Considering renting or buying a house in Singapore, what are the pros and cons of buying a house in Singapore?

Advantages of investing in buying a house in Singapore

The rental return rate is relatively high, and the potential for house prices to increase is unlimited

The latest report shows that the rental return rate of private apartments in Singapore is between 3% and 4%. % is in the middle, much higher than that of Beijing, Shanghai, Guangfo. As a city-state, Singapore's social and economic development is inseparable from outstanding talents from the outside world. The population industry report released by the Singapore government in 2013 estimated that Singapore's population will be approximately 6.9 million by 2030, of which approximately 2.5 million will also be foreigners.

Based on the current population replacement rate, Singapore needs to add more than 15,000 to 25,000 new citizens and more than 30,000 new permanent residents every year to ensure steady population growth. In addition, as an island country, Singapore can only rely on reclamation projects to expand its land resources, but the total demand is very limited. Scarce soil resources and a growing population ensure land values. Under the current situation where the government intends to suppress house prices, there is huge room for growth in the Singapore housing market.

The ecological environment is well protected, and the big cities are relatively highly intelligent

In the new ranking of livable cities in the world released by the consulting and management company Mercer, Singapore retains the title of the most livable in Asia. City. For Singapore, which has always been known for its ecological environment and urban planning and construction, this result is not unexpected. Long-term fresh air, safe water and food, large amounts of vegetation, and complete transportation and public facilities have made this a preferred place for many people to live and work in peace and contentment.

In addition, the high degree of intelligence in Singapore’s urban planning and construction is also another attractive shining point. The services of different social units are connected to the Internet, and concepts such as smart residential communities have made residents' lives more convenient and convenient.

World leader in cultural, educational and medical equipment

According to the latest Juwai Research report, more than two-thirds of Chinese customers who inquired about Singapore real estate in the first half of 2016 stated that they had children. Education is the motivation for their project investment, and his choice is wise. In the ranking of my country's education sector published by the Organization for Global Economic Cooperation in 2015, Singapore ranked first in the world. The combination of Chinese and Western, all-round and traditional teaching methods is exactly the ideal teaching model that many parents hope their children will adopt. Singapore's health services are world-renowned for their high quality.

In recent years, government departments have also vigorously promoted the diagnosis and treatment economy and medical tourism, and have inspired Singapore to become a regional medical center. The most important thing is flexible competitiveness, and the high quality of theoretical and practical diagnosis and treatment proves Singapore's level of development and great attractiveness, and will eventually become a propeller for the sustainable development of the property market.

Project quality assurance, complete supporting facilities

Singapore’s individual development plans need to undergo strict review and supervision. The entire development design, construction and inspection process will take many years, and quality can be achieved Excellent guaranteed. Most apartment projects have complete supporting facilities. Swimming pools, fitness clubs, spas, barbecue areas, event venues, etc. are all standard configurations of apartment buildings, which is rare in some countries. In addition, Singapore's property management is also world-leading. Regardless of new or old housing, comprehensive and intelligent services can allow investors to fully realize their peace of mind and profit.

Low borrowing costs and low additional taxes

According to the latest foreign home buying policy, foreign investors need to pay an 18% contract stamp tax when buying a house in Singapore. For foreign customers, Singapore’s loan policies are relatively loose, with no threshold and low interest rates. The maximum loan amount for the first home is 80%. Disadvantages of investing in buying a house in Singapore

Singapore real estate has a useful life

House ownership in Singapore is not a form of permanent property. Real estate in Singapore is divided into three types: Government HDB flats The ownership of the house only lasts for 99 years, and will return to the government when it expires; after the real estate developer purchases the apartment building on the land, the ownership period is only 99 years or divided into 999 years; there is also a type of land residential property rights of 999 years or forever.

Land prices and scale of operations

Although earnings are stagnant, the only way real estate developers can match your affordable price point and still make money is by keeping the business small. Therefore, house prices are likely to remain stable in the long term, while the price per square meter continues to rise.

Foreigners need to pay huge real estate taxes

Only local Chinese citizens in Singapore can purchase HDB flats, and overseas investors cannot purchase applications. HDB flats in Singapore generally do not have shortcomings and disadvantages , just like China, purchase based on access conditions, qualifications and needs. Equivalent to China's affordable and practical housing, many locals in Singapore live in HDB flats, which are cheaper than apartment buildings. In addition, buying a house in Singapore requires paying a huge real estate tax just like in the United States.

Policies and regulations are dedicated to limiting or realizing needs

Property management services can limit requirements or directly limit them. For example, foreigners are prohibited from purchasing land resources in Singapore. Relevant regulations such as the "Additional Buyer's Contract Stamp Duty" (ABSD) have increased the price barrier for foreigners and Singaporeans purchasing secondary and secondary assets with SPR in Singapore.

The Merchant Stamp Duty (SSD) is used to discourage speculators from short-term purchases of real estate, which also reduces the "requirements" that are inconsistent with the facts. The Total Debt Service Ratio (TDSR) ensures that people who want to buy a property can truly afford it.