What is the Market Rate and where do I go about Home Rental?

Requirements for Eligibility

To rent a home/ bedroom in Singapore, tenants must possess the eligibility criteria given below if they are not Singapore citizens or permanent residents. If you are a tourist, you are not allowed to be a tenant in Singapore.

• A valid employment pass
• Work permit such as an S-Pass
• A Student Pass
• A Dependent Pass
• A long-term social visit pass

Onwards from the date of tenants’ application, all passes must have six months validation. Along with this, people from the following sectors with work permit holders must be Malaysian.

• Construction
• Manufacturing
• Marine
• Processing

Eligibility criteria for Property Owners

Eligibility criteria are also applied for landlords. The entire HDB flat can only be rent to Singapore citizens and not others. In addition to this, five years minimum occupation period (MOP) must be met before the whole apartment can be rent out.

In contrast, HDB bedrooms can be sublet by both Singapore citizens and Singapore permanent residents but it is only applied to three-rooms or bigger flats. Within the seven days of subletting commencement date, they must register any subletting with HDB.

Renting Procedures

1. Consult with a Property Agent
   The first step is to engage with a competent property agent that will protect your interests, assist you all over the purchase, and secure you the best possible price using his expertise. As compared to directly rent a house through landlord by yourself, hiring an agent with a better understanding of Singapore can provide you a solid advice when it comes to property choice.
2. How much agents should be engaged in the house sourcing process?
   Use only one agent at a time. The database of property listing is shared by most property companies in Singapore. If you go for many agents, you may end up conducting the exact site inspection for many times. It may also lead you to embarrassment and confusion. The benefit of using one agent is time saving, for both of you and your agents. The agent will also understand your requirements and needs better after a few site inspections. But if the appointed agent is not competent, unconcerned, and not showing you the right results, looking for a different agent is the only option.
3. Site and cost of flat/house
   The location of your home rental is crucial. Your rental home location will decide the convenience enjoyed by you and your family. The house/apartments and areas that most suit you are mainly evaluated by price or by budgeting yourself.
4. Credentials needed
   Following documents needed to be prepared when you decide to occupy a property:
   • Photocopied employment pass
   • Photocopied passport
   • One month’s rental for the good-faith deposit

   After that, your agent starts preparing the necessary documents like the Letter of Intent or Tenancy Agreement.

5. Letter of Intention
   Letter of intent or LOI refers to a piece of information that proposes your leasing attention and requirements by you to landlords. You should consider the points mentioned below:
   1. Repatriate Clause
      If you have lost your employment or decided to move to other countries, this clause will safeguard you in such a situation. By giving two months’ notice, you’ll be able to terminate the lease, and the security deposit will be refunded to you. In some cases, only if the lease is more than a year, then diplomatic clause will be accepted by landlords.
   2. Booking deposit
      Good faith deposit or booking deposit is generally an amount of one month’s rent. After the letter of intent is signed, and the deposit is received by the landlord, he/she will not be able to rent out his/her property to another party. After the tenancy agreement is signed, the booking deposit will become a part of an advance rental or security deposit.
   3. Security fees/ deposit
      In general, the security deposit amount is indicated in the LOI. One month’s rent is usually the standard practice in Singapore. After signing of the tenancy agreement, a security deposit need to be settled. It’ll be refunded without interest once the leasing period ends. In case of costs and expenses arising from breaching any of the agreements stated in tenancy, the landlord reserves the right to deduct from the deposit.
   4. Terms and condition of rent
      The standard lease period in Singapore is one year or more, without or with the option of renewing the lease. Renewal of lease is only possible for another one to two years. Landlord’s usual requirements for lease renewal option are given an advance 2 to 3 months’ notice of your intention to renew. Leases less than one year are most likely rejected by landlords.

Your Requirements

You must write your requests and requirements clearly in the LOI. Example of request like a new sofa, a new washing machine or a new bed, etc. Once the landlord has signed the LOI, the letter bound the landlord to meet your requests.

1. Fully Furnished (F/Furn) or Partially Furnished (P/Furn) 

   The house that you rent may be fully furnished with all white goods (dryer, washer, refrigerator etc.), furniture and all necessary electronic equipment.

   Apartments that are partially furnished or houses may come with only white goods, lighting, curtains, and other loose items. You can request a fully furnished house or get your items of requirements even when the house is partially furnished during viewing. Negotiation on all these criteria will determine the definite rental amount.