Freehold Residential Property: The Reasons why you are Acquiring One

Homes in Singapore along with different lease periods:

30-year lease (HDB studio apartments)

60-year lease (private housings)

99-year lease (executive condominiums, private housings, all HDB flats except for studio apartments)

103-year lease (private housings) (Theses houses sit on freehold land owned by private developers.)

999-year lease (private housings)

Freehold (private housings)

*A land at Jalan Jurong Kechil is most important 60-year-lease plot to be sold (on 15 November 2012) for residential development; thus 60-year-lease homes get available early.

Most housings in Singapore either fall into freehold or 99-year lease, with however making the bulk.

A 999-year lease will be equivalent to freehold.

While 30-year-lease HDB studio apartments can be bought in short supply and basically meant for elderly occupants.

Private developments with a 103-year lease period (the lease period is contingent on the developer) on freehold land are few and much between. At the expiry belonging to the lease, the non-governmental land owner gets right to re-acquire ground (i.e. reversionary right), sell the freehold tenure or extend the lease at a price.

Residential properties with 60-year lease aren’t available yet, but will be in a few years’ time when development on the main 60-year leasehold residential land plot at Jalan Jurong Kechil is finished.

Homes in Singapore are predominantly 99-year leasehold for the reason that government sells most arrives affinity at serangoon condo 99-year tenure due to land scarcity in america. At the end of the lease period, the state can acquire the land without any compensation on the home buyers. Currently, the government does not offer freehold land parcels for sales anymore, with the the sale of remnant State land to the adjoining landowner whose existing private land is already held under a freehold headings.

However, topping up of this lease of leasehold private housings is allowed.

Lessees may apply of a renewal among the lease that’s not a problem SLA (Singapore Land Authority). The granting of extension is on a case-by-case basis and will be considered if ever the development open for line with Government’s planning intentions, maintained by relevant agencies, and leads to land use intensification, mitigation of property decay and preservation of community. Generally if the extension is approved, a land premium, decided your Chief Valuer, will be charged. The new lease will not exceed the original, however it will as the shorter belonging to the original as well as lease in step with URA’s planning intention.

In addition, near the final of the lease period the State may need the land in order to become returned in its original conditions. If so, demolition of buildings, land fillings, etc. will have to be borne coming from the current lessees.

For HDB flats, legally the flat will be returned to HDB in the end of this lease. HDB does don’t have to make any monetary compensation, or offer an upgraded flat to the owners. Pet owners may be also required to take out any fixtures fitting.