a property when you plan to leave Singapore will not be a problem. Some other factors to consider are:

There are currently no restrictions for foreigners to buy private condominiums or apartments.
Landed property can only be purchased by citizens or PRs (by obtaining government approval first).
HDB flats can also be purchased only by citizens or PRs (eligibility criteria apply).
Given the restrictions on buying landed property or HDB flats, foreigners who are not permanent residents can only buy private condominiums or apartments in Singapore.

Common Rental Practices in Singapore
Renting private condos or apartments is the number one choice among expats and so it is beneficial for potential tenants to review some of the common rental practices in Singapore:

Letter of intent: Once you’ve decided on an apartment, you and the landlord should sign the Letter of Intent, a proposal from you to the landlord to lease the apartment with the conditions set by you. By signing the document the landlord accepts the conditions, which normally have been agreed verbally beforehand. The letter of intent should also specify what furniture or appliances you would like added to or removed from the property.
Good Faith Deposit: Usually one month’s rent. This deposit is made when the you execute the letter of intent. Upon the landlord’s acceptance of the good faith deposit, the landlord promises not to lease the apartment to anybody else. When the tenancy agreement is signed, this deposit will be deducted from the first rental or security deposit.
Tenancy Agreement: Sign a lease with the owner. This is a legal contract between you and the owner, which sets out the duties and responsibilities of both parties. Standard lease periods are 1-2 years, with or without the option to renew the lease for another year. Check that you have a Diplomatic Clause, which states that the contract can be terminated before the term should your job require you to be relocated elsewhere or should your employment pass get cancelled. Some landlords may not agree to such a clause.
Inventory: Sign an inventory, listing all the items provided by the owner, including their condition.
Advance: Pay rent in advance.
Security Deposit: Put down a deposit or “security bond” equivalent to 1-2 months rent which shall be returned when you leave unless there are outstanding rental charges or other costs (such as property damage).
Utilities and services: Open an account for water, electricity, gas, residential phoneline and get a broadband internet connection.
Rent Payment: After moving in, be careful to always pay your rent on time. Unlike in many other countries, Singapore is considered a landlord friendly place. A landowner can repossess the property, seize and sell the goods inside immediately after they obtain a writ of distress from the courts.
Searching for Housing
Finding and renting accommodations in Singapore is fairly straightforward and convenient, especially if you utilize the services of a experienced real estate agent. The commission charged by property agents in Singapore is very reasonable and worth every penny. As a normal practice, Real Estate agents in Singapore charge a standard comission: 1/2 month's rent for a one-year contract and a full month’s rent for a two-year contract. Generally, if the rent is over SGD 2500, you don’t need to pay the commission; your agent’s commission will be paid by the landlord, split with the landlord’s agent.

Other Related Topics

Singapore Branch | Singapore Subsidiary | Singapore Representative Office



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