Key Takeaways
- SC first-time buyers pay 0% IRAS ABSD ratesABSD — the most favourable rate
- Budget 25% cash/CPF for down payment (max 75% LTV)
- OTP gives you 21 days (new launch: 3 weeks) to decide
- Entire process from viewing to keys typically takes 3-6 months
Key Rule
Your First Condo Purchase: What to Expect
Buying your first condominium in Singapore is exciting — but the process involves multiple steps, large sums of money, and decisions that affect your finances for decades. This checklist walks you through every stage from initial financial preparation to collecting your keys, so nothing falls through the cracks.
Phase 1: Financial Preparation (4-8 Weeks Before Viewing)
Budget Your Total Costs
Checklist
- Check your CPF OA balance at cpf.gov.sg
- Calculate your TDSR — total monthly debt payments must stay under 55% of gross income
- Get an In-Principle Approval (IPA) from at least 2 banks — this tells you the maximum loan amount
- Prepare cash reserves: minimum 5% of price in cash + ABSD if applicable + legal fees + 6 months emergency buffer
- Review your credit report at Credit Bureau Singapore (CBS) — banks check this during loan approval
- Decide on your buyer profile: are you SC (0% ABSD), PR (5% ABSD), or foreigner (60% ABSD)?
Phase 2: Property Search and Viewing (2-8 Weeks)
Checklist
- Define your criteria: location, size (sqft), number of bedrooms, tenure (freehold vs 99-year), new launch vs resale
- Use ShiokNest to compare condos — check PSF trends, transaction history, and district profiles
- Shortlist 5-10 projects. Visit at least 3-5 in person
- For resale: check the age of the condo, remaining lease, and condition of common facilities
- For new launch: visit the showflat, review the floor plan, check the expected TOP date
- Ask about the monthly management fee (typically $250-$600/month for condos)
- Check proximity to MRT, schools, supermarkets, and your workplace
Phase 3: Making an Offer and OTP (1-3 Weeks)
| Step | Resale Condo | New Launch |
|---|---|---|
| Option Fee | 1% of price (negotiable) | 5% booking fee (fixed) |
| OTP validity | 14 days to exercise | 21 days (3 weeks) |
| Exercise fee | 4% of price (total 5%) | Included in S&P signing (15%) |
| Negotiation | Price is negotiable | Limited — developer sets price |
| S&P signing | After exercising OTP | Within 8 weeks of booking |
Checklist
- Negotiate the price (resale only) — check recent transaction prices on ShiokNest for comparable units
- Pay the option fee by cheque or cashier's order (cash only — CPF cannot be used)
- Use the 14/21 day OTP period to: finalise your bank loan, engage a conveyancing lawyer, and do final due diligence
- Exercise the OTP before the expiry date by paying the exercise fee
Phase 4: Legal and Financing (4-12 Weeks)
Checklist
- Engage a conveyancing lawyer (fees: $2,500-$3,500 typically) — they handle the S&P agreement, title search, and CPF application
- Finalise your bank loan — submit full documents (payslips, CPF statements, tax assessments)
- Pay stamp duties within 14 days of exercising the OTP:
| Duty | SC 1st Property | PR 1st Property | Foreigner |
|---|---|---|---|
| BSD (on $1,500,000) | $44,600 | $44,600 | $44,600 |
| ABSD | $0 | $75,000 | $900,000 |
| Total Duties | $44,600 | $119,600 | $944,600 |
- Apply for CPF withdrawal through your lawyer (allow 2-3 weeks)
- Arrange for a valuation of the property (required by bank, ~$300-$500)
- Arrange fire insurance (required by bank for mortgage approval)
Phase 5: Completion and Collecting Keys (8-12 Weeks After OTP)
Checklist
- Completion date: typically 8-12 weeks after exercising OTP (resale). For new launches, keys are at TOP (2-4 years after booking).
