Singapore introduces temporary relief measures for property developers, home-buyers of projects disrupted by Covid-19

  • AseanPlus News
  • Thursday, 07 May 2020

The Government said it expects developers to provide relief and support to their main contractors.PHOTO: ST FILE

SINGAPORE, May 6 (The Straits Times/ANN) - The project completion period (PCP) for eligible residential, commercial and industrial developments will be extended by six months with immediate effect.

That means if the projects were originally required to be completed on Feb 1, they must now complete them by Aug 1.

Married Singaporean couples will have one year instead of six months to sell their first residential property to qualify for remission of additional buyer's stamp duty (ABSD) for their second property.

These are among a slew of temporary relief measures for eligible property developers and individuals affected by disruption to construction timelines and sales of housing units owing to the Covid-19 pandemic, and the implementation of the circuit breaker measures from April 7 to June 1.

But there are no changes to existing property cooling measures.

To qualify for a six-month extension for remission of ABSD paid on the second property, the married couple's second residential property must be jointly purchased on or before June 1 this year; and the original timeline for sale of the first residential property must have expired on or after Feb 1 this year.

Eligible couples can refer to the Inland Revenue Authority of Singapore (Iras) website for more details.

The application for the remission of ABSD must be made in six months after the date of sale of the first residential property.

The Real Estate Developers' Association of Singapore (Redas) said the adjustment is timely and "will help to relieve the concerns of eligible Singaporean married couples who need more time to sell their first property and purchase their second property".

Under the temporary relief measures, eligible developers now have two and a half years to start construction of residential projects.

They will also have five years and six months for the completion and sale of housing units in residential projects in relation to the remission of ABSD.

To qualify for the extension of the start of construction as well as the completion of the project and sale of its units, the land must have been purchased on or before June 1 and the original timeline for starting the construction expired on or after Feb 1.

Eligible developers will get the extension automatically. No application is necessary.

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