Singapore New Launch Condo Property Tax Guide 2026 — Annual Value and Progressive Rates

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Buying a new launch condo in Singapore is just the start. Once you own a property, you’ll pay property tax every year — and the rates changed significantly in 2023 and 2024. This guide explains how Annual Value is assessed, what rates apply to owner-occupiers versus investors, and what to expect for 2026 and beyond.

What Is Property Tax?

Property tax is an annual tax levied on all properties in Singapore — residential and non-residential. It is based on the Annual Value (AV) of the property, which is the estimated gross annual rent the property can fetch if rented out, excluding furniture and maintenance fees.

Property tax is payable even if you live in the property and do not rent it out. IRAS (Inland Revenue Authority of Singapore) is responsible for assessing and collecting property tax.

How Is Annual Value (AV) Determined?

IRAS determines your property’s AV by looking at comparable rental transactions in the same development or nearby similar properties. Key factors include:

• Location — properties in prime districts (CCR) command higher AV
• Unit size — larger floor area = higher AV
• Recent comparable rentals — IRAS uses actual market rental data
• Development facilities — full-facility condos may attract higher AV

For new launch condos, IRAS will assess AV based on comparable completed condos nearby. Your AV will be reviewed periodically — typically when there is a significant shift in rental market conditions.

Owner-Occupier Property Tax Rates 2026

If the property is your primary residence and you apply for owner-occupier status, you enjoy lower progressive rates:

Note: Owner-occupier rates are applicable from 1 Jan 2024 onwards (raised from prior rates as part of Budget 2022 changes).

Non-Owner-Occupier (Investor) Rates 2026

If you own the property as an investment (renting out or left vacant), higher progressive rates apply:

Investors with high-AV properties (luxury condos, large units) can face significant annual property tax bills at these rates.

Worked Example: New Launch Condo AV $36,000

Suppose your new condo has AV = S$36,000:

Owner-Occupier:

• First $8,000 × 0% = $0
• Next $22,000 × 4% = $880
• Remaining $6,000 × 6% = $360
• Total: $1,240/year

Non-Owner-Occupier (Investor):

• First $30,000 × 12% = $3,600
• Remaining $6,000 × 20% = $1,200
• Total: $4,800/year

This difference of ~$3,560/year illustrates why applying for owner-occupier status is important if you are living in the property.

How to Apply for Owner-Occupier Tax Rates

You must apply to IRAS — it is not automatic. Steps:

1. Log in to myTax Portal at mytax.iras.gov.sg
2. Go to “Property” → “Apply for Owner-Occupier Tax Rates”
3. Submit the application — takes effect from the next billing cycle

Important: You can only claim owner-occupier rates for one property — the one you reside in. If you own multiple condos, apply for the one you actually live in.

Property Tax for New Launch Condos Under Construction

For new launches still under construction (BUC — Building Under Construction), property tax is typically minimal or zero until the Temporary Occupation Permit (TOP) is issued and IRAS assigns an AV. Once TOP is obtained and you take key, IRAS will assess your AV and begin billing property tax.

Tips to Manage Your Property Tax Bill

• Apply owner-occupier status immediately after moving in — don’t wait
• Check your AV annually — if it seems too high, you can appeal to IRAS
• Budget for non-owner-occupier rates during periods when the property is tenanted or vacant (between tenancies)
• Pay by GIRO — IRAS offers instalment plans to spread the annual bill

Impact on Your Investment Calculations

When computing gross rental yield for a new launch condo, remember to deduct property tax from gross rental income. At investor rates on a $36,000 AV property, you’re paying ~$4,800/year — this can reduce net yield by 0.3–0.6% depending on purchase price. Always model net-of-tax returns when evaluating investment condos.