Singapore Tool

Rent vs Buy

Singapore-specific breakeven. ABSD drags foreign buyers out 15+ years; citizens hit breakeven fast. Model the numbers by buyer status, horizon and assumptions.

Upfront Buy Cost

S$577,600

Incl. S$69,600 stamp duty

ABSD (0.00%)

0.00%

Singapore Citizen

Breakeven Year

Not within horizon

Net Worth Diff @ Yr 10

-S$138,714

Buy minus Rent

Year-by-Year Comparison

YearProperty ValueLoan Bal.Buyer EquityCum. RentBuy NWRent NWDiff
1S$2,060,000S$1,461,515S$598,485S$66,000-S$80,745S$540,480-S$621,225
2S$2,121,800S$1,421,681S$700,119S$133,980-S$80,742S$502,824-S$583,566
3S$2,185,454S$1,380,451S$805,003S$203,999-S$77,488S$464,645-S$542,132
4S$2,251,018S$1,337,775S$913,242S$276,119-S$70,879S$425,957-S$496,836
5S$2,318,548S$1,293,604S$1,024,944S$350,403-S$60,808S$386,777-S$447,585
6S$2,388,105S$1,247,885S$1,140,220S$426,915-S$47,162S$347,124-S$394,286
7S$2,459,748S$1,200,563S$1,259,185S$505,723-S$29,827S$307,019-S$336,846
8S$2,533,540S$1,151,583S$1,381,958S$586,894-S$8,685S$266,484-S$275,169
9S$2,609,546S$1,100,885S$1,508,661S$670,501S$16,389S$225,546-S$209,158
10S$2,687,833S$1,048,411S$1,639,422S$756,616S$45,519S$184,234-S$138,714

Singapore-Specific Notes

  • • For foreign buyers, 60% ABSD alone = S$1,200,000 on this deal. Breakeven is rarely under 15 years.
  • • Model assumes renter invests the upfront buy cost at the investment return — a conservative opp-cost anchor.
  • • Property appreciation at 3%/yr is the single biggest lever. Sensitivity-test it.
  • • Transaction costs on sale (~1% agent + stamping) are not modeled here — subtract them at exit.