Rental stamp duty in Singapore is 0.4% of the Average Annual Rent (AAR) for leases up to 4 years. Leases longer than 4 years or indefinite are capped at 0.4% × 4 × AAR. Pay within 14 days of signing the TA (30 days if signed overseas). Most TAs have the tenant pay. Late filing penalty: up to 4× the duty if delay exceeds 3 months.
Rental stamp duty trips up more first-time tenants in Singapore than any other rental rule. The formula itself is simple — 0.4% of average annual rent — but the 14-day filing deadline, overseas-signed exception, and what counts as dutiable rent (furniture excluded, service charge maybe) create confusion. This guide explains the rules in plain English with three worked examples.
The 0.4% formula with three worked examples across HDB, condo, and landed
The formula
For a tenancy agreement with a fixed term:
Stamp Duty = 0.4% × Average Annual Rent (AAR) × Duration (in years) Where AAR = Total rent over lease period ÷ Lease length in years
If the lease is longer than 4 years, or is indefinite/renewable, the multiplier is capped at 4:
Stamp Duty = 0.4% × 4 × Average Annual Rent
Three worked examples
Example 1 — HDB room, 1-year lease at S$1,200/month
AAR = S$1,200 × 12 = S$14,400
Duty = 0.4% × S$14,400 × 1 year = S$57.60
Example 2 — Condo unit, 2-year lease at S$3,800/month
Under the Stamp Duties Act, either party can pay — the TA dictates who. Market convention in Singapore is tenant pays, but always check the clause. If the TA is silent, the party presenting it for registration pays.
Within 14 days of signing if the TA is executed in Singapore.
Within 30 days if signed overseas.
You’ll need SingPass or a CorpPass login. IRAS sends the stamp certificate by email — store it with your TA.
Late payment penalties
Delay
Penalty
Up to 3 months late
S$10 or the duty amount (whichever is higher)
More than 3 months late
S$25 or 4× the duty amount (whichever is higher)
Beyond the fine, an unstamped TA cannot be used as evidence in court — so if you ever dispute a deposit refund or breach claim, your unstamped TA is worthless until you stamp it (and pay the late penalty).
What is and isn’t dutiable
Component
Dutiable?
Rent
Yes
Maintenance fee (if stated separately in TA)
No
Furniture rental (stated separately)
No
Utility estimates bundled in rent
Yes (if not separated)
Security deposit
No (it’s refundable)
Agent commission
No
To lower the dutiable amount, ensure the TA separately itemises rent, furniture rental, and maintenance charges. Bundling them into “all-in rent” means everything becomes dutiable.
Enter the property address, landlord and tenant details, TA signing date, lease start and end dates.
Enter the monthly rent or annual rent — portal auto-calculates the AAR and duty.
Pay by PayNow, eNETS, GIRO, or credit card (surcharge applies).
Download the stamp certificate PDF — attach to your TA and keep for records.
Frequently asked questions
Does the stamp duty increase if rent changes mid-lease?
Only if there’s a written variation to the TA. Automatic CPI-linked increases written into the original TA are captured in the AAR calculation when you stamp at signing.
Do I need to stamp a room-only rental?
Yes — any tenancy agreement, including for a single room, is dutiable. The duty amount will just be smaller.
Can I deduct stamp duty from my income tax?
If you paid the stamp duty as a landlord, it’s a deductible rental expense. If you paid as a tenant (and the property isn’t used for business), it’s not deductible.
What if both parties refuse to pay?
Either party can pay and recover from the other. The TA itself cannot be enforced in court until stamped, so the party needing legal enforcement usually ends up paying.
Disclaimer
This guide is for general information only. Singapore’s rental rules, HDB policies, and IRAS stamp duty rates change periodically. Always verify against the HDB, URA and IRAS websites before signing a lease or filing with IRAS. LovelyHomes is not a licensed property agent or tax adviser. For personalised advice, please engage a registered CEA agent or a qualified tax professional.
Singapore landlords must comply with HDB or URA rules (minimum 6-month lease for HDB, 3 months for private), screen tenants’ work/student pass validity, stamp the TA, declare rental income under Schedule I of their tax return, and refund deposits within 14–30 days. Gross yields of 4% typically net out to ~2.2% after expenses and 22% income tax.
Letting out a Singapore home can be a steady income stream, but it’s a licensed business that comes with tax, regulatory, and contractual obligations. This landlord’s guide covers what you must do (HDB approval, URA rules, TA clauses, tax declaration), how to screen tenants properly, and the yield maths that separate a profitable let from a break-even one.
The 9 landlord obligations and worked net-yield example
Your 9 legal obligations as a Singapore landlord
1. HDB or URA approval
HDB owners must apply for approval to sublet the whole flat (only after 5-year MOP) or register bedroom subletting online. Private residential landlords must ensure the unit has at least 4 bedrooms if renting rooms, and the overall occupant cap must not be breached.
