What is a sub-sale in Singapore property?

A sub-sale is when a buyer sells their new launch condo unit before the project receives its Temporary Occupation Permit (TOP). The seller is selling their rights under the Sale and Purchase Agreement (SPA) with the developer, not a completed property. Sub-sale caveats are publicly visible on URA REALIS.

What stamp duty applies to a Singapore sub-sale?

Seller's Stamp Duty (SSD) applies: 16% if sold within 1 year of purchase, 12% within 2 years, 8% within 3 years, 4% within 4 years, and 0% if held for more than 4 years. This 4-year schedule applies to residential property bought on or after 4 July 2025. SSD is calculated on the higher of the sub-sale price or market value. There is no additional ABSD on sub-sales -- only SSD for the seller.

Last reviewed: 19 May 2026

Pre-Selling Singapore Condo Before TOP: Sub-Sale Rules, Stamp Duty, and What the Market Pays

By Winfred Quek · CEA R073319H · Crestbrick

Quick answer: Sub-sale means selling your new launch condo before TOP. You are selling your rights under the developer SPA, not a completed unit. Seller's Stamp Duty applies: 16% (within 1 year), 12% (1–2 years), 8% (2–3 years), 4% (3–4 years), 0% (after 4 years), for property bought on or after 4 July 2025. Most major developers allow sub-sales with consent and admin fee. Sub-sale caveats appear on URA REALIS within 14 days.

Facts verified: May 2026 · Sources linked below

Seller's Stamp Duty (SSD) on Sub-Sales

Year of Sale (from purchase date)	SSD Rate	SSD on $1.5M Sub-Sale
Within 1 year	16%	$240,000
1–2 years	12%	$180,000
2–3 years	8%	$120,000
3–4 years	4%	$60,000
More than 4 years	0%	$0

SSD is calculated on the higher of the sub-sale consideration or market value. It is payable by the seller. The 4-year schedule shown applies to residential property purchased on or after 4 July 2025. The buyer of the sub-sale unit is not subject to SSD but does pay BSD (and ABSD based on their own profile).

The Sub-Sale Process

Check your SPA with the developer most have a clause requiring written consent for sub-sales
Engage a property agent and/or lawyer to find a buyer
Apply to developer for consent to novate or assign the SPA
Developer charges an admin fee ($500–$3,000) and issues a letter of consent
Lawyer prepares the Deed of Assignment or Novation Agreement
Buyer pays BSD (and ABSD if applicable), you pay SSD
Caveat lodged at SLA appears publicly on URA REALIS within 14 days

Novation vs Assignment

Assignment: You assign your rights under the SPA to the buyer but remain liable on certain obligations. More common for simple sub-sales.

Novation: The buyer steps fully into your shoes the original SPA is novated to them, releasing you from all obligations. More comprehensive and preferred by buyers. Developer's consent is required.

Profit Calculation: Sub-Sale Example

Item	Amount
Original launch price (Year 1 purchase)	$1,500,000
BSD paid on purchase	$44,600
Payments made under PPS (progress payments)	$300,000
Sub-sale price in Year 4	$1,800,000
SSD at 4% of $1.8M	−$72,000
Developer admin fee + legal	−$5,000
Agent commission (~1%)	−$18,000
Net profit before tax	$160,400

No capital gains tax: Singapore does not have CGT on property sales. Sub-sale profit is not taxable income for individuals. However, if IRAS determines you are in the "business of trading property" (frequent and quick sub-sales), they may assess the gains as trading income. Casual investors with 1–2 sub-sales over several years are generally not reclassified.

When is the Best Window to Sub-Sell?

The optimal sub-sale window is 3.5–4 years from launch SSD is at its lowest (4%), the project is typically nearing or past TOP (buyers can see physical progress), and the price premium over launch has had time to build.

Sub-sales in year 1 (16% SSD) destroy profit unless the market has risen dramatically. Sub-sales after TOP (post-completion) are simply resales no sub-sale process needed, standard resale procedures apply.

