Does Singapore Allow Foreigners To Own Real Estates?

Foreigners in Singapore realize that it is dreadfully expensive to rent a hotel room when they plan to stay for a considerable length of time in the city-state. The alternate solution to this dilemma is for the foreigners to own residential properties in Singapore.

In Singapore, expats are not restricted by government agencies from buying their own residential properties.

Essentially, the Residential Property Act of Singapore empowers Singapore citizens to acquire residential properties in the country at reasonable prices. Moreover, the Act permits foreigners who are recognized by the government officials to be capable of of contributing to the economic success of the city-state to acquire residential properties in Singapore.

Non-restricted residential properties can be purchased by foreign nationals even with no prior approval from the Singapore government. The following are specific samples of non-restricted residential properties:

- apartment flats within a structure that is not over six floors in height – condominium units in authorized condominium development properties included in the Planning Act – a lease term on a restricted property; the agreement must not go beyond seven years

Foreigners who desire to acquire all units in an apartment or condo in an accredited development site have to have prior approval from Singapore’s Minister for Law.

In the same vein, an expatriate without any prior approval from Singapore’s Minister of Law cannot acquire residential properties that are classified as restricted.

Under the Residential Property Act of Singapore, the following are classified as restricted residential properties:

- a vacant residential land – townhouses, separate or semi-linked homes, or terraced houses standing on residential lands – properties not approved for condo development under the Planning Act

If an expatriate intends to own a restricted residential property, the foreigner is obliged to fill out an approval form and submit this, together with supporting documents, to the Singapore Land Authority. This branch of the government is in charge of receiving the requests of the expatriate regarding the acquisition of a restricted residential property. The agency will assess and approve or disapprove the application, depending on the virtues of the expatriate’s qualifications.

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