Your search results

Top 5 : Reasons why Freehold Properties Cost More in Singapore

Posted by Jayson Ang on February 21, 2025

| 0

Freehold properties, a term often heard in the real estate market, are properties that are “free from hold” of any entity other than the owner. This means that the owner enjoys complete ownership for perpetuity and can use the land for any purposes, as long as it is in accordance with local regulations. In Singapore, freehold properties are highly sought after due to their perceived value and the freedom they offer. However, these properties come with a higher price tag.

Here are the top five reasons why freehold properties cost more in Singapore.

1. Perpetual Ownership:

The most significant advantage of owning a freehold property is the perpetual ownership it offers. Unlike leasehold properties, which have a fixed term of ownership, freehold properties can be owned indefinitely. This means that they can be passed down to future generations, adding to their appeal and consequently, their cost.

2. Freedom and Flexibility:

Freehold properties provide owners with more freedom and flexibility compared to leasehold properties. Owners have complete control over their property and can use it for any purpose that complies with local regulations. This level of freedom and control is a luxury that many are willing to pay a premium for.

3. Lower Risk of Government Acquisition:

In Singapore, freehold properties cannot be taken back by the government, unlike leasehold properties. This lower risk of acquisition adds to the allure of freehold properties and contributes to their higher cost.

4. High Capital Investment:

Purchasing a freehold property requires a high capital investment. The average price for islandwide freehold condominiums in Singapore is $2,031 per square foot, which is 16.2% higher than 99-year leasehold condominiums. This high initial cost is a significant factor in the overall higher cost of freehold properties.

5. Maintenance and Repair Responsibilities:

As a freeholder, you are responsible for all repairs and maintenance of the property. While this may seem like a disadvantage, it also means that you have complete control over the upkeep of your property, which can be seen as a benefit by some and thus, adds to the cost.

While freehold properties in Singapore come with a higher price tag, the benefits they offer such as perpetual ownership, more freedom and flexibility, lower risk of government acquisition, and complete control over maintenance and repairs make them a worthwhile investment for many. However, potential buyers should carefully consider these factors and their financial capability before deciding to invest in a freehold property.

If you would like to arrange a viewing appointment with us in Singapore, do send us a DM here

Should You Buy, Sell or Wait?

If you’re reading this, you must be trying to figure out the best course of action right now: is it the right time to buy or sell?

It’s difficult to give an exact answer since everyone’s situation is unique and what works for one person may not necessarily work for you.

I can bring you a wealth of on-the-ground experience and a data-driven approach to provide clarity and direction. From beginners to experienced investors, our top-down, objective approach will help you on your real estate journey.

I can help you by:

Offering Strategic Real Estate Advice – I can help create a comprehensive plan to guide you through your property journey.
Connecting Your Home with the Perfect Buyers – Through stunning visuals, an effective communication strategy, and an in-depth knowledge of the market, we’ll ensure your home is presented in the best possible way to fulfill your goals.

You May Also Like …

Mandarin Top 5

Maximize Your Property Investment: 5 Questions to Ask Your Real Estate Agent in Singapore

Jayson Ang – March 23, 2024 –

Buying a property in Singapore can be a daunting task, especially for first-time buyers. It is important to have a...

All Buying Tips Opinion

Most Buyers Miss This Condo Checklist Item — Until It’s Too Late

Jayson Ang – April 18, 2026 –

TLDR When buying a condo, many overlook the importance of the Management Corporation Strata Title (MCST) and its finances. Beyond...

Mandarin Top 5

Top 5 Singapore Must-Dos: Unforgettable Experiences Await!

Jayson Ang – June 29, 2025 –

Singapore, a vibrant city-state known for its diverse culture and world-class attractions, offers an array of unforgettable experiences for both...

All Buying Tips Opinion

What Is The Best Location To Purchase A House To Ensure Your Child Has The Highest Probability Of Attending A Well-Renowned Primary School?

Jayson Ang – October 25, 2023 –

TLDR Parents often seek homes within 1km of desired primary schools to increase enrollment chances. Consider oversubscription rates and population...

All Blog Posts Opinion

Unlock the Potential of Your Home: 5 Reasons to Start Selling Now

Jayson Ang – June 6, 2023 –

TLDR When considering selling your home, several key indicators can help you determine if it's the right time to make...

Mandarin Top 5

Top 5 Factors to Consider When Choosing a Property in Singapore

Jayson Ang – May 15, 2023 –

The top 5 factors to consider when choosing a property in Singapore. Whether you're a seasoned investor or a first-time...

All Buying Tips Opinion Selling Tips

What Impact Will Decreasing US Interest Rates Have on Homeowners in Singapore?

Jayson Ang – July 25, 2025 –

TLDR The Fed’s recent 0.5% rate cut is likely to lower Singapore’s SORA-based home loan rates, benefiting those with bank...

All Buying Tips

Sell High Buy High : Will This Still Make You a Profit?

Jayson Ang – December 7, 2022 –

TL;DR Summary: Timing of Property Sale: Selling high and buying high may seem counterintuitive, but understanding market dynamics can...

All Blog Posts Buying Tips Opinion

Freehold Properties vs Leasehold Properties: Which is Better?

Jayson Ang – June 26, 2023 –

TLDR When it comes to property investments in Singapore, understanding the differences between leasehold and freehold properties is crucial. This...

All Buying Tips

Integrated Developments: Do They Live Up to the Hype? Check Out These Five Factors

Jayson Ang – March 3, 2024 –

TLDR Integrated developments in Singapore offer a one-stop solution for residents by combining residential, commercial, and transport elements in one...