Can Foreigners Buy Commercial Property in Singapore? No ABSD Guide

By Lucy Wu · Licensed Real Estate Agent (CEA R062904B) · 2 July 2026

Foreigners can buy commercial property in Singapore — and it’s far cheaper than residential: per IRAS, commercial property is fully exempt from the 60% ABSD, and needs no government approval. This is why many foreign investors turn to offices, shophouses and retail.

💡 Lucy’s tip: With the same budget, residential loses a big chunk to 60% ABSD; commercial doesn’t. For pure investors, commercial is often more capital-efficient.

Three advantages (per IRAS / SLA)

Item	Residential	Commercial
ABSD	60% (foreigner)	0% (exempt)
Government approval	landed needs it	none
LTV	up to 75%	up to ~80%
GST	none	9% if seller GST-registered

What counts as commercial?

Offices / strata offices → see the office guides
Shophouses (commercial use / conservation)
Retail units / mall units
Hotels, mixed-use buildings

Taxes (per IRAS)

BSD (non-residential): up to 5%.
No ABSD.
GST 9%: if the seller is GST-registered; a GST-registered buyer can usually claim input tax.

Summary

Can buy: yes — most foreigner-friendly asset class.
Biggest advantage: no 60% ABSD, no approval, higher LTV.
Watch: 9% GST (seller-dependent), BSD still applies.
Contact Lucy for an estimate on your budget.

⚠️ Rates and zoning as per IRAS / URA; consult a licensed agent and tax adviser.

FAQ

Can foreigners buy commercial property in Singapore?

Yes. Per SLA, foreigners can buy commercial property (offices, retail, purely-commercial shophouses) without government approval and without the restrictions that apply to residential property.

Is there ABSD on commercial property?

No. Per IRAS, ABSD applies only to residential property; commercial property is fully exempt. This is the biggest advantage of commercial over residential for foreign buyers.

What taxes apply to commercial property?

Per IRAS, commercial property attracts Buyer's Stamp Duty (BSD, non-residential up to 5%); if the seller is GST-registered, 9% GST also applies. There is no GST on residential.

How much can foreigners borrow for commercial property?

Per market practice, commercial loan-to-value (LTV) is typically up to ~80%, generally higher than residential, subject to TDSR and bank approval.

⚠️ Figures are accurate as of the publish/update date and may change. Always verify with official sources (IRAS, URA, SLA, HDB, MAS). This is general information, not specific investment or tax advice — consult a licensed agent and professional advisers. Contact Lucy: WeChat wlx567 · +65 8310 5396.