Singapore Increases Property Stamp Duties to Cool Property Market

SINGAPORE - SINGAPORE. Singapore's government announced late on Wednesday it will raise stamp duties to cool the property market.

The revised rates, which apply to citizens, permanent residents and foreigners, will take effect from Thursday, the Ministry of National Development (MND) said in a statement.

For foreigners purchasing any residential property, the Additional Buyer’s Stamp Duty (ABSD) rate will be raised to 60% from 30%.

For Singapore citizens and permanent residents, the ABSD will be raised on the purchase of their second and subsequent properties.

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The past two rounds of cooling measures had a "moderating effect", but property prices showed “renewed signs of acceleration amid resilient demand” in the first quarter of this year, MND said in the statement.

"If left unchecked, prices could run ahead of economic fundamentals, with the risk of a sustained increase in prices relative to incomes," said MND.