Singapore Tightens Rules for Investors Buying Properties Below Market Price

Singapore’s National Development Minister, Chee Hong Tat, is tightening regulations for investors buying properties in the country at below-market prices. This is intended to reduce property price speculation and prevent quick buy-and-sell practices (flipping) that drive up building prices. Chee views this tightening of rules as a form of protection for Singaporean citizens, helping them to own their first home without it being snapped up by investors buying below market price. Previously, the Singapore government had a programme called EC (Executive Condominium), which has existed for three decades, and its developers are selected through tenders with private parties. The EC aims to provide affordable, liveable housing for high-income Singaporean citizens. If left unchecked, the government and Singapore’s parliament are concerned that, with increasingly limited land, citizens who do not yet own their first home will struggle to obtain housing. Currently, EC owners are prohibited from selling their properties for 10-15 years ahead in accordance with the Minimum Occupation Period (MOP). Even though many Singaporean citizens also live in subsidised housing provided by the government. The quota of new units allocated for first-time home buyers has been increased to 90 per cent, so those who already own their first home cannot freely buy new properties. “The government is also reviewing the monthly income limit of 11,000 US dollars (approximately Rp 191 million) for build-to-order units, which refer to new public housing units, to ensure that these units remain affordable and accessible to the majority of Singaporean households,” Chee explained. However, it should be noted that these provisions only apply to the EC programme because its projects are built on state land. “In 2021 to 2025, among the ECs traded in the open market, around 75 per cent were sold within five years after their MOP, up from 45 per cent in the previous five-year period,” Chee stated, quoted from Business Times, Just (8/5/2026). Currently, there are still two EC areas targeted by private investors located in Canberra Drive and Sembawang Drive. The government will safeguard these two areas and ensure 70 per cent allocation of properties for citizens categorised as first-time home buyers.