What’s Changed: SSD Rates and Holding Period (Effective 4 Jul 2025)
The government has gone back to the Seller Stamp Duty (SSD) rules from before 2017. They have also raised the rates to reduce property flipping. They have extended the holding period for residential properties from 3 years to 4 years. This applies to properties bought on or after this date.
| 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 up to 2 years | 8% | 12% |
| More than 2 years up to 3 years | 4% | 8% |
| More than 3 years up to 4 years | 0% | 4% |
| More than 4 years | 0% | 0% |
Seller Stamp Duty no longer applies beyond a property holding period of 4 years.
Transition Window: Which Rules Apply to You?
- If you granted, exercised, or accepted your Option to Purchase (OTP) before July 4, 2025, the old SSD rules still apply. This means a 3-year holding period and a maximum of 12% SSD.
- If you exercise or accept your OTP on or after 4 July 2025, the new 4-year SSD schedule rates apply, regardless of OTP date.
Who Is Most Affected?
The updated seller stamp duty regime targets short-term property flips. Investors or speculators who plan to sell in 1 to 3 years will now face higher costs. However, long-term holders (4 years or more) and HDB flat sellers generally remain unaffected.
💡 Illustrative Examples
Case 1: Flip within 1 year
- Purchase price: S$1,800,000
- Old SSD (≤1 year): 12% = S$216,000
NEW RATE
- New SSD: 16% = S$288,000
➡ Additional S$72,000 liability
Case 2: Sale at 2‑year mark
- SSD jumps from 8% to 12%, adding ~4% of the sale price as extra cost.
Case 3: Held for >4 years
- SSD remains at 0% — longer-term owners incur no SSD payable under either regime.
Why the Government Made the Changes
- A sharp rise in speculative and sub-sale transactions prompted the cooling measure.
- The move aims to discourage speculative behaviours and support market stability.
- Longer seller stamp duty (SSD) holding periods reduce short-turnover supply in resale segments
Practical Considerations: What Sellers & Buyers Should Know
- Use the “exercise date” of the OTP or Sale & Purchase Agreement to determine applicable SSD rate.
- For those planning short-term property flips, consider factoring in the additional SSD cost when assessing profitability.
- Make sure to pay the SSD within 14 days of the sale contract. Plan carefully and pay on time to avoid penalties.
Final Summary
- SSD holding period extended to 4 years from 4 July 2025.
- SSD rates increased by 4% at each tier, with a top rate of 16% for sales under 1 year.
- Long-term owners (>=4 years) remain exempt.
- Policies designed to dampen short-term flips, especially in private resale markets.
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