The Singapore Government raised ABSD rates and tightened loan-to-value (LTV) limits on residential property purchases with effect from 6 July 2018.
ABSD was first introduced in 2011 to promote a stable and sustainable property market. It is a duty payable by the buyer on the acquisition of residential property (in addition to buyer stamp duty), and is based on the higher of the consideration paid or market value.
The ABSD rate depends on the profile of the buyer. For acquisitions made jointly by two or more parties of different profiles, the applicable rate will be based on the profile with the highest ABSD rate.