2. Minimum lease terms
HDB: 6 months per tenant (no Airbnb, no short-stay). Private: 3 months per tenant. Anything shorter breaches URA rules.
3. Tenant screening
Verify work pass (MOM), student pass (ICA), or PR/citizen status before signing. For foreigners, sight the pass, not just a photocopy. Payslips or a CPF Statement for locals helps assess affordability. Credit-check via agents or services like CrimsonLogic.
4. Stamp duty
The TA must be stamped within 14 days of signing. Usually the tenant pays (see the TA), but you as the landlord must ensure it’s done — an unstamped TA is unenforceable in court. See the rental stamp duty guide for the formula.
5. Rental income tax
Declare net rental income (gross rent minus deductible expenses) under Schedule I in your personal income tax return. Deductibles include property tax, MCST fees, maintenance, insurance, fire insurance, and mortgage interest (on the rented property only). A flat 15% deemed-expense option exists for individuals — IRAS will apply whichever yields higher deductions.
6. Quiet enjoyment
Give the tenant 24–48 hours’ notice before entering for inspections or viewings (for prospective tenants at lease end). Barging in unannounced breaches quiet enjoyment.
7. Repairs and maintenance
Major repairs (structural, plumbing leaks, aircon compressor failure) are the landlord’s under standard TAs, above a threshold (usually S$150–200). Minor repairs below that threshold are the tenant’s.
8. Property tax uplift
When the unit is tenanted, property tax rises from owner-occupier rates (0–32%) to non-owner-occupier rates (12–36%). File Form IRIN1A with IRAS within 15 days of letting.
9. Deposit refund
Return the security deposit within 14–30 days of a clean handover, less itemised deductions. Withholding the deposit without documented cause invites Small Claims action.
The yield maths: gross is not net
A common trap: landlords quote gross yield and forget how much disappears to costs and tax. Here’s a worked example on a S$1.14M condo renting at S$3,800/month.
Item
Amount (S$/year)
Gross rent (3,800 × 12)
45,600
Property tax (non-owner-occupier, est. AV S$42k)
–4,200
MCST/condo maintenance
–4,800
Repairs and wear-down reserve
–1,500
Agent commission (half month + GST, if agent-let)
–2,070
Insurance and misc
–500
Net rental (pre-tax)
32,530 (2.85% yield)
After 22% income tax (top marginal)
~25,370 (2.22% yield)
Mortgage interest on the rented property is also deductible — if you’re on a 4% interest-only loan, that swings the numbers further.
TA clauses to insist on
Minor repair threshold (S$150–200) — anything below is the tenant’s cost.
Aircon servicing every 3 months with receipts, tenant’s cost.
No unauthorised subletting or Airbnb — immediate termination if breached.
Damage deposit forfeit if TA is terminated during lock-in.
Diplomatic clause only for foreign tenants on valid work/student pass — 12-month minimum stay, 2 months’ notice, pass cancellation required.
End-of-tenancy cleaning at tenant’s cost with vendor receipt.
When to hire a property manager
Owner-managed suits local landlords with one unit and time. Hire a property manager (typically 8–10% of monthly rent) if you’re overseas, own 3+ units, or want a passive hands-off investment. The manager handles viewings, tenant issues, rent collection, and renewals — essentially turning your property into a running concern.
Frequently asked questions
Do I need a licence to be a landlord in Singapore?
No separate licence, but you must comply with HDB/URA rules. HDB owners need HDB approval to sublet whole flats. Short-term rentals (under 6 months for HDB, 3 months for private) breach URA rules — Airbnb is effectively illegal for most Singapore homes.
Can I claim mortgage interest against rental income?
Yes, but only the interest portion on the rented property (not principal, not on other properties). If the rental covers only part of the year, pro-rate accordingly. Alternatively, take IRAS’s 15% deemed-expense deduction — IRAS will use whichever gives the higher deductible.
Should I engage a tenant via a co-broke agent?
Co-broke means the tenant’s agent and your agent split the landlord-paid commission. It widens the pool of tenants (their agent brings them to you) at the same cost. Most Singapore landlords co-broke by default.
Disclaimer
This guide is for general information only. Singapore’s rental rules, HDB policies, and IRAS stamp duty rates change periodically. Always verify against the HDB, URA and IRAS websites before signing a lease or filing with IRAS. LovelyHomes is not a licensed property agent or tax adviser. For personalised advice, please engage a registered CEA agent or a qualified tax professional.
Renting a home in Singapore usually takes 3–4 weeks. Budget roughly 3–4 months’ rent in cash upfront (first month + 1–2 months’ security + stamp duty + any agent fee), sign a tenancy agreement within 14 days of the LOI, and stamp it within 14 days of signing. At exit, expect your security deposit back within 14–30 days of a clean handover.
