19/06/2026
π BUDGET 2026/2027 β KEY MEASURES FOR PROPERTY BUYERS & HOMEOWNERS π’
β
1. First-Time Buyers Get More Exemption
β’ Buying bare land? Exemption increased from Rs 2.5 million to Rs 3 million β you pay zero tax on the first Rs 3M.
β’ Buying a house or apartment? Exemption increased from Rs 5 million to Rs 6 million β you pay zero tax on the first Rs 6M.
***β’ Agricultural land owners can now also benefit from the first-time buyer scheme.***
β
2. Social Housing Transfers Fully Exempted
β’ Deeds transferring property from NHDC or NSLD to co-owners will be fully exempt from Registration Duty, Land Transfer Tax, and Tax on Transfer of Leasehold Rights.
π« 3. Changes to Foreign Ownership on State Land
β’ The Government will stop granting new G+2 leases that allow sale of apartments on State lands to foreigners.
β’ A new 10% special levy will be introduced on the sale of existing G+2 apartments built on State land β payable by the vendor.
ποΈ 4. More Support for Middle-Income Families
β’ Rs 150 million allocated to develop 100 serviced plots for middle-income families.
β’ State land will be used to build 1,000 housing units for middle-income families through public-private partnerships.
π 5. Review of EDB Property Schemes
β’ Duties and taxes on residential properties under EDB schemes will be reviewed.
β 6. Agricultural Morcellement Scheme Discontinued
β’ The Integrated Modern Agricultural Morcellement Scheme will be discontinued due to inactivity.
π 7. Simplification of Morcellement Rules
⒠Requirements related to Association Foncière and Green Forest will be removed to simplify processes.
β’ However, the 2% green space rule for developments of more than 20 lots will remain in place.
π In short:
β’ More tax relief for first-time buyers.
β’ Tighter rules on foreign ownership of State land G+2 apartments.
β’ More support for middle-income families.
β’ Simpler procedures for developers.
If you are planning to buy your first property, now is a good time to understand these changes.
For any other queries, please call on 5751 6925