Buying a home in Singapore doesn’t end at the listed price. In fact, that number is just the entry ticket. Beyond the valuation or agreed purchase price, there are upfront paperwork fees, professional charges, and recurring ownership costs that quietly pile up.
Miss a few of them, and you could be scrambling for cash right after collecting your keys, which is not exactly the ideal dream start to your homeowning journey.
That’s why we’ve put together this guide. Grab a pen, or open your Notes app, go through each section, and tick off what you’ve already budgeted for and what you haven’t.
Upfront paperwork & transaction fees
Image credit: Romain Dancre
These are paid before or shortly after you secure the unit, and they’re usually the first surprise for first-time buyers.
Option fee & exercise fee
This is the money you put down to “chope” the unit.
The option fee is paid upfront to reserve the property, which is used to signify that you are serious about buying the property. This fee is typically paid in cash, and usually works out to about 1% for private homes, and up to $1,000 for HDB resale flats.
The exercise fee is part 2 of signalling your intent and is usually paid after the initial Option Fee, adding up to the total deposit━usually 4% for private, and up to $4,000 for HDB━to formalise the purchase and make the Option to Purchase (OTP) legally binding.
These fees ultimately count towards the downpayment, and note that if the buyer backs out, they risk forfeiting the entire sum.
Application fees
These are smaller fees paid when submitting applications or paperwork. In the grand scheme of things, they’re not exactly huge: around $10 for BTOs, $40 for 1- and 2-room resale flats, and $80 for 3-room and larger apartments.
Buyer’s Stamp Duty (BSD)
Image credit: IRAS
This one catches many buyers off guard. Buyer’s Stamp Duty is calculated on a tiered system, meaning different portions of your property price are taxed at different rates, instead of one flat percentage across the whole amount.
So for example, if you are buying a $600,000 flat, here’s how the BSD breaks down:
- 1% on first $180,000 = $1,800
- 2% on next $180,000 = $3,600
- 3% on remaining $240,000 = $7,200
- Total BSD payable: $12,600
And yes, this amount is payable via CPF or cash, due shortly after you exercise the Option to Purchase. It’s not something you can “sort out later”.
In short: it’s unavoidable, and it’s not a small figure.
Additional stamp considerations
In some cases, buyers may also need to pay Additional Buyer’s Stamp Duty (ABSD) on top of Buyer’s Stamp Duty. ABSD is calculated based on who the buyer is and how many residential properties they already own, including properties held overseas. This is often the cost that catches buyers most off guard.
For Singapore citizens, ABSD does not apply to the first home, but it increases sharply after that:
- 1 property: 0%
- 2 properties: 20% of new home value
- 3 or more properties: 30% of new home(s) value
For example, a Singapore citizen buying a second property at $600,000 would pay $120,000 in ABSD, on top of the usual BSD.
For Permanent Residents, ABSD applies earlier and at higher rates:
- 1 property: 5%
- 2 properties: 30%
- 3 or more properties: 35%
Foreign buyers face a flat 60% ABSD on any residential property purchase, while properties bought under entities or trusts attract even higher rates—65%.
ABSD can also apply in situations that buyers don’t immediately expect. Owning another property overseas still counts towards the tally. Buying under both spouses’ names may trigger ABSD if one spouse already owns a property, so some try to decouple their assets. While this isn’t illegal, tax evasion certainly is.
Because ABSD must be paid early, in cash or CPF, and cannot be financed, it is often the single biggest extra cost in a property purchase. Factoring it into your budget early can save you from a very expensive surprise later.
Legal, valuation & bank-related costs
Legal & conveyancing fees
Image credit: Darren Soh
You need professional services to legally complete your purchase, and these are not mere paperwork. They ensure the property is properly transferred into your name, so you definitely can’t DIY your way out of these.
Conveyancing fees cover the legal costs of transferring property ownership and vary depending on property type and complexity. For private homes, fees typically range from $1,500 to $3,500, while HDB fees follow structured flat rates. It varies wildly, so the best way to check the fees you’ll have to pay is using the HDB calculator.
These costs usually include legal work such as drafting contracts and registering the property, along with conducting property searches, and handling funds. Note that additional charges like stamp duties mentioned earlier, registration fees, and caveats are billed separately.
These fees are generally paid upfront or at completion, and are separate from your mortgage, so it’s important to clarify the total cost with your lawyer before signing anything.
Valuation fees for bank financing
If you’re taking a bank loan, the bank will ask for a property valuation. It’s a professional check to confirm how much the home is really worth, which determines how much the bank can loan to you for your purchase.
For most homes in Singapore, valuation fees usually start from around $200, and can cost in excess of $600, depending on the size and type of the property that’s being evaluated.
The valuation fee is usually paid by the buyer, but many banks subsidise or cover this cost, especially for refinancing or larger loans. Some banks refund the fee in cash, while others simply waive it altogether, so it’s worth asking before you commit.
While it’s a relatively small cost, the valuation affects how much you can borrow. The bank looks at things like recent sale prices in the area and market conditions, which is why this step and the fee are unavoidable.
Mortgage-related admin charges
Beyond interest rates and monthly repayments, banks also charge a handful of administrative fees when you take up a home loan. These cover the behind-the-scenes work involved in setting up, processing, and managing your mortgage.
