Rental properties can be found in various locations on the island, equipped conveniently with its own shopping and entertainment hub, education as well as public transport and healthcare facilities.
Private properties, available for rent, vary from conservation shophouses to condominiums and free-standing houses with enclosed garden space and private pools.
Due to the strict rules and regulations, it is not very easy for foreigners to buy property in Singapore. Moreover, some expatriates moved to Singapore for work reasons and do not intend to live in Singapore for the long term. As a result, most expatriates prefer to rent a place instead.
However, there are a few rules and regulations to abide by when renting in Singapore:
- For private properties, the minimum rental period is 3 months
- For public properties, the minimum rental period is 6 months
Typically, the lease period in Singapore is 24 months for long-term tenancy. Any lease period of less than 24 months is subject to exceptional acceptance by the landlord.
The standard lease term is for a period of two years and usually comes with a “diplomatic clause” to exit the lease after twelve months’ lease with another two months’ notice, and an option to renew for a further period of either one or two years. At the time of renewal, the rental will be reviewed in accordance with the prevailing market rate.
Public Properties
If you are only planning to rent a Housing Development Board (HDB) flat or an Executive Condominium (EC) before its 10-year restriction period, there are a few conditions that you need to meet:
- The minimum rental period for the entire unit and or bedrooms is 6 months
- For foreigners who are non-Malaysian, the maximum rental period per approval is 2 years
- For foreigners who are Malaysian Citizens, the maximum rental period per approval is 3 years
- Non-Malaysian, non-citizens renting an HDB flat, will be subjected to the Non-Citizen Quota for Renting Out of Flat. This quota is to help maintain a good ethnic mix in HDB estates, in line with Singapore’s desire to cultivate racial harmony.
- Malaysians, however, are not subject to this quota given their close cultural and historical similarities with Singaporeans
Public Properties – No. of Tenants Allowed:
On the HDB website, they have a Market Rental Rates tool that will show you the rate of HDB flats rented out in the past year, which would be really useful for making a more informed decision on whether you’re overpaying in your rental contract.
Other Non-Landed Properties
Non-landed properties refer to condominiums and apartments. In land-scarce Singapore, these types are by far the most common form of private housing. Private condominiums and apartments, where residents share the common facilities and compounds that are managed professionally, are the preferred choice for most expatriates. These condominiums and apartments come in various sizes, ranging from low-rise blocks to high-rise developments.
Properties are mostly leased either partially or fully furnished, subject to the Tenant’s requirements or the existing state of furnishing in the property.
Popular Expat Housing Districts
Singapore was formerly subdivided into 28 postal districts and these district references are still being used today in the real estate market although the postal service now uses a 6-digit postal code.
- Districts 9, 10 and 11
D9 is the heartbeat of the city where most luxurious high-rise condominiums and the Orchard Road shopping belt are located. Known as the commercial hub of the city-state, Orchard Road offers unrivalled access to major shops, entertainment amenities and some of the most prime housing options in Singapore. Here you will find towering condominium and apartment blocks that offer sky-high luxury living but also have many quiet, leafy pockets.
D10 is a much larger residential enclave and it stretches from River Valley to Bukit Timah Estate. It includes other prime areas such as Tanglin, Nassim and most popular of them all, Holland Village.
As the former home of British Army personnel and their families, Holland Village exudes a subtle European charm with the European-influenced architecture of its quaint shophouses and low-rise buildings. Conveniently situated near the Botanical Gardens and only minutes away from Orchard Road, along with its wide selections of shops, restaurants and housing options, it is not surprising that Holland Village has become one of the most popular areas for expats.
- Districts 1, 2, 3, and 4
D1, 2 and 3 are considered central business districts and city fringe where a wide variety of riverside restaurants, cafes, retail shops, nightlife, heritage and cultural buildings keep abuzz. D4 is south of Singapore including Keppel Bay and Sentosa Island where waterfront housing and boating is a way of life.
Sitting right in the heart of the city centre, Tanjung Pagar (D2) is where many high-income earners choose to live. In fact, it is so close to the main Central Business District (CBD) that you can get there on foot in no time. After undergoing a massive redevelopment to keep up with the high demand, Tanjung Pagar now offers some impressive housing options that come with luxurious amenities.
