Commentary on the Extension of the Holding Period of Seller's Stamp Duty (SSD) and Higher SSD Rates for Residential Properties

By Tricia Song (宋明蔚), Head of Research, Southeast Asia, CBRE

We believe the increase in SSD of 4ppts and holding period to 4 years could have some but insignificant impact on transaction volumes and pricing. 

Subsale volumes have hovered around 338 units per quarter between Q1 2023 to Q1 2025, compared to 131 units per quarter between Q1 2013 to Q4 2022. Some owners, who probably did not buy their projects with intention to flip, have sold their properties for significant capital gains as prices have risen 40% since 2020. However, we also note subsales as a percentage of total private residential transactions have also steadily declined from a 14-year high of 9.5% in Q4 2023 to 4.4% in Q1 2025. With property prices stabilising and normalisation of construction timelines, we expect the number of subsales to normalise going forward. Nevertheless, we agree this measure is still prudent to curb investors who may be eyeing to replicate the short term flips – these buyers will think twice before committing if they do not have the holding power. This measure should not impact the majority of buyers who are genuine owner occupiers or long term investors.


Source: CBRE Research, URA, IRAS

The Details

The Government announced near midnight on 3 July the following changes to the Seller’s Stamp Duty (SSD) for residential properties: (a) increase of the holding period from three to four years, and (b) increase of the SSD rates by four percentage points for each tier of the holding period. These changes will take effect for all residential properties purchased on and after 4 July 2025, 12.00am. 

In recent years, the number of private residential property transactions with short holding periods has increased sharply. In particular, there has been a significant increase in the sub-sale of units that have not been completed.  

In view of the sharp rise of subsale transactions and curb speculative buying, the government will revert back to the regime of 4 years holding period with staggered SSD of 16%, 12%, 8%, 4% between Jan 2011 to March 2017.

Table 1: SSD Schedule

Holding Period	Rates from 11 March 2017 to 3 July 2025	Rates on and after 4 July 2025
Up to 1 year	12%	16%
More than 1 year but up to 2 years	8%	12%
More than 2 years but up to 3 years	4%	8%
More than 3 years but up to 4 years	0%	4%
More than 4 years	0%	0% (no change)

Issued By: Ministry of National Development, Ministry of Finance, and Monetary Authority of Singapore

Read the Ministry of National Development's (MND) press release here.
Read about Seller's Stamp Duty (SSD) for residential property here.