Whether you’re a local family bridging between homes, a PR upgrader, or an expatriate signing your first Singapore lease, the rental process runs on the same five-step rails. The rules are not complicated, but the upfront money moves fast and the deposit mechanics catch people out at exit. This tenant guide walks you through the full journey, the contract clauses that matter, and how to get every dollar of your security deposit back.
The five-step rental journey and upfront cash needed to move in
Step 1: Letter of Intent (LOI) + good-faith deposit
Once you’ve viewed a property and agreed to rent it, you (or your agent) sends the landlord a Letter of Intent. The LOI sets out the rent, tenancy length, lock-in period, diplomatic clause (for foreigners on work pass), inclusions (aircon servicing, white goods, furniture), and any special requests (painting, pest treatment, replacing faulty items).
You pay a good-faith deposit equal to one month’s rent when the LOI is signed. This is converted to the first month’s rent when the TA is signed. If the landlord backs out, you get it refunded; if you back out, you forfeit it.
Step 2: Tenancy Agreement (TA)
Within 14 days of the LOI, the landlord’s lawyer or agent drafts the Tenancy Agreement. Read it carefully before signing. The clauses that matter most:
Security deposit: Market norm is 1 month per year of lease, capped at 2 months. Refuse anything higher.
Diplomatic clause: Lets a foreign tenant break the lease if their work pass is revoked or they’re transferred overseas, usually after a 12-month minimum stay and with 2 months’ notice.
Minor repair threshold: Repairs below S$150–200 are usually the tenant’s responsibility; above that, it’s the landlord’s. Make sure this threshold is explicit.
Lock-in period: The period during which neither party can terminate. Usually the full lease term for fixed leases, or 12 months of a 24-month lease.
Subletting: Almost always prohibited without written consent. Don’t list the unit on Airbnb.
Step 3: Stamp duty (within 14 days)
The tenancy agreement must be stamped with IRAS within 14 days of signing in Singapore (30 days if signed overseas). The duty is 0.4% of the average annual rent for leases up to 4 years. For most Singapore TAs, the tenant pays — check the TA. File via the IRAS e-Stamping portal. The full formula with worked examples is in our rental stamp duty guide.
Step 4: Handover and inventory check
On move-in day, do a joint inspection with the landlord or agent. This is the single most important step for protecting your deposit at exit:
Photograph every existing scratch, stain, chip, and mark in every room.
Note the condition of all appliances — test the aircon, oven, hob, washing machine, dryer, fridge.
Take meter readings for electricity, water, and gas.
Sign the inventory list — don’t leave any item unticked.
Keep digital copies of everything, dated.
Step 5: Exit and deposit return
Give 30 days’ written notice before lease expiry (check your TA — sometimes 60 days). Do a joint handover check on your last day. If the landlord flags damage beyond fair wear-and-tear, negotiate from your move-in photos. The deposit must be returned within 14–30 days of the final handover per standard Singapore TAs.
Your upfront money — how much cash do you actually need?
Item
Amount
Timing
Good-faith deposit (becomes 1st month rent)
1 month rent
At LOI
Security deposit
1–2 months rent
At TA signing
Stamp duty (tenant pays per TA)
0.4% of AAR
Within 14 days of TA
Agent fee (if you engaged your own agent)
0.5–1 month + GST
At TA signing
A S$3,800/month condo with a 2-year lease typically needs roughly S$12,500–S$13,500 in cash at the start — be ready before you start viewing.
Getting your deposit back in full
Three rules of thumb:
Professionally clean before handover. S$250–S$450 for a 3-bedder is standard — deducted from deposit if you skip it.
Serve aircon units. Under most TAs, the tenant must service aircon at least once every 3 months and produce receipts at handover.
Minor wall-fill and touch-up paint. Hole from a TV mount or picture hook? Patch it before inspection.
Frequently asked questions
Can the landlord refuse to return my deposit?
Only for documented breaches (unpaid rent, damage beyond wear-and-tear, unpaid utilities). They must itemise deductions in writing. Disputes above S$20,000 go to the Small Claims Tribunals or civil court; the stamped TA is your main evidence.
What counts as fair wear-and-tear?
Minor scuff marks, slight carpet flattening, faded paint from sunlight, light furniture indents on floors. What’s not fair: burn marks, broken fittings, unapproved modifications, pet damage (unless pets were allowed in the TA).
Do I need a property agent as a tenant?
Not mandatory, but agents help with contract negotiation, market rent benchmarking, and dispute handling. If both parties have their own agents, each pays their own. Using the landlord’s agent (“co-broke”) is free for you but they represent the landlord.
Disclaimer
This guide is for general information only. Singapore’s rental rules, HDB policies, and IRAS stamp duty rates change periodically. Always verify against the HDB, URA and IRAS websites before signing a lease or filing with IRAS. LovelyHomes is not a licensed property agent or tax adviser. For personalised advice, please engage a registered CEA agent or a qualified tax professional.
