Hi Naren,
1) Since she is holding an E-Pass, meaning she is classified as a foreigner in Singapore.
2) Any property bought in Singapore is subject to Buyer Stamp Duty (~3% for the property at S$1M or below, ~4% for property over S$1M).
3) As a foreigner, she is subject to Additional Buyer Stamp Duty (ABSD), 20% of property purchase.
4) She is only allowed to buy private residential property.
5) In Singapore, due to the current MAS (Monetary Authority of Singapore) policy, anyone who is taking a mortgage loan from a private finance institute is 75% Loan-To-Value, in other words, a maximum 75% mortgage loan.
6) Thus she will have to prepare 25% cash as downpayment and apply for a 75% loan.
7) If the property she is buying over-valued by the seller, she will have to pay the cash-over-valuation. Thus it is important to get the valuation before offering for an OTP.
Procedures:
1) Apply for IPA from the bank to check how much she could loan based on her age and monthly salary. Bonus will be taking into consideration by the bank to increase the loan limit.
2) 1% to offer for an Option-To-Purchase (OTP), 4% to exercise the OTP (within 14 days). It will take around 8~12 weeks to complete. By then she will have to pay the rest of 95%.
3) S&P (Sales and Purchase agreement) shall be prepared by a lawyer, and sign upon ready.
4) Stamp Duty has to pay within 1 week after signing S&P.
Hope the above answer to your main concerns, but if there are more query, please feel free to contact me at
90110636
, or email: ling.ck7@gmail.com if more information is needed.
I'll be glad to assist.
Best regards
Ling CK
90110636
ling.ck7@gmail.com
https://R056727F.propnex.net/
https://www.facebook.com/Homesellerbuyer
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