Seller’s Stamp Duty and Sub-Sales: Selling a New Launch Condo Before Completion
Seller’s Stamp Duty now runs for four years on homes bought from 4 July 2025, as announced. Worked examples on a S$1.7 million unit, how SSD hits sub-sales before TOP, and how to plan your exit.
Buying a new launch off-plan means committing years before you get the keys. Most buyers plan to live in their unit or hold it long term, but life changes: a new job overseas, a growing family, or a chance to take profit. Before you sign, it is worth understanding what selling early would cost. This guide explains Seller’s Stamp Duty (SSD), how it applies to sub-sales of uncompleted units, and what that means for a project like LinkTown Residences (Hougang Central Residences), the upcoming private condo at the Hougang Central integrated development, with completion expected around 2030 to 2031.
What Seller’s Stamp Duty is
SSD is a tax on the seller of a residential property sold within a set holding period. It is designed to discourage short-term flipping. For homes bought on or after 4 July 2025, the holding period is four years:
| Sold within | SSD rate | SSD on a S$1.7m sale |
|---|---|---|
| 1st year of purchase | 16% | S$272,000 |
| 2nd year (more than 1, up to 2 years) | 12% | S$204,000 |
| 3rd year (more than 2, up to 3 years) | 8% | S$136,000 |
| 4th year (more than 3, up to 4 years) | 4% | S$68,000 |
| After 4 years | No SSD | S$0 |
SSD is charged on the selling price or the market value, whichever is higher. It is not a tax on profit. You pay it even if you sell at a loss.
The holding period starts from your purchase date, which for a new launch is generally when you exercise the option to purchase. It does not start at TOP or when you collect your keys.
Worked examples
Example 1: selling in year two at the same price
Say you buy a 2-bedroom for S$1.7 million, roughly in line with an indicative 678 sq ft unit at the analyst-expected S$2,500 psf. Eighteen months later you need to sell, and the buyer pays S$1.7 million.
- SSD at 12%: S$1,700,000 × 12% = S$204,000.
- You also paid Buyer’s Stamp Duty of S$54,600 on the purchase, which you do not get back.
Example 2: selling in year two at a profit
Same unit, but the market has moved and you sell for S$1.9 million, a S$200,000 paper gain (a hypothetical price, for illustration only).
- SSD at 12%: S$1,900,000 × 12% = S$228,000.
- Gain of S$200,000, less SSD of S$228,000, less the original BSD of S$54,600 = a loss of S$82,600, before agent fees, legal fees and interest paid.
The lesson: in the first two years, SSD alone can wipe out a healthy price gain. Even at 4% in year four, SSD on a S$1.7 million sale is S$68,000.
Use our stamp duty calculator to check the buyer-side figures for your own unit.
How SSD interacts with sub-sales
A sub-sale is the sale of an uncompleted unit before the Certificate of Statutory Completion (CSC) is issued. The buyer takes over your position under the Sale and Purchase Agreement, including the remaining progressive payments. Sub-sales are common in long builds, where owners’ plans change before completion.
The timing matters for LinkTown Residences. The sales launch is expected in early 2027 (UOL’s August 2026 results guide a 2H 2027 launch) and completion around 2030 to 2031. If you buy at launch, your four-year SSD window would run to around early 2031, so it overlaps almost the entire construction period.
- 2027Buy at launchPay 5% at booking and exercise the option. The SSD clock starts.
- 2028–29Mid-constructionA sub-sale here falls in year two or three of ownership: 12% or 8% SSD.
- 2030–31Around TOPDepending on your exact purchase and TOP dates, you may still be in year four (4%) or just clear of SSD.
In practice, a sub-sale of this project before TOP would very likely attract SSD. Buyers who plan to exit at or soon after completion should check their exact dates rather than assume the four years have passed.
Other sub-sale points to know
- Your sub-sale buyer pays their own BSD, and ABSD if applicable, on their purchase price.
- Payments already made are settled through the sale. Your buyer takes over the remaining progressive payments. Your lawyer will work through the loan redemption and any CPF refund.
- CPF refund: any CPF you used, plus accrued interest, goes back to your CPF account on sale.
- Developer process: the developer’s consent and paperwork may be needed, possibly with an administration fee. Check the Sale and Purchase Agreement.
- Loan penalties: redeeming a loan during its lock-in period may trigger a penalty.
SSD vs ABSD: don’t mix them up
| ABSD | SSD | |
|---|---|---|
| Who pays | Buyer | Seller |
| When | On purchase | On sale within the holding period |
| Depends on | Residency status and number of homes owned | How long you held the property |
| Singapore Citizen, first home | 0% | Applies if sold within four years |
| Can it be refunded? | Married couples (at least one SC) may get a refund if the first home is sold within IRAS’s time limit | No; avoided only by holding past the period |
The ABSD refund route matters for upgraders. An HDB owner who buys a condo before selling pays ABSD on the condo first. A married couple with at least one Singapore Citizen can claim a refund if they sell the first home within the IRAS time limit (for an uncompleted purchase, generally within six months of TOP or CSC, whichever is earlier). That is a separate rule from SSD. Our stamp duty guide covers BSD and ABSD in detail, and the HDB upgrader guide explains the sequencing.
Planning your exit before you buy
Most buyers never need to sell early, but a little planning protects you if you do:
- Buy with a holding horizon of at least four years. For an off-plan unit expected to complete around 2030 to 2031, that usually means planning to hold through to completion and beyond.
- Stress-test your cash flow. Forced sales often come from affordability problems. Make sure you can service the loan at the 4% stress-test rate, and hold a buffer of several months’ instalments.
- Pick a unit type with broad demand. If you do need to sub-sell, a practical layout and price point widens your pool of buyers. Our stack selection guide discusses what makes a unit easier to resell.
- Note your exact option exercise date. Your SSD rate depends on it, down to the day.
- Consider renting instead of selling. If you need to move after TOP but are still within four years, leasing out until the SSD period ends may cost less than selling.
Who this matters most for
Owner-occupiers who plan to live in the unit for many years will rarely be affected. It matters more for investors who are used to exiting at TOP, buyers whose jobs may take them overseas, and anyone stretching their budget. If that is you, run the numbers under each SSD bracket before you commit, and read our page for investors for the wider holding-cost picture.
If you would like to be kept informed about prices, launch dates and payment timelines as they are announced, register your interest.
SSD rates as announced in July 2025 for residential property bought on or after 4 July 2025; verify with IRAS. Prices are illustrative, based on indicative sizes and analyst estimates, not official prices. Launch and completion timings are expectations, not confirmed dates. This is general information, not financial, tax or legal advice.
