Here are key takeaways from the Budget 2023 speech that would impact you when you are preparing for the RES exam. Our resexam.sg question bank has also been updated to effect these changes:
1. Increased housing grants for first-time resale flat buyers
From 1 April 2023, more support will be provided for first-timers buying resale flats, HDB has increased the maximum CPF Housing Grant amount up to $80,000 previously $50,000) for 4-room or smaller resale flats. For 5-room or larger resale flats, the grant amount has increased up to $50,000 (previously $40,000). This brings the maximum CPF housing grant for first-timer families is up to $190,000 for resale flats.
2. Increased Buyer’s Stamp Duty (BSD) rates on Residential Properties
The increased Buyer’s Stamp Duty (BSD) will impact property values above $1.5 million. Property value above $1.5 million and up to $3 million will be taxed at 5% (previously 4%). Any remaining value above $3 million will then be taxed at 6%.
3. Increased Buyer’s Stamp Duty (BSD) rates on Non-Residential Properties
For non-residential properties, the portion of the value of the property in excess of S$1 million and up to S$1.5 million will be taxed at 4 per cent, while that in excess of S$1.5 million will be taxed at 5 per cent, up from the current rate of 3 per cent. These changes are expected to affect 60 per cent of non-residential properties.
The recent changes by the government on the real estate industry lightens the burden on the lower income families and shifts taxation towards higher value properties. What do you think of these measures?
On another note, our question bank has been updated to reflect all these changes, especially for those taking the exam in 2023. Grab your RES practice pack and familiarise yourself with the latest changes today!