D3 contains a hodgepodge of modern and historical elements and its most popular expat housing area is Tiong Bahru. Being one of Singapore’s oldest residential areas, Tiong Bahru offers housing options with lower-level, heritage-rich apartments, which might appeal if the idea of a towering condominium block doesn’t suit you.
- Districts 5 and 21
A district where education is the main focus, the Canadian International School and Dulwich College (Singapore) are conveniently located near Upper Bukit Timah in D21. Besides educational institutions, this district is home to Singapore’s rich foliage as it is located at the edge of the Bukit Timah Nature Reserve. There are also a variety of suburban shopping centres and an equestrian club within the area. It offers a good mix of condominiums and landed homes at good value.
D5 sits on the south of D21 and stretches from Clementi down past the Southern Ridges towards D4. It is home to the National University, Science and Technology parks and is conveniently located between the city and the Jurong industrial estate.
- Districts 15 and 16
D15 and 16 stretches along the east coast of Singapore and they also offer a very good mix of housing options with good value in colourful and vibrant estates. This popular area, away from the hustle and bustle of the city centre, offers a selection of apartments with excellent beach- or riverfront views, as well as a variety of shops and restaurant options.
From the green oasis of East Coast Park where you can cycle, rollerblade, canoe and windsurf to your heart’s content, to the excellent facilities at the Laguna Golf Course and East Coast Tennis Centre, there certainly isn’t a lack of fun things to do in this area.
As such, this area is popular with expat families looking for a quieter living experience with lots of open space to wind down. It’s a little further out, which means that you can usually get a lot more space for your money.
Five Steps to Start Renting in Singapore as a Foreigner
Living in a new place is exciting and anxiety-inducing at the same time. There is a long list of things that need to be done before settling down and one of the most major things is finding a place to live. So to ease the transition process, here are the procedures for a foreigner to rent a property in Singapore.
Step 1: Find a licensed real estate agent
Check the legitimacy of the Council of Estate Agencies (CEA) Public Register of the real estate agents and salespersons:
- To ensure the person is a registered real estate agent or salesperson
- To check the registration validity of the real estate agent or salesperson
- To check whether the real estate agent or salesperson has been disciplined by the Council within the last two (2) years, and
- To find out whether any awards have been conferred on a real estate agent or salesperson by the Council
Step 2: Prepare the necessary
All documents you present should have at least a validity period of 6 months to the application date.
- Employment pass / S pass
- Work permit
- Dependent pass
- Passport
- The budget for Security Deposit, Stamp Duty and one-month Good Faith Deposit
Step 3: Prepare a Letter of Intent (LOI)
LOI is a letter proposing your intention to lease and your requirements to the landlord. Typically, it’s the real estate agent that prepares the LOI. You should have the following in your LOI:
Step 4: Signing of Tenancy Agreement (TA)
This agreement will be drafted and prepared for you by your real estate agent. All contents in your Tenancy Agreement will be based on your LOI. Ensure to check every detail mentioned in the TA.
Diplomatic Clause (Early Termination of Lease) and Reimbursement Clause:
Conditions for early termination of lease and reimbursement of the real estate agent’s commission
Conditions of the Security Deposit and Good Faith Deposit:
States what happens to the deposits after TA is signed
Termination and Renewal Clause:
Conditions to terminate or renew the lease
Minor Repair and Maintenance Clause:
States how much you are liable to pay, for damage caused by wear and tear, do insert a 30-day problem-free period clause
Applicable Stamp Duties:
Refer to Table 1 for the rates
Rent Payment Clause:
Includes the monthly rental amount and what happens with late payments
Step 5: Property Inspection
- Before settling in, do an inspection of the property and its furniture. Get the landlord to replace or repair when needed
- With the 30-day problem-free clause, you will not be liable for any repair/replacement of the defects within the first 30 days.
Looking to move to Singapore, but don’t know where to start? Contact Crown Relocations Indonesia at +62 21 7588 2338 or email us at [email protected]. Regardless of what you need to prepare, our decades of experience mean we’ve almost certainly dealt with it before.