Singapore Revises Housing Developer Regulatory Rules, Effective December 31

en.Wedoany.com Reported - On October 30, the Urban Redevelopment Authority (URA) and the Building and Construction Authority (BCA) of Singapore jointly issued a circular on revisions to housing developer regulatory rules, confirming the implementation of new requirements for residential project information disclosure and sales contracts starting December 31. The revisions cover sales materials for commercial residential properties, construction quality records, property maintenance fees, building defect liability periods, and compensation mechanisms for project design changes, and apply to licensed housing developers.

The new rules require developers to provide more complete project information before collecting booking fees from homebuyers. Project information in sales advertisements must be consistent with drawings approved by the competent authority; site plans must indicate the locations of facilities such as refuse chute rooms and ventilation shafts; and floor plans must specify the location and number of air-conditioner ledges. For landed housing, the layout of spaces such as bedrooms, kitchens, and bathrooms on each floor must also be clearly indicated in the drawings.

Developers must also provide homebuyers, through prescribed information disclosure documents, sales brochures, and official websites, with the quality records of their past projects under the Construction Quality Assessment System (CONQUAS). The maximum property maintenance fee standard for the project must be included in the homebuyer information document, the option to purchase document, and the sale and purchase agreement.

Regarding sales contracts, the defect liability period for common areas is extended to 12 months after the prescribed commencement date, or 6 months after the first general meeting of owners, whichever is later. The prescribed commencement date is the 35th day after receipt of the payment notice related to the Temporary Occupation Permit, or the date on which vacant possession of the unit is actually delivered, whichever is earlier. The original 12-month defect liability period for individual residential units remains unchanged and continues to be calculated from the date of actual delivery.

Developers must carry out construction in accordance with approved building drawings, the technical specifications in the sale and purchase agreement, and the proportionally drawn floor plans and site plans provided to homebuyers before collecting booking fees. Modifications involving the relevant drawings must in principle obtain the consent of homebuyers, except for modifications made to comply with new requirements imposed by the competent authority after the issuance of the option to purchase document.

Where a developer makes material modifications to approved drawings after selling a unit and the sale and purchase agreement is rescinded due to the homebuyer's objection, the developer must, in addition to refunding the progress payments already made and the applicable stamp duty in accordance with current regulations, also compensate for housing loan interest, loan cancellation fees, and legal costs, with the total amount of such additional compensation capped at 5% of the purchase price of the housing unit.

The revised option to purchase document and sale and purchase agreement apply to residential projects first launched for sale on or after December 31, 2026, and for which no option to purchase document has previously been issued. Projects for which an option to purchase document has already been issued before the effective date may continue to use the original contract text for remaining unsold units under revised conditions approved by the competent authority. The new rules also cover Executive Condominium projects built by licensed developers.