Temporary Relief Measures for private residential property sector was just announced by the government yesterday. The relief is for both developers and individuals who are affected by COVID-19 pandemic and the Circuit Breaker from the period from 7th April 2020 to 1st June 2020. These include both the sale of residential housing units and the disruptions in the construction timeline. This relief does not attempt to change the existing cooling measures in the property market as the Government wants to keep the prices for the private residential stable and inline with the current market and economy.
Temporary Relief Measures for Individuals
For Singaporean married couples who bought their second property and have a hard time selling their first property in order to qualify for the ABSD remission, you are in luck.
Under the usual ABSD remission criteria, the couple has to sell their first property within 6 months after purchasing their second residential property in which ABSD must be paid for. The 6 months varies, depending on what type of property the couple bought.
With the relief measures, the sale timeline of the first residential property will be extended for another 6 months for couples who want to apply for remission of the ABSD on the second property. Provided both these conditions are met;
Take note that the ABSD remission application has to be made within six months after selling the first residential property.
Temporary Relief Measures for Developers
Specifically for Private Residential Developments.
PCP. The PCP for qualifying residential development projects on Government sale sites, or on land which was directly alienated or had their lease renewed by the Singapore Land Authority (SLA), will be extended by 6 months. Provided both these conditions are met;
No application required as the respective agencies will notify eligible developers.
Under the usual ABSD criteria, developers are to commence and complete the residential project, and sell all housing units in the residential project within 5 years for licensed developers and 3 years for non-licensed developers. Else will be subject to the ABSD on the purchase of the land. With the relief measures, the specified commencement, completion and sale timelines will be extended by 6 months, for qualifying residential property developments.
For the extension of the specified timeline for commencement of residential project, both these conditions are to be met;
For extension of the specified timeline for completion of residential development and sale of all housing units in a residential development project, both these conditions are to be met;
No application needed, extension will be granted to eligible developers automatically.
Under the Qualifying Certificate criteria, developers subject to the QC rules are to complete construction of all housing units in a residential development project within 5 years from the date of issue of the QC or the collective sale order, and dispose of all housing units within 2 years from the issue of Temporary Occupation Permit or Certificate of Statutory Completion. Under the temporary relief measures, developers applying to extend their existing completion and/or disposal deadline will be granted a waiver of extension charges of up to a total of 6 months. This will also apply to other SLA approvals requiring the completion and sale of all units in the residential development.
For the waiver of extension charges, both these conditions are to be met;
To Apply, eligible developers can write to SLA’s Land Dealings Approval Unit (LDAU) at [email protected] by 1 December 2020.
Specifically for Commercial and Industrial Developments.
PCP. The PCP for qualifying commercial and industrial development projects on Government sale sites, or on land which was directly alienated or had their lease renewed by the Singapore Land Authority (SLA), will be extended by 6 months. Provided both these conditions are met;
No application needed, the respective agencies will notify eligible developers.