Accommodation in Singapore
Where to Live in Singapore?
This is a decision that can play a big part in the success of your Singapore expat experience. Do you need to be near a particular school? Do want to be close to your work or is the proximity to green space and outdoor activities more important? Budget? Public transport? Shopping? Restaurants? Does someone in your family have special needs? All these things will play a part in where you ultimately live.
The list of factors to consider can be daunting! We recommend using a real estate agent to help you navigate the complexities of the Singapore real estate market and renting procedures.
A Few Things To Keep In Mind
List your requirements but keep in mind that you will most likely not get everything on your wish list.
Take photos and make notes of properties that have potential. After you have seen a few it is hard to remember the details of each property.
Once you have selected a property, a Letter of Intent or LOI is presented to the landlord proposing an offer to rent the property. The LOI should contain the conditions which the landlord and the tenant have negotiated.
Some examples of the conditions can include pet policy, the level of furnishing of the property and whether subletting will be permitted.
Lease terms are usually between 12 to 24 months with an option of renewal.
The tenant must be sure to include the Diplomatic Clause. This clause allows the tenant to break the lease agreement after 12 months. A 2 month notice period for termination is required.
The Diplomatic Clause can only be used if the tenant is no longer employed in Singapore.
The first deposit made by the tenant is known as the booking deposit or the good faith deposit. The amount usually equals one months' rent.
Once the landlord has signed the LOI and received the deposit the landlord essentially agrees not to offer the property for lease to other tenants until a Tenancy Agreement has been signed.
The LOI must also include an expiration date. If the landlord as not signed the LOI by this date then the booking deposit must immediately be returned in full, to the prospective tenant.
After the Tenancy Agreement has been signed the deposit may be kept as the security deposit. The security deposit is usually one months' rent for every 12 month period of the contract.
The Tenancy Agreement is prepared by the landlord and is essentially a more detailed version of the LOI. The Institute of Estate Agents (IEA) provides a standard agreement on their website. www.iea.sg. Any legal fees and the stamp duty must be paid by the tenant.
The landlord and the tenant are both required to sign the Tenancy Agreement.
The tenant will be required to provide the landlord with a copy of his or her passport and employment pass.
Upon signing of the Tenancy Agreement the tenant must pay the first month's rent and security deposit, less the booking deposit amount.
Be sure to attach an inventory list to the Tenancy Agreement. This list must itemize the contents of the property, furniture and fittings, as well as their condition. Take photos of any damage or imperfections.
These websites can assist you while hunting for your next home:
Institute of Estate Agents, Singapore (IEA)