Singapore: additional buyer’s stamp duty and a slowing Chinese economy sees drop in Chinese nationals buying homes in the city state.
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Fewer Chinese nationals buying homes in Singapore
By Paul Lim
Source – AsiaOne, published August 6, 2012
The number of Chinese nationals buying homes in Singapore has fallen.
The Straits Times reported Monday that hefty new stamp duty and a slowing Chinese economy are deterring them from buying property here.
Caveats lodged with the Urban Redevelopment Authority said the Chinese fell to second place behind the Indonesians, buying 259 homes in the first six months compared to 372 homes bought by the latter.
Demand for homes here by foreigners have been dampened by the additional buyer’s stamp duty – overseas buyers accounted for just seven per cent of the deals in the first half of the year, compared to 20 per cent in the same period last year.
According to the English daily, Chinese buyers bought 799 homes last year while Indonesians bought 614 units.
These figures refer to landed and non-landed sales, including new and resale homes. Executive condominiums are excluded.
Landed sales mean homes sold at Sentosa Cove. Foreigners are not allowed to buy landed property elsewhere.
Industry experts said Chinese buyers may now turn to the non-residential sector to avoid paying the 10 per cent additional buyer’s stamp duty.