planOlder condos get a lower en-bloc bar, but no ABSD break
The new consent thresholds could affect about 20,000 homes, while replacement-home buyers still face existing tax rules.
About 20,000 private homes across close to 250 older developments sit on one side of a major collective-sale change. Under Singapore’s Land Titles (Strata) (Amendment) Act 2026, developments aged 40 to 59 will need 70% owner consent for an en-bloc sale, while those aged 60 or more will need 65%.
That lower bar could make collective sales more achievable. But it also exposes a costly timing problem: owners who buy a replacement home before selling their existing one may still have to pay Additional Buyer’s Stamp Duty (ABSD). Despite calls for a concession, no special ABSD relief for private en-bloc owners has been announced.
What the collective-sale law changes
Before the amendment, developments aged 10 years or more generally needed consent from owners holding at least 80% of both the share value and total strata area. The new age-based structure keeps that threshold for developments aged 10 to 39, but reduces it for older projects:
| Development age | Required consent by share value and area |
|---|---|
| Under 10 years | 90% |
| 10 to 39 years | 80% |
| 40 to 59 years | 70% |
| 60 years or more | 65% |
The scale is significant. In his 8 September 2026 Second Reading speech, Minister for Law and Second Minister for Home Affairs Edwin Tong SC said roughly one in 20 non-landed private homes—around 20,000 units in close to 250 developments—were already at least 40 years old.
A lower threshold does not mean those homes have been sold, or even that their owners will start an en-bloc attempt. It simply means fewer signatures are needed to meet the statutory consent requirement if a development pursues a collective sale.
The law also tightens parts of the process. At least 35% support will be needed to call a meeting to form a collective sale committee; the period for collecting signatures will shrink from 12 months to six; and the restriction following a failed attempt will increase from two years to three.
These safeguards matter to owners who oppose a sale. An en-bloc exercise remains a formal process involving owner votes and, where unanimity is absent, the required approval process—it is not an automatic eviction notice.
The Act is listed as Act 20 of 2026, but the supplied official records do not establish when its relevant provisions commence. Owners should therefore confirm that operative date before relying on the new thresholds.
Why buying the next home can create a tax problem
An owner whose development secures a collective-sale buyer may not receive the sale proceeds immediately. Yet waiting until the entire process is complete before finding another home can leave the household with a tight moving window.
Buying first offers more certainty over where the family will live, but it can make the replacement property count as an additional home for ABSD purposes. A Singapore Citizen who still owns one residential property generally faces 20% ABSD when buying the next one.
The cash-flow effect can be substantial. On a replacement home costing $2 million, 20% is $400,000. That is a simple calculation rather than a quote or universal final tax bill, but it shows why even a refundable amount can be difficult to fund upfront.
Selling first avoids second-property ABSD for a Singapore Citizen buying another home, assuming the person owns no other residential property by then. The trade-off is practical rather than tax-related: the owner may need temporary accommodation or may feel pressured to complete the next purchase quickly.
This produces three broad routes for an affected owner:
- Sell first, then buy. This may avoid second-property ABSD but can create a housing gap.
- Buy first and pay ABSD. This secures the replacement earlier but requires considerably more upfront money.
- Buy first and seek a refund. This is available only where the purchaser meets an existing remission scheme’s detailed conditions.
The collective-sale amendment changes the voting maths. It does not, by itself, change any of these tax routes.
Who may qualify for an existing ABSD refund
A married couple may qualify for remission when purchasing their replacement home jointly if at least one spouse is a Singapore Citizen. Among other conditions, the couple must dispose of their first residential property within six months of buying the replacement property, or within six months of the Temporary Occupation Permit or Certificate of Statutory Completion date when buying an uncompleted home, whichever applies.
The six-month disposal period is strictly applied. IRAS says extensions are not granted, and buyers who are uncertain about meeting the conditions should sell their existing property before purchasing the next one.
This is not a general refund for everyone displaced by a collective sale. A single owner cannot use a remission designed for jointly purchasing married couples, while purchase structures that fall outside the conditions may also fail to qualify. Permanent residents face different ABSD rates and do not automatically gain relief because their current home is involved in an en-bloc sale.
There is a separate concession for qualifying single Singapore Citizens aged 55 or above who buy a lower-value replacement private home, subject to conditions. It applies to eligible second-property purchases made from 16 February 2024, but it is again a targeted concession—not en-bloc relief for all owners.
For households that do qualify for remission, “refundable” should not be confused with “no payment required”. They may still have to fund the ABSD first and recover it later after completing the disposal and application process.
The ABSD concession remains only a proposal
An opinion commentary published on 19 October 2026 argued that owners affected by collective sales of older developments should receive ABSD concessions when buying replacement homes. The proposal addresses a real mismatch: the law may make an en-bloc sale easier to approve, while the tax system can still penalise an owner who buys before the old home is legally disposed of.
But the distinction is crucial. Parliament’s collective-sale changes are enacted legislation; the suggested ABSD concession is not an announced government policy. Existing developer ABSD remission arrangements are also separate from the ABSD paid by an individual purchasing a replacement home.
For owners in ageing condos, the immediate consequence is therefore mixed. A development may have a clearer path towards securing the required en-bloc consent, especially once it crosses 40 or 60 years. Individual households must still plan around the ordinary ABSD rules unless they fit an existing remission category.
The vote may become easier. Funding the next home has not.
