Disclaimer (Block 1): This article is for educational purposes only and is intended to assist CEA-registered property agents in understanding regulatory frameworks. It does not constitute financial, tax, or legal advice. LEVR's calculations are indicative only. Always verify rates and eligibility with your bank, HDB, CPF Board, or a licensed financial advisor before advising clients.
What Is Conveyancing?
Conveyancing is the legal process of transferring ownership of immovable property from seller to buyer. In Singapore, conveyancing for private property is handled by lawyers admitted to practise as advocates and solicitors. The process runs from the exercise of the OTP through to registration of the buyer as the new owner in the Singapore Land Authority (SLA) land register.
Both buyer and seller appoint their own separate solicitors. The two sets of solicitors correspond with each other and with the relevant authorities (CPF Board, HDB where applicable, IRAS, SLA) on behalf of their respective clients.
Stage 1: OTP Exercise — Buyer's Solicitor Takes Over
When the buyer exercises the OTP (pays the 4% exercise money and signs the acceptance), the OTP is converted into a binding SPA. The buyer must immediately engage a conveyancing solicitor if they have not done so already.
The buyer's solicitor:
- Receives the exercised OTP and any accompanying documents from the buyer
- Conducts an initial review of the OTP terms to identify any non-standard conditions or concerns
- Issues a formal acknowledgment to the seller's solicitor confirming exercise and requesting the draft SPA
- Advises the buyer on their CPF usage, BSD and ABSD payable, and financing timeline
Stage 2: SPA Drafting and Exchange
The seller's solicitor drafts the formal SPA based on the OTP terms. For private resale property, the SPA follows the Law Society of Singapore standard conditions of sale. The seller's solicitor sends the draft SPA to the buyer's solicitor for review.
The buyer's solicitor reviews the SPA and may raise queries or request amendments. Once both sides agree on the terms, the SPA is executed (signed by both parties). Completion of the SPA exchange starts the formal conveyancing clock — the completion date is specified in the SPA (typically 10–12 weeks from OTP exercise for private resale).
Stage 3: Requisitions on Title
After the SPA is executed, the buyer's solicitor raises requisitions on title — formal written questions addressed to the seller's solicitor about the property's legal status. Standard requisitions cover:
- Confirmation that the seller has good title and is free to sell
- Outstanding mortgages, charges, or encumbrances on the property
- Any pending planning approvals, URA notices, or conservation orders
- Status of any existing tenancy agreements — are they being vacated before completion?
- Road and drainage reserves, URA road interpretation plans
- Outstanding service and conservancy charges (for strata properties)
- SLA search results confirming the registered owner and title details
The seller's solicitor must respond to requisitions satisfactorily before completion can proceed. If there are title defects (e.g., an unresolved legal charge, a boundary dispute), the seller must resolve them or the buyer may have grounds to rescind the SPA.
Stage 4: BSD and ABSD Payment
The buyer's solicitor is responsible for computing and paying Buyer's Stamp Duty (BSD) and Additional Buyer's Stamp Duty (ABSD) to IRAS on behalf of the buyer. Stamp duties must be paid within:
- 14 days of the date of the instrument (SPA) if signed in Singapore
- 30 days if signed overseas
The buyer's solicitor will request the stamp duty funds from the buyer early in the conveyancing process. Failure to pay on time attracts IRAS penalties.
Stage 5: CPF Board and Mortgage Processing
If the buyer is using CPF to fund part of the purchase price, the buyer's solicitor liaises with CPF Board to obtain CPF Board's approval for the withdrawal. CPF Board processes the request and confirms the amount available for withdrawal.
Simultaneously, if the buyer has a bank mortgage, the bank's in-house solicitor (or a panel law firm) processes the mortgage documentation. The buyer's solicitor coordinates with the bank's solicitor to ensure the mortgage is in place for completion.
Stage 6: Completion Account
Shortly before the completion date, the seller's solicitor prepares the completion account — a statement showing the precise amount to be paid by the buyer to the seller at completion. The completion account typically includes:
- Purchase price
- Less: Option fee paid
- Less: Exercise money paid
- Less: CPF funds confirmed for withdrawal (credited at completion)
- Less: Bank loan amount (paid directly to seller's solicitor by the bank at completion)
- Add/Less: Adjustments for property tax (apportioned between buyer and seller to the completion date)
- Add/Less: Maintenance fees or MCST charges (apportioned)
- = Net cash balance payable by buyer at completion
The buyer's solicitor reviews and confirms the completion account. Any disputes about apportionments are resolved between the two sets of solicitors before completion.
