The three tenure types
Freehold has no expiry — the most straightforward, and usually the most expensive on a psf basis. 999-year leasehold is old colonial-era tenure that's functionally freehold for any realistic holding period. 99-year leasehold is the most common structure in Singapore, covering the vast majority of HDB flats and a large share of condos, simply because land here is scarce and the government leases rather than sells most of it outright.
A 99-year lease starts counting down from the date it's granted — not from when you buy the unit — so a "new" 99-year-leasehold condo launched today and a 20-year-old one both decay at the same underlying rate, just from different starting points.
Why remaining lease matters more than the headline price
Value doesn't decline in a straight line as the lease runs down — it holds up reasonably well for a long stretch, then drops off faster once the remaining lease starts bumping into financing thresholds. Those thresholds are what actually bite, more than the number itself:
| Remaining lease covers youngest buyer to | Bank loan (LTV) | CPF usage |
|---|---|---|
| Age 95 or beyond | Standard LTV available | Full use, up to the Valuation/Withdrawal Limit |
| Under age 95, but 20+ years remaining | Reduced LTV | Pro-rated downward |
| Under 20 years remaining | Very difficult to obtain, especially under ~30 years | None usable |
These are MAS and CPF Board rules on remaining lease vs. buyer age, not fixed to a flat "60 years" figure as often assumed — the actual test is whether the lease covers the youngest CPF-using buyer to age 95. Rules are revised periodically; verify current thresholds with CPF Board or your bank.
Freehold vs leasehold: which wins on paper
Freehold generally commands a price premium and never faces the financing cliff above — but it isn't automatically the better buy. Much of Singapore's best-located private housing is 99-year leasehold simply because that's what the land supply looks like, and a well-located leasehold unit can outperform a poorly located freehold one over any given holding period.
En bloc potential also cuts differently by tenure: an ageing leasehold development is often a stronger en bloc candidate, since a successful collective sale resets the site to a fresh 99-year lease for the developer, unlocking value that individual owners couldn't otherwise recover as the lease ran down. Freehold sites can go en bloc too, but that lease-reset isn't part of the equation.
Which matters more depends on your holding period
- Buying to hold for decades, or to pass down: freehold or 999-year tenure avoids ever hitting the financing cliff, which matters more the longer your intended horizon.
- Buying with a 15–25 year horizon, or for rental yield: a leasehold unit at a lower entry price can still work well, as long as you plan to exit before the remaining lease gets short enough to spook your buyer's bank or CPF usage.
- Considering an older leasehold unit specifically: check the actual remaining lease against the age-95 test above before assuming a price discount is a bargain — restricted financing shrinks your future buyer pool too.
Get tenure-specific numbers
Tell me a little about what you're comparing and I'll check the actual remaining lease, financing implications and exit considerations for the specific units you're looking at.