Let’s say that you’re thinking about renting a place. You’ve called an agent, viewed a couple of places and found one that you can actually imagine yourself staying in. What do you have to pay?
Generally, your first payments would include:
- A security deposit equalling a month’s rent
- One month’s advance rent
- Agent commission, which is half a month’s rent including GST
So let’s say you’ve agreed to a monthly rental of S$1,000 / mth with your landlord for a year. Your first month’s payment would then be:
|(*Security Deposit)||(Advance Rent)||(Agent Fees)||(GST)||(Total)|
*Note that you’ll get your security deposit back at the end of end of your lease, as long as you don’t trash the place, of course. Also, the security deposit for 2 years is 2 months’ rent, 3 years = 3 months (I’m sure you get the idea)
Then, there is also the issue of Stamp Duty. Every agreement has to be stamped by the Inland Revenue Authority of Singapore (IRAS) before it’s considered a valid contract. This is important in the event of any disputes arising between you and your landlord. This is calculated thus:
One Year Lease or Less (rounded to the nearest dollar):
- (Rental Amount x (12) / 250 ) + $2 (for duplicate copy)
1 to 3 years:
- (Rental Amount x (12) / 250) x 2 + $2 (for duplicate copy)
More than 3 years:
- (Rental Amount x (12) / 250) x 4 + $2 (yes, again for duplicate copy)
Alright, I think that’s about it. Let me know if further details would be useful.