Rent vs Buy Calculator Singapore

How do you use the rent vs buy calculator for Singapore?

For a Singapore citizen buying a first private condo and holding it for at least five years, buying usually beats renting on our default numbers. Buying moves ahead in about year 4 and finishes roughly S$140,000 ahead after 10 years. The answer flips quickly if you are a PR or foreigner paying ABSD, if you might sell within four years and pay Seller’s Stamp Duty, or if prices grow more slowly than about 2% a year.

The calculator runs a month-by-month simulation. The buyer pays the down payment and stamp duty up front, then the mortgage, property tax, maintenance fees and insurance. The renter pays rent, invests the cash the buyer would have put into the deposit, and invests the monthly difference whenever renting is cheaper. At the end we compare the net worth of both after the buyer sells. The full method is on our methodology page.

What do our Singapore defaults assume?

The defaults describe a mid-market private condominium bought by a Singapore citizen as a first home. Every value can be edited.

Two inputs deserve a closer look before you trust the verdict.

• Property tax. Owner-occupier rates are progressive on the property’s annual value (its estimated yearly rent). From 1 January 2025, IRAS charges 0% on the first S$12,000 of annual value, 4% on the next S$28,000, 6% on the next S$10,000 and 10% on the next S$25,000. Higher bands rise to 32% above S$140,000. A condo with an annual value of S$54,000 would pay about S$2,120 a year, roughly 0.14% of a S$1.5 million price. Our 0.4% default sits closer to what a landlord would pay. If you will live in the unit, try 0.15%.
• Mortgage rate. Three-month compounded SORA averaged a little above 1% in mid-to-late 2026, and bank packages were priced well under 2.8%. We use a higher default because a 30-year loan will live through several rate cycles. Test 2% and 3.5% to see how sensitive your result is.

Worked example: a S$1.5 million condo vs S$4,500 rent

Here is what the calculator produces with the default inputs.

Upfront cash: a S$375,000 down payment plus about S$52,500 in buying costs, or S$427,500 in total. At least 5% of the price (S$75,000) must be paid in cash. The rest of the down payment can come from your CPF Ordinary Account.

Buyer’s Stamp Duty on S$1.5 million works out as follows: 1% on the first S$180,000, 2% on the next S$180,000, 3% on the next S$640,000 and 4% on the remaining S$500,000. That totals S$44,600. Above S$1.5 million, the next S$1.5 million is taxed at 5% and anything beyond S$3 million at 6%.

Monthly mortgage payment: the loan is S$1,125,000 at 2.8% over 30 years. The standard amortisation formula, M = P × r ÷ (1 − (1 + r)^−n) with r = 0.028 ÷ 12 and n = 360, gives about S$4,623 a month. In the first month, about S$2,625 of that is interest and S$1,998 repays principal.

Total monthly cost of owning in year 1: about S$6,120. That is the mortgage, plus property tax, maintenance and insurance at roughly S$1,150 a month, plus S$350 in condo fees. The renter pays S$4,500 and invests the S$1,620 difference every month.

Result after 10 years: the buyer’s net worth is about S$1.13 million and the renter’s about S$0.98 million, so the buyer is roughly S$140,000 ahead. The break-even year is year 4, and the break-even rent is about S$3,700 a month. The 5% rule gives S$1,500,000 × 5% ÷ 12 = S$6,250, which is well above the S$4,500 rent. On that rough check renting looks cheaper, yet the full simulation still favours buying. The reason is a low interest rate on a large loan, with most of each payment building equity from early on. Our 5% rule calculator explains why the shortcut can mislead when rates are this low.

How sensitive is the Singapore result?

The biggest risk to buying is slow price growth, not interest rates. A condo bought at a high price that only keeps pace with low inflation tends to lose to a disciplined renter who invests.

What does it cost to buy and sell a home in Singapore?

Stamp duties dominate Singapore transaction costs, and they depend on who you are and how many homes you own.

The ABSD rates are from IRAS and have applied since 27 April 2023. The SSD holding period was extended from three to four years for private homes bought on or after 4 July 2025, and each tier rose by 4 percentage points, according to the joint MAS, MOF and MND announcement. The calculator does not add SSD automatically. If your horizon is under four years, add the right SSD rate to selling costs.

What are the mortgage rules in Singapore?

These rules decide how much you can borrow, and so how much cash you have to tie up.

