Expatriates in Singapore discover that it is very expensive to rent a hotel room when they plan to stay for a considerable amount of time in the city-state. One solution to this expensive predicament is acquiring a residential property in the city-state.
In Singapore, expats are not restricted by government authorities from acquiring their own residential properties.
Basically, the Residential Property Act of Singapore encourages Singapore citizens to buy residential properties in the country at reasonable rates. In addition, this act encourages expatriates who are recognized by the Singapore government to have made significant contributions to the economic prosperity of the city-state in their desire to acquire residential properties within Singapore.
Non-restricted residential properties can be acquired by expatriates even without prior approval from the Singapore government. The following are residential properties that belong to the non-restricted class:
- apartment flats within a structure that is not more than 6 floors in height – condo units in authorized condominium development sites included in the Planning Act – a lease contract on a restricted residential property; the term should not go beyond seven years
Expatriates who want to own all units in an apartment or condominium in an accredited development site have to have prior sanction from Singapore’s Minister for Law.
In the same vein, a foreign national who has no prior approval from Singapore’s Minister of Law cannot own residential properties that are classified as restricted.
The following are considered restricted residential properties by the Residential Property Act of Singapore:
- a vacant residential lot – town houses, separate or semi-detached homes, or terraced houses built on residential lands – lots not authorized for condominium development under the Planning Act
In applying for an official sanction to be able to acquire a restricted residential property, the foreign national must fill out a form and, along with the required supporting papers, send this to the Singapore Land Authority. The Singapore Land Authority is responsible for appraising and issuing approval for the merits of an expatriate whether he or she will be qualified to acquire a restricted residential property.