Common charges include loan processing fees, documentation fees, and administrative handling costs. Individually, these amounts are usually not huge, often ranging in the 3-digit figures, but they have to be paid upfront and can feel overwhelming when stacked on top of legal fees, stamp duties, and everything else.
The key takeaway? Always ask your bank for a full breakdown of fees, rather than just the headline rate.
Relocation & setup costs
You’ve bought the home; now comes the reality of moving. While these costs don’t show up on the purchase agreement, they will hit you quickly once the keys have been handed over.
Professional moving services
Image credit: Weload
Unless you’re roping in friends with bubble wrap and the promise of pizza, professional movers are often the more realistic option, especially for larger homes or full-house moves. Costs vary depending on how much you’re moving, the distance between locations, and whether extra work is involved, such as climbing stairs, dismantling furniture, or handling bulky items.
It’s worth getting a few quotes to have a good sense of how much you should be paying for the move, rather than assuming it’ll be a small expense that you can settle at the last minute.
Temporary storage or disposal fees
Not every move is perfectly timed. Renovation delays, staggered move-in dates, or inherited furniture can mean you’ll need temporary storage. Storage fees are usually charged monthly, and can add up if renovation timelines shift.
On the flip side, clearing out old furniture or unwanted items comes with disposal charges, especially for bulky items. Another method is to look to the Town Council for help in removing bulky items. Either way, whether you’re storing or throwing things out, you can expect that there will be costs involved.
Utility reconnection & setup charges
Setting up your new home also means reconnecting essentials like electricity, water, gas, and the internet. While these charges aren’t huge on their own, they tend to arrive all at once, right when you’re already spending on moving and furnishings.
They’re not glamorous expenses, but you’ll notice very quickly if you forget to budget for them━especially when you’ve moved in and there’s no Wi-Fi or hot water.
Ongoing ownership & recurring costs
Image credit: Yuhua Family
These are the costs that don’t end once you move in. They show up month after month, year after year, and directly affect your long-term cash flow.
Home & fire insurance
Most banks require home and fire insurance as part of your mortgage, but even if it isn’t mandatory, it’s something you’ll want. Premiums vary depending on your coverage and property type, and while the cost isn’t huge, it’s recurring. This is one of those “hope you never need it” expenses, but you’ll be glad it’s there if something goes wrong.
Property tax
Image credit: IRAS
Property tax is paid yearly and calculated based on the annual value of your home, not its purchase price. Owner-occupied homes enjoy lower tax rates, but it’s still a recurring cost that needs to be planned for. The amount varies by property type and usage, so it’s worth checking the estimated tax before committing.
Condo maintenance fees & sinking fund
If you’re moving into a condo, monthly maintenance fees are unavoidable. These cover shared facilities, estate upkeep, security, and management costs. Part of this also goes into the sinking fund, which is used for major repairs and long-term upgrades.
Town Council charges (S&CC) for HDB owners
For HDB owners, Service & Conservancy Charges (S&CC) cover the maintenance of common areas, cleaning, and estate services like grass cutting and greenery upkeep. The fees are generally modest but differ according to the constituency you live in.
A 3-room flat in Ang Mo Kio will be charged around $53.20, in comparison to a 3-room flat in Boon Lay which will be charged around $51.60, so check your own Town Council websites to find out how much you have to pay.
What foreign buyers need to budget for
Image credit: Urban Home Design
If you’re a non-Singaporean buyer, budgeting for a home here requires extra care and financial buffer. Beyond the usual purchase price and Buyer’s Stamp Duty, foreign buyers face stricter rules, higher taxes, and additional professional costs that can significantly increase the total amount payable.
Property type restrictions
Foreigners are generally allowed to purchase:
- Private condominiums
- Apartments
- Strata-landed homes such as cluster houses
Most other residential property types such as landed homes that are not strata-titled like bungalows require special approval, and approval is not automatic or guaranteed. This means some properties may look attractive at first glance, but may not be legally available to foreign buyers without going through an appeal process.
Higher upfront duties & regulatory costs
Foreign buyers are subject to significantly higher stamp duties as mentioned earlier, most notably Additional Buyer’s Stamp Duty (ABSD). At the time of writing, foreigners have to pay 60% ABSD on any residential property purchase, on top of the standard Buyer’s Stamp Duty.
Because ABSD must be paid early on in the transaction and cannot be financed with a loan, this alone can add hundreds of thousands of dollars to the upfront cost. It’s a figure that should be calculated before committing to a property, not after emotionally settling on a unit.
Additional professional & compliance costs
Foreign buyers typically face more administrative requirements, which means more professional services are involved. With the rise of scams and money laundering in the region, this can include additional checks, compliance reviews, and documentation work, all of which add to legal and professional fees.
While these costs vary depending on the property and buyer profile, the key takeaway is simple: more checks mean higher overall costs.
Budgeting in the extra costs for your home
A realistic home-buying budget doesn’t end at the valuation or purchase price. From stamp duties and legal fees to movers, insurance, and monthly charges, these extra costs are part of owning a home, not optional add-ons.
Factoring them in early helps prevent cash flow stress, reduces unpleasant surprises, and makes the transition into homeownership far smoother.
For more informative guides like these, check out some of our articles:
- Using CPF to repay your HDB loan: 8 facts to know
- How much income you need to afford a condo in 2026
- HDB loan vs bank loan: All you need to know
Cover image adapted from: Romain Dancre, Darren Soh
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