Laws regarding real-estate possession and earnings are transparent and fairly standard. Because of escalating costs, however, and a favouring of its own citizens, overseas investment is closely regulated.
General purchasing and selling laws
The principal legal instrument governing the purchase of property is the Residential Property Act RPA. For selling property, the overriding laws are regulated by the Housing Developers Control and Licensing Act HDCLA and Sale of Commercial Properties Act.
Buying and selling legislation for foreign ownership and investment
Applicable legal provisions
Foreign persons are not allowed to buy all residential titles in a building or at an approved condominium building without the approval of the Minister for Law. An application may be preferred if the overseas buyer is a permanent resident or a skilled professional who can promote the welfare of the market.
- They are not permitted to purchase or own limited residential except only by mortgage, charge or re-conveyance.
- They cannot provide property as to a gift to a fellow foreigner.
- Any transactions entered into by foreigners which contravene the Residential Property Act are deemed null and void and of no effect.
- Foreigners may not purchase property in Singapore except on Santos Island.
- Legal restrictions on purchasing and ownership of property
Predictably, concerning property, the laws of Singapore lean towards its citizens that are permitted to freely obtain and own lands and residential property. Organisations and foreigners on the other hand have very limited skill in getting and owning property.
Purchasing and owning restrictions – Singapore companies, societies and partnerships must seek the permission of the Controller of Residential Property with Pasir Ris 8. Foreigners with permanent resident status, foreign companies, limited Partnerships and societies can openly buy non-restricted residential property such as:
- Any apartment for residential purposes but not a dwelling house upon any land
- Any unit in a licensed condominium building
- Any executive unit in a project sold under an executive scheme.
Legal restrictions on selling and developing
The relevant provisions of the HDCLA, is the overriding control on how Land is developed and marketed for lodging purposes.
Developing and selling limitations
A licensed housing developer is the only individual authorized to develop and sell more than 4 units of housing accommodation. The Controller of Home is permitted to formulate the type of contract to be used with additional powers to approve any alterations made to the contract. The sale of commercial buildings, are under the control of the Sale of Commercial Properties Act SCPA and contracts for these sales will also be accepted by the Controller of Housing.