Over the past few years there has been a growing interest in buying up residential properties in Singapore as an investment. Sometimes families and self-employed people find the quality of life and cost of living desirable, and other times it is the ease at which foreign nationals can own most types of property there that is appealing. There are some areas of the world that frown upon foreign nationals owning real estate, but Singapore isn’t one of them. In fact, other than a few exceptions, Singapore welcomes foreign nationals with open arms. Are you thinking about buying a residential property in Singapore? Here is some of what you may want to know before signing a purchase agreement and applying for a mortgage loan.
Two Types of Residential Properties to Avoid
Before going into some of the attractions and benefits of owning property in Singapore, let’s look at two of the main types of residential properties foreign nationals find it difficult to own. The first is what is called a landed residential property, and these would be single family dwellings on a plot of land. While these can be owned by foreign nationals, government approval is required and the stipulations for meeting that approval are a bit strict. In order for government to approve your application to own a landed residential property you would need to show what is called an adequate financial contribution to Singapore. The application is sent to the Singapore Land Authority.
Then there are HDB flats which only Singaporean citizens can own because they were built and funded so as to provide affordable housing to Singaporeans. Financial aid is sometimes available to families in need through the Central Provident Fund. These HDB flats can usually be sold to other Singapore nationals but even then, there are strict conditions which must be met.
Highly Sought-After Apartments and Condos
Most condos and apartments can be purchased by foreign nationals and because there is little red tape involved, it is easy to find the best mortgage rates Singapore has to offer if you have income and resources to prove creditworthiness. While you can click on the link to learn more about mortgages and rates available, it is important to know that Property Guru is more than a mortgage rate comparison site. They have put together teams of experts who offer a personal touch to find the best mortgage lenders and lending options for each individual applicant.
Why American Nationals Are Seeking Residence in Singapore
In recent years there has been a growing number of middle-class Americans showing interest in relocating to Singapore. Many of these potential residents are drawn to the Republic of Singapore, this amazing island city-state in Southeast Asia for much of which they have found lacking in American culture. While our schools have rapidly declining systems of education, Singapore’s students excel in academics. Real estate investors love that there is no tax on capital gains and that properties here can generate a lucrative passive income. There are few restrictions on making improvements and the economy is one of the soundest in the area, and indeed, in the entire world. Where many countries suffered extreme financial losses due to a raging pandemic, Singapore stayed relatively unscathed.
A Haven for Self-Employed Professionals
Since properties can just as easily be sold as they were purchased, this is one reason why so many self-employed professionals relocate here. There is a quality of life so lacking in many areas of the world but there is also an active night life in Singapore. While many entrepreneurs begin by working from home, they soon find that commercial properties are even easier to buy in Singapore than residential properties and if you are looking to buy with the intention of renting your properties out, this would be a lucrative market to invest in.
Yes, the city is huge with a population of 5.686 million people as of 2020 and there is activity day and night so quiet enjoyment may be a bit different. Still, organized crime is not at the same levels as it is elsewhere around the globe and Singapore police make it their sworn duty to protect all residents equally. Whether you are looking for a property to inhabit for a short time as a brief hiatus in life before moving on to the next stage or you are simply looking for a place to live and retire with a better than average quality of life, then Singapore is calling to you. Mortgages are easy to procure and can easily be transferred due to few restrictions, so flipping your home at some later date should not be an issue either. If you are looking for a place to relocate with a beautiful climate, and some of the most welcoming people on earth, you have certainly found it in Singapore.