Answer
First-Time Property Buyer Checklist — Singapore
Buying your first property in Singapore is the biggest financial decision you’ll make. There’s a lot to get right — and the order matters. Here’s the full checklist.
Answer: First-time buyers need to prepare 6 things before making an offer: (1) check eligibility, (2) know your budget (TDSR at 4% stress test), (3) confirm CPF OA balance, (4) get IPA from 2–3 banks, (5) calculate stamp duty, and (6) set aside cash for legal fees + moving costs. SC first-time buyers pay 0% ABSD. Budget 3–6 months for the full process.
Step 1: Check Your Eligibility
What you can buy depends on your citizenship, age, and family status:
| Profile | Can Buy | Min Age |
|---|---|---|
| SC couple / family | BTO, resale HDB, EC, condo, landed | 21 |
| SC single | 2-room BTO (Flexi), resale HDB, condo | 35 (HDB) / 21 (condo) |
| PR couple | Resale HDB, condo | 21 |
| PR single | Condo only | 21 |
| Foreigner | Condo only (no landed without SLA) | 21 |
HDB BTO requires income ceiling of $14,000/mo (couples) or $7,000/mo (singles). No income ceiling for resale HDB purchase (but grants have ceilings).
Step 2: Know Your Budget
Your maximum property price depends on your income, existing debts, and age. Banks use the TDSR 55% rule at a 4% stress test rate.
| Gross Monthly Income | Max Loan (no debt) | Max Property (75% LTV) |
|---|---|---|
| $6,000 | $693,000 | $924,000 |
| $8,000 | $924,000 | $1,232,000 |
| $10,000 | $1,155,000 | $1,540,000 |
| $12,000 | $1,386,000 | $1,848,000 |
| $15,000 | $1,733,000 | $2,310,000 |
Based on 30-year tenure, 4% stress test, 55% TDSR, no existing debts. Every $1,000/mo in existing debt reduces your max loan by ~$160,000. Couples can combine incomes.
Step 3: Check Your CPF OA Balance
Log in to cpf.gov.sg and check your Ordinary Account (OA) balance. CPF OA can be used for:
- Down payment: Up to 20% of the purchase price (for 75% LTV bank loan) or 10% (for HDB loan at 90% LTV).
- Stamp duty: BSD can be paid from CPF OA. ABSD must be in cash.
- Monthly mortgage: CPF OA can cover monthly instalments.
- Legal fees: If your lawyer is on the CPF Board panel.
Important: All CPF used for property must be refunded when you sell — principal plus 2.5% p.a. accrued interest. This eats into your cash proceeds.
Step 4: Get In-Principle Approval (IPA)
Apply to 2–3 banks for an IPA before you start viewing properties. An IPA tells you:
- Your maximum loan amount
- The interest rate you qualify for
- Whether you have any credit issues
IPA is free, takes 1–3 working days, and is valid for ~30 days. For HDB, apply for an HFE (HDB Flat Eligibility) letter instead — it confirms loan, grant, and eligibility in one document.
Step 5: Calculate Stamp Duty
First-time SC buyers pay only BSD (0% ABSD). PRs pay 5% ABSD on top. Here’s what to expect:
| Purchase Price | BSD | ABSD (SC 1st) | ABSD (PR 1st) |
|---|---|---|---|
| $500,000 | $9,600 | $0 | $25,000 |
| $800,000 | $18,600 | $0 | $40,000 |
| $1,000,000 | $24,600 | $0 | $50,000 |
| $1,500,000 | $44,600 | $0 | $75,000 |
BSD must be paid within 14 days of signing the Sale & Purchase Agreement. Can be paid from CPF OA. ABSD must be in cash.
Step 6: Budget for Other Costs
| Cost | HDB | Condo |
|---|---|---|
| Legal / conveyancing | $1,800–$2,500 | $4,000–$5,500 |
| Valuation | Free (HDB) | $300–$500 |
| Fire insurance | ~$5/yr | Via MCST |
| Home contents insurance | $100–$300/yr | $200–$500/yr |
| Renovation | $30,000–$65,000 | $30,000–$80,000 |
| Mortgage insurance (HPP) | Required (CPF) | Optional |
HDB Home Protection Plan (HPP) is mandatory for HDB loans, paid via CPF. Bank loans don’t require HPP but you should consider mortgage insurance.
Total Cash Needed — First-Time SC Buyer
| Scenario | Cash Down | BSD | Legal | Total Cash |
|---|---|---|---|---|
| $500,000 HDB (HDB loan) | $0* | $0* | $2,000 | $2,000 |
| $800,000 HDB (bank loan) | $40,000 | $18,600 | $2,500 | $61,100 |
| $1,000,000 condo | $50,000 | $24,600 | $4,000 | $78,600 |
| $1,500,000 condo | $75,000 | $44,600 | $4,500 | $124,100 |
*HDB loan: 10% down and BSD payable from CPF OA. Minimum cash is legal fees only. Bank loan: 5% cash down mandatory. BSD can be CPF. Add renovation costs ($30,000–$80,000) to plan your full budget.
Ready to run your numbers?
Plug in your income, CPF, and target price to see exactly what you can afford.
FAQ
How much cash do I need as a first-time buyer?
For an HDB with HDB loan: as little as $3,000 (legal fees only, since 10% down and BSD can come from CPF). For a condo with bank loan: 5% cash down payment + BSD + legal fees. On a $1M condo, that is about $78,000 minimum cash. On a $1.5M condo, about $122,000.
Do first-time buyers pay ABSD?
Singapore Citizens pay 0% ABSD on their first residential property. Permanent Residents pay 5%. Foreigners pay 60%. ABSD only becomes significant for SC buyers on a second property (20%).
Related
- Down Payment for First Condo — 25% breakdown
- How to Pass TDSR — 55% debt cap explained
- What Is an OTP? — the first legal step
- In-Principle Approval (IPA)
- Using CPF to Buy Property
Last updated Feb 2026. Rates and rules per IRAS, MAS, HDB, and CPF Board. This is informational, not financial or legal advice.