Lewis Rutherford

Types of property available to lease in Singapore

There are several options to make a choice from when thinking about the different types of property available for rent. It is helpful to familiarise oneself with these options first. The kinds of property available include:

1. Landed property

Dependent on the location and the dimensions of the house, leases for landed property can fluctuate from $10,000 to $30,000 each month. Landed property can be split into three main types:

i. Terrace Houses. These are houses that share common walls with neighbours on either side, unless at the end of a row.

ii. Semi-detached Homes. These homes share one wall in common with a neighbour.

iii. Detached Homes/Bungalows. These homes do not share any wall with other homes.

2. High rise buildings

i. HDB Flats (whole unit or bedroom alone)

Note that subletting an entire flat requires authorization from the Housing Development Board, and that subletting a bedroom is only really possible for 3-bedroom flats or bigger. An entire unit would cost $2,000 to $3,000 every month on average to rent in Singapore, while a room can cost between $500 and $1,000.

ii. Room rental

The monthly price of sharing a house goes from $500 to $1,500, dependent on whether you are hiring a common or master suite. It is very important to agree previously on issues e. G the sharing of electricity, water and telephone bills and privacy rights.

iii. Service Residences

These usually have gymnasiums, cafeterias, business centers and cleaning services. The monthly rental costs for these typically go from $2,500 to $6,000 for a one-bedroom loft, and $5,000 to $10,000 for a two-bedroom studio.

iv. Condos

These are properties with facilities like security, gymnasiums and pools. Smaller condos may not have as many facilities. Monthly rent fees for condos often range between $2,500 and $10,000.

v. Penthouses

Penthouses commonly have their own pools, rooftop gardens and patios. They top most of the tall buildings in Singapore. Rental costs typically range all the way from $10,000 to $30,000 monthly.

Rental conditions

Rental residences come fully furnished, partially furnished or unfurnished.

Extensively furnished means the apartment includes a complete set of furniture, appliances (e.g. TV, microwave oven) and white products (e.g. Fridge, washer).

Partially furnished means the flat includes the essential white goods, lights and curtains, but no or tiny furniture.

Unfurnished means the house is renovated but bare, perhaps only with the lights fitted. Of course it is usually possible to request for the landlord to add items "these can all be bartered before you sign the rental agreement and can be integrated into the rent charges.

7 Steps to Rent in Singapore

When you are acquainted with the options available, you can take these steps to hire the property you have an interest in.

1. Decide on your position

Having a budget in mind will help you in deciding the kind of property to lease, as well as its location. Ensure that your budget is sufficiently flexible to prevent scenarios where you are incapable of finding a place that is both within your budget as well as in a particular situation of your preference.

2. Decide on the sort of property and the location

Factors to take into account when making this decision include the facilities you need, the general public transport options, the age and number of family members, the distance to office or college districts and the conveniences you would like, such as supermarkets and libraries.

3. Gather a pool of particular options

First, examine classified advertisements as well as property websites to come up with a listing of potential properties that fit your choices on location, budget and other things. You may engage a few agents to help you in your search.

4. Prepare for property viewings

Visit the shortlisted properties and take stills and notes on each to help you make a decision later. It is useful to visit at different times of the day to get an idea of the neighbourhood. You can then shortlist further and do a second viewing if necessary. Make a note of any repairs or additional furniture you want to have before you move in.

5. Sign the Letter of Intent

Once you decide on the home you wish to hire you typically then sign a Letter of Intent (LOI), which states your plan to lease, as well as any necessities you have. Focus on the following elements of the LOI:

- The Diplomatic/Repatriation Clause. This typically enables you to end the contract after 2 months ' notice and claim your security deposit, in the event that you are moved to another country by your company or be made redundant.

- Booking/Good faith Deposit. This is usually one month's rent. After the LOI has been signed and this has been paid, the owner can't rent the property to others.

- Security Deposit. This is generally one month's hire every year of lease. Once the lease term is over, this amount will be refunded. If any expenses arise thanks to the renter breaching the terms in the Rental Agreement (e.g. Damages to the property), the owner can take a reasonable amount from this deposit.

- Lease Term. The standard lease term is one year or more, and the contract may include a renewal option, which often needs two or three months ' advance notice to exercise.

- Necessities. State your requirements (like new furniture) obviously. Once the LOI is signed, the owner is needed to provide all that is requested for.

6. Sign the Tenancy Agreement

After signing the LOI and putting down a deposit, you may then sign the Rental Contract. You'll also need to pay the advance lease along with the signing. Pay attention to the following components:

- Ensure that terms concluded in the LOI are also present in the Tenancy Contract.

- Installation and monthly charges. You are generally accountable for the installation charges and monthly bills for the water, gas and electricity supply, residential phone line, cable television and broadband web connection. Occasionally you can barter a few of these into the contract, e.g. Cable television or Internet bill.

- Upkeep and Repairs. You'll be accountable for fix works that do not surpass a certain quantity, often $100-200, unless the mend required is due to your laxity. Also, certain upkeep services such as gardening and pool cleaning will be at your expense.

Note this Agreement must be stamped by the Inland Income Authority of Singapore before it is considered a valid contract. The price tag for this is typically borne by the tenant. For leases of one year or less, the stamp duty due is the rental amount multiplied by 0.048. For leases of more than one year to three years, it is the rental amount multiplied by 0.096.

Also you'll have to pay the agent half a month's to a month's commission depending on the lease term.

7. Taking over the property

Check the inventory list to make certain that all items are present, and note if there are any defects. Also make sure you collect a complete set of keys.

Hope that you enjoyed reading this Singapore property market article!