Stage 7: Completion and Title Registration
On the completion date, the buyer pays the balance purchase price (cash portion) to the seller's solicitor. The seller's solicitor:
- Receives the balance purchase price from the buyer's solicitor
- Releases the transfer documents (instrument of transfer) to the buyer's solicitor
- Redeems the seller's outstanding mortgage using the sale proceeds
- Accounts to the seller for the net proceeds (after CPF refund, mortgage redemption, and legal fees)
The buyer's solicitor lodges the instrument of transfer with SLA to register the buyer as the new owner. SLA registration is typically done electronically and completed within days of completion.
Keys are handed over to the buyer (or the buyer's agent) on the completion date, typically after the balance purchase price is confirmed received by the seller's solicitor.
| Stage | Who | Typical Timing |
|---|---|---|
| OTP exercise | Buyer engages solicitor | Day 0 |
| SPA drafting and exchange | Seller's solicitor drafts; buyer's solicitor reviews | Weeks 1–2 |
| Requisitions on title | Buyer's solicitor raises; seller's solicitor responds | Weeks 2–6 |
| BSD/ABSD payment | Buyer's solicitor pays IRAS | Within 14 days of SPA |
| CPF and mortgage processing | Buyer's solicitor with CPF Board / bank | Weeks 3–8 |
| Completion account | Seller's solicitor prepares; buyer confirms | 1–2 weeks before completion |
| Completion + keys | Both solicitors; keys to buyer | ~10–12 weeks from OTP exercise |
| SLA title registration | Buyer's solicitor lodges with SLA | Days after completion |
Legal Fees
Conveyancing legal fees are not regulated — they are agreed between the client and the law firm. However, the Law Society publishes a scale of costs as a benchmark. For a private resale transaction, typical legal fees (excluding disbursements) range from S$1,800 to S$3,500+ depending on complexity and property value. Disbursements (SLA registration fees, CPF processing fees, title searches, stamp duty) are charged separately at cost.
Both buyer and seller each pay their own solicitor's fees. Neither party pays the other's legal costs (unless a breach of contract claim results in a court order for costs).
Frequently Asked Questions
Q: Can the same solicitor act for both buyer and seller?
A: Generally no. Under the Legal Profession (Professional Conduct) Rules, a solicitor cannot act for both buyer and seller in a conveyancing transaction due to the conflict of interest. Each party must have their own independent solicitor. The only narrow exceptions relate to related parties or simple transactions where no conflict exists — but for standard property transactions, separate solicitors are required.
Q: Does the agent recommend which solicitor to use?
A: Agents can suggest a panel of solicitors, but should make clear that the choice belongs to the client. Agents should not receive referral fees or kickbacks from solicitors for referrals — this would be a conflict of interest under CEA rules. The client should select a solicitor on the basis of fees, experience, and trust.
Q: What happens if requisitions on title reveal a problem?
A: If the buyer's solicitor raises a requisition that the seller's solicitor cannot satisfactorily answer (e.g., there is an unresolved legal charge, an encroachment, or a planning notice), the buyer's solicitor will advise the buyer on their options. Depending on the issue, the buyer may seek a price reduction, request the seller to rectify the defect before completion, or in serious cases, rescind the SPA.
Q: When should the buyer engage a solicitor?
A: Ideally before exercising the OTP. The buyer's solicitor should review the OTP before exercise to flag any non-standard terms. At minimum, a solicitor must be engaged immediately upon OTP exercise — the 14-day BSD payment deadline and subsequent conveyancing steps begin running from that point. Delaying solicitor engagement compresses the timeline for CPF and mortgage processing.
Q: What is the difference between the SPA and the OTP?
A: The OTP (Option to Purchase) is a unilateral contract granting the buyer the option to purchase the property on specified terms for an option period. The buyer pays the option fee (typically 1%) for this right. The SPA (Sale and Purchase Agreement) is the bilateral contract formed when the buyer exercises the OTP — it is legally binding on both parties. The SPA typically incorporates the Law Society standard conditions and specifies completion date, title conditions, and payment terms.
Disclaimer (Block 3): LEVR's calculator outputs are estimates based on inputs provided and current regulatory parameters as known at time of publication. They are not a guarantee of borrowing capacity, stamp duty liability, or CPF eligibility. Regulatory thresholds and rates may change. Always verify with IRAS, your bank, or a licensed financial advisor before making financial decisions.