- Your lawyer handles the final transfer of title and disbursement of funds
- Bank disburses the loan to the seller's lawyer
- CPF Board releases your CPF OA funds to the seller's lawyer
- Collect the keys from the seller or developer
- Do a final property inspection — check for defects before signing the handover form
- For new launches: conduct a defects inspection and report issues to the developer within the defect liability period (typically 12 months from TOP)
Phase 6: After Getting Keys
- Register as owner with the MCST (Management Corporation Strata Title) for condo facilities access
- Set up utilities: SP Group (electricity/gas/water)
- Apply for parking if needed (check with MCST for season parking)
- Plan your renovation — check condo renovation guidelines (permitted hours, contractor deposits, etc.)
- Update your address with CPF Board, banks, IRAS, and other institutions
- If renting out: apply to change your property tax status to non-owner-occupied and declare rental income to IRAS
Common First-Timer Mistakes
- Only looking at monthly mortgage: Budget for stamp duties, legal fees, renovation ($50K-$100K), furniture, and ongoing costs (management fees, property tax).
- Skipping the IPA: Without an In-Principle Approval, you risk committing to a purchase you cannot finance. Get the IPA before viewing.
- Not checking transaction history: Use ShiokNest to review past transactions for the same project — know what similar units sold for recently.
- Ignoring the remaining lease: For 99-year leasehold condos, check the remaining lease. Below 60 years can affect financing and CPF usage.
- Rushing the OTP period: Use the full 14/21 days to complete due diligence. Once you exercise the OTP, walking away means forfeiting 5% of the purchase price.
- Forgetting about SSD: If your plans might change within 3 years, factor in SSD (12%/8%/4%) as a potential cost.
Essential Tools for First-Time Buyers
Use ShiokNest's calculators to plan every step:
- Total Acquisition Cost Calculator — Get a complete breakdown of all purchase costs.
- Stamp Duty Calculator — Calculate BSD and ABSD for your buyer profile.
- TDSR / MSR affordability calculator — Know your maximum budget before you start viewing.
- Mortgage Calculator — Compare monthly payments at different rates and tenures.
- Renovation Cost Estimator — Budget for your renovation before committing to the purchase.
This checklist is based on the standard property purchase process in Singapore as of March 2026. Timelines and procedures may vary for new launches, executive condominiums, and specific developer requirements. Consult your conveyancing lawyer for advice tailored to your transaction.
Singapore Property Buying Process Quiz
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Common Mistakes to Avoid
1
Only looking at monthly mortgage payments
Factor in property tax, maintenance fees, insurance, and renovation costs for the true monthly cost.
2
Skipping the financial pre-check
Get an In-Principle Approval (IPA) from a bank before viewing properties to know your budget.
3
Not negotiating the price
Resale condos have room for negotiation. Research recent transactions and make a data-driven offer.
4
Rushing the OTP decision
You have 21 days to exercise the OTP. Use this time to get valuation, IPA, and legal review.
5
Forgetting about defect liability period
New properties have a 12-month defect liability period. Document and report all defects promptly.
Frequently Asked Questions
How much do I need for a condo down payment?
At 75% LTV, you need 25% down payment: minimum 5% in cash, remaining 20% from cash or CPF OA. For a $1M condo, that is $50K cash + $200K cash/CPF.
What is an OTP?
An Option to Purchase is a legal document giving you the exclusive right to buy the property within 21 days (14 days for new launches). It typically requires a 1% option fee.
How long does the buying process take?
From OTP exercise to key collection, the process typically takes 8-12 weeks for completed properties. New launches (BUC) may take 3-4 years until TOP.
Do I need a property agent to buy a condo?
For resale purchases, a buyer agent can help but is optional. For new launches, sales are handled by the developer's appointed agents. Buyer agent commission is typically 1% of purchase price.
What are the hidden costs of buying a condo?
Beyond the purchase price, budget for BSD, legal fees ($2,500-$3,500), valuation fee ($300-$500), mortgage stamp duty, and agent commission. Total additional costs are typically 3-5% for SC first-time buyers.