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Hi, my question is on ABSD. Understand that ABSD remission may be applicable to a married couple who purchases a second residential property jointly, if the remission conditions are met. However, what if the 2nd property is not jointly owned (only owned by either husband or wife)? Is the ABSD remission still applicable? If not, any suggestion? Thanks.
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6 Answers

Hi,

Yes you have to purchase the 2nd property jointly, and dispose your 1st matrimonial property to qualify. The rationale is to discourage investment speculation, not to penalize genuine upgraders.

If your objectives are to own 2 and rent 1 out, you may wish to consider decoupling for the 1st property if the finances are comfortable. Or perhaps explore a sale and re-organizing of the portfolio.

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Ivan Ng ERA ASAP
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Joanne Chia 谢诗琳
Good day .

I am Assuming you have bought your 2nd property therefore already paid the ABSD .

In this scenerio , you can try to write in to IRAS appeal for ABSD remission , if you are prepared to sell your 1st property AND more importantly , subjected to IRAS agreeable to pay you back the ABSD you paid earlier .

Kindly contact me for a no obligations chat for your property needs .

My charges are 1% commission for exclusive selling rights ( sole agent ) to your property or 2% for open listing ( many agents ) .

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Dear sir/madam,

In your described scenario, purchasing under single name (either wife or husband) does not qualify you for ABSD remission.

In such scenarios, we will usually advise the client to secure the sale of their property first before looking into the purchase, or work out on certain details from your perspective seller to move on.

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Dear Sir/Mdm,

ABSD remission is not applicable if it is not purchased by a married couple. Do note that you will need to pay the ABSD first and subsequently will be able to obtain a refund if you satisfy the conditions.

For most of my clients, I would usually suggest to them to secure a confirm buyer first before exercising their option to purchase. This is because by purchasing first you are putting yourself to the mercy of the 6 months window to sell and the market conditions then. This is pretty risky especially if the market is on a down trend then.

Please feel free to contact me so that I can understand your objectives and concerns better and provide you with further assistance!

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Nick Tan
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YT Tan (陈永达)
Good morning,

There might be two or even three solutions that I have thought out for you but due to limited information, I am not sure whether are they viable to your situation.

1) Assuming you wish to hold on existing property and purchase another property.

You might want to consider selling it first embarking to buying another one or even two properties. No ABSD.

2) Assuming you wish to buy first before selling existing property

Secure a buyer first and wait to commit to purchase after he/ she exercises the option to purchase. No ABSD.

Thirdly, you can buy first then sell existing property but tax savings is slightly lower comparable to first two solutions i provided. It's viable tho.

We can discuss over your situation over a cup of coffee if you are available these few days.

My team and I have assisted numerous clients in growing and enhancing their property portofolio without being subjected to cooling measures restrictions and amounted to huge tax savings.

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Robbie Chen Chee Howe
Hi,

ABSD remission is only applicable if you had purchase the property jointly as a matrimonial home.

If you're looking to save on ABSD, there are some methods that I can share with you.

I will need to understand further on your situation before I can give my best possible advice.

Should you need any further assistance in matters relating to property, please contact me at my mobile 9748 6305  . I will be happy to assess and share with you the possibilities for you and your partner in the current market.

Thank you.

Best regards,
Robbie Chen
 9748 6305 
PropNex Realty Read More
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