What Sub-Sale Prices Look Like

Active new launches with MRT proximity and strong take-up rates typically see sub-sale premiums of 10–25% over launch price when sold at the 3–4 year mark. Projects in poor locations or oversupplied submarkets may trade flat or at a discount even before TOP.

Check URA REALIS for caveat data on comparable units in the same project to understand the current sub-sale price band before negotiating.

Sub-Sale vs Resale vs New Launch: The Three Markets Compared

	Sub-Sale (Before TOP)	Resale (After TOP)	New Launch (Developer)
What you buy	Rights under the SPA	Completed, titled unit	Uncompleted unit from developer
Immediate occupancy?	No wait for TOP	Yes	No 2–4 years wait
SSD applies to seller?	Yes 16/12/8/4/0% by year	Yes same SSD schedule	N/A developer not subject to SSD
Typical price vs launch	+10–25% in strong markets	Market rate by project age	Launch price (VVIP discount possible)
Price negotiability	Moderate seller wants exit	Higher wider comparable pool	Low developer fixed pricing
Renovation needed?	Not until TOP plan ahead	Usually yes budget $60K–$150K	Bare unit full renovation needed

How to Price Your Sub-Sale Unit

Step 1 Pull URA REALIS caveats for the same project. Filter by unit type (e.g. 2-bedroom, floor 10–15) and sort by recent transaction date. Sub-sale caveats are flagged "Sub Sale" in the type column.

Step 2 Check if the developer still has unsold units. If the developer is releasing remaining units below your asking price, buyers will choose the developer over you. Check the developer's price list before setting your ask.

Step 3 Calculate your break-even after SSD, agent fees, and legal costs. Work backwards from your target net profit to set the minimum viable asking price. Never list below break-even.

Step 4 Time the listing. The best window is 6–12 months before estimated TOP enough construction progress for buyer confidence, close enough to delivery that buyers accept the wait. Ideally this also lands past year 4 (0% SSD), or at minimum in year 4 (4% SSD).

Step 5 Obtain developer consent before marketing. Do not advertise the sub-sale publicly until you have written consent from the developer in hand. Marketing without consent and then failing to obtain it causes deals to collapse.

What Most Sub-Sellers Get Wrong

Underestimating SSD in years 1 and 2. SSD of 16% on a $1.8M sub-sale = $288,000. This is often larger than the total appreciation gain. Year-1 sub-sales almost never make financial sense.
Forgetting BSD is a separate sunk cost. BSD paid on your original purchase ($44,600 on a $1.5M unit) does not offset your SSD liability both are payable independently.
Assuming the buyer has no leverage. Sub-sale buyers know you want to exit. Price competitively vs comparable developer units and recent sub-sale caveats, or expect long marketing periods.
Miscalculating the cost basis. Your true cost includes all progress payments made under the PPS schedule not just the initial 5–20% booking fee. By year 3, you may have deployed $400K–$500K in CPF and cash.

Frequently Asked Questions

Does the buyer of my sub-sale unit pay ABSD based on my purchase date or their own?

The sub-sale buyer pays BSD and ABSD based on their own profile at the time they acquire your unit their nationality, property count, and citizenship status. Your purchase history is irrelevant to their stamp duty calculation. ABSD is assessed on the sub-sale price (or market value, whichever is higher).

Can I sub-sell without the developer's consent?

Most SPAs require the developer's written consent for any assignment or novation. Marketing and selling without consent exposes you to breach of contract. Always check your SPA assignment clause, or have a lawyer review it, before assuming consent is not needed. A few older SPAs and smaller developers do not require consent, but this is uncommon.

What if I cannot find a sub-sale buyer before TOP?

You are still committed to completing the purchase. Your obligations under the SPA remain in force. If you cannot fund the completion payment, you risk forfeiting all progress payments already made and potentially facing the developer for any shortfall if they resell the unit at a lower price. Always have a clear completion plan before buying new launch units as a short-term investment.