• Loan-to-value (LTV): for a first housing loan from a bank, up to 75% of the price, provided the tenure is 30 years or less for private property and the loan ends by age 65. Longer tenures cut the limit to 55%. Second and third loans have much lower limits.
• Total Debt Servicing Ratio (TDSR): all monthly debt repayments must stay at or below 55% of gross monthly income. Banks test the loan at a medium-term floor rate that is higher than today’s market rates. At a 4% test rate, the default loan costs about S$5,371 a month, which implies a household income of roughly S$9,800 a month before any car loan or other debt.
• Mortgage Servicing Ratio (MSR): caps the mortgage at 30% of gross income for HDB flats and executive condominiums (ECs). It does not apply to private condos.
• HDB loans: charged at 2.6% (the CPF Ordinary Account rate plus 0.1%), with a maximum LTV of 75% since August 2024.
• SORA-linked loans: most bank loans float at a spread over three-month compounded SORA, or fix for two to three years before reverting to SORA. Your real payment will move. The calculator uses a single average rate, so choose one you could live with over the full horizon.

How does CPF change the rent vs buy maths?

The CPF Ordinary Account is the hidden variable in most Singapore decisions. Many buyers think of CPF as “money I can’t spend anyway”, so using it for a home feels free. It is not free.

• CPF OA money earns 2.5% a year if you leave it in the account.
• When you sell, you must refund to your CPF account the principal used for the home plus the accrued interest that it would have earned at 2.5%. That refund comes out of your sale proceeds before you receive any cash.
• If the property has not risen in value, the accrued interest can leave you with little or no cash from the sale.

To model this honestly, treat CPF used for the down payment and monthly instalments as part of your own capital. The calculator already does this. The renter’s “invested down payment” is the alternative use of that money. If your realistic alternative for CPF is the 2.5% OA rate rather than 6%, lower the investment return to about 4% to blend the two. That change tends to favour buying.

How do HDB flats and private condos differ?

For an HDB flat, enter the flat’s price, a 2.6% rate, the 75% LTV (25% down), a low monthly fee and a lower maintenance percentage. Because HDB flats cannot be sold or fully rented out within the five-year minimum occupation period, use a horizon of at least five years.

How do inputs change across Singapore’s regions?

Singapore is one city, but the property market splits into three regions with different rent-to-price ratios.

• Core Central Region (CCR), for example Orchard, River Valley and Bukit Timah: higher prices per square foot, with rental yields often lower than in the suburbs. Enter a higher price relative to rent, and consider a lower appreciation rate for older leasehold stock. Renting often wins here.
• Rest of Central Region (RCR), the city fringe, for example Queenstown, Novena and Geylang: a mix of new launches and older projects. Run the defaults, then adjust the price to what you are actually considering.
• Outside Central Region (OCR), suburban areas such as Punggol, Jurong and Tampines: lower prices and relatively firm rents, which support buying. Our defaults sit closest to this segment.
• Executive condominiums: cheaper on entry, with MSR limits and a five-year minimum occupation period. Model them like a condo with a lower price and a horizon of at least five years.

Always compare rent and price for the same size, age and location. A three-bedroom suburban condo and a two-bedroom city unit are not comparable.

When does renting win in Singapore, and when does buying win?

Renting tends to win when:

• you are a PR or foreigner and ABSD of 5% to 60% would be a sunk cost
• you may leave Singapore or move within four years, when SSD and transaction costs bite
• you would be stretching to the TDSR limit, leaving no buffer if SORA rises
• you are comparing a high-priced CCR unit with a much cheaper rent for an equivalent unit
• you expect prices to grow only around 1% a year

Buying tends to win when:

• you are a citizen buying your first home with no ABSD
• you will hold for five years or more
• your loan rate stays below about 3% for most of the horizon
• rent for a comparable home is above the break-even rent the calculator shows (about S$3,700 on the defaults)

The broader trade-offs are covered in our guides to buying a condo vs renting and the opportunity cost of a down payment.

Singapore rent vs buy checklist

1. Confirm your ABSD status. Note whether you are a citizen, a PR or a foreigner, and whether this would be your first, second or third home. Add any ABSD to buying costs.
2. Price the exact unit. Use the purchase price and the realistic rent for the same size, age and location.
3. Enter your property tax. Use your owner-occupier tax from IRAS bands, or about 0.15% if you will live in the unit.
4. Add the real maintenance fee from the MCST, not the agent’s estimate.
5. Test two rates. Run the SORA package rate and a stress rate about 1 percentage point higher.
6. Set the horizon honestly. If it is under four years, add SSD to selling costs.
7. Account for CPF accrued interest and decide whether 6% or a blended rate fits your alternative.
8. Check TDSR headroom at the bank’s stress-test rate.
9. Read the break-even rent. If comparable rent is below it, renting is the stronger financial choice.

These results are estimates based on your inputs and are not financial advice. To compare Singapore with other cities, open the all-countries calculator hub or see rent vs buy around the world.

This calculator is for education and planning. It is not financial advice. Defaults for Singapore are illustrative late-2026 estimates; check current rates and fees locally.