URA Caveats – Useful Insights Into What Is It For when buying and selling private properties in Singapore

When venturing into the dynamic and often complex world of private property transactions in Singapore, understanding the intricacies involved is crucial. One such aspect, often overlooked yet deeply consequential, is the URA caveat. This article will demystify the purpose and implications of URA caveats for both property buyers and sellers.

What is a URA Caveat and why is it important?

A URA caveat is a legal document lodged with the Singapore Land Authority (SLA) to protect the interest of a person in a property transaction. This becomes imperative when understanding the Singapore property market’s progression and complexities. Now, let’s delve deeper into the essence of a URA caveat.

Definition of a URA Caveat

A caveat lodged with the URA (commonly referred to as a URA caveat) is a legal document that serves to protect your interest in a property transaction. It essentially serves as a notice or warning to anyone else who attempts to deal with the property, such as by buying or selling it, that there is a potential claim or interest that must be resolved before the property can be transferred.

Purpose of a URA Caveat

The purpose of a URA caveat is to safeguard an individual’s unregistered interest in a property. A caveat serves to prevent someone else from buying it. It acts like a reservation on your property. Once you gain approval for your URA caveat, you are now in a position to legally keep the seller from making a deal with another buyer.

Why is a URA Caveat important for property transactions?

A URA caveat holds vital importance in property transactions as it safeguards your interest in a property, ensuring you get exclusive rights as the buyer of the property after signing the option to purchase (OTP). It ensures that no one else can claim the property until the title is legally transferred to you.

Is it Compulsory to lodge a URA caveat?

It is not mandatory to lodge a URA caveat.

Can I lodge a caveat myself?

Not likely. You need a lodgement account.

Who can lodge a caveat?

After exercising your Option to Purchase, or signing the Sale & Purchase Agreement, your conveyancing lawyer will immediately help you lodge a caveat.

A bank who extends loan for your property purchase can also lodge the caveat.

The Central Provident Funds can lodge the caveat if you are using your CPF monies for your property purchase.

How to lodge a URA Caveat?

Lodging a URA caveat is made convenient through the URA’s online portal. A conveyancing lawyer commonly facilitates it on the buyer’s behalf. This legal process involves notifying the SLA about the buyer’s interest in a property after an OTP is agreed upon.

How can you find details of a caveat?

Go to SLA INLIS https://app.sla.gov.sg/inlis and pay a nominal fee of $5.25 you can download a caveat.

What details are in a caveat?

• Name of the property’s legal owner
• Lot area (exact size) of the property
• Property tenure
• Details of all the caveats lodged
• Whether or not the property has a mortgage on it
• Any encumbrances on the property that could keep it from being legally sold

How can I search for URA Caveats?

Linking back to URA’s self-service portal, the platform allows users to search for caveats at a nominal fee. The process is straightforward, yet the information procured can provide considerable insights into property transactions.

Using the URA Caveats portal

The URA Caveats portal provides comprehensive transaction data and details about private residential property transactions where a caveat has been lodged. It’s a treasure trove of information, from property type to sale details.

Process for searching URA Caveats

To search for caveats, one must log in to the URA caveats portal, enter the relevant property details, and proceed with the search. This leads to a list of properties fitting the criterion with all associated caveats.

What information can be found in a URA Caveat search?

A URA caveat search brings forth detailed information on the property, including the transaction date, price, unit area, buyer’s profile, and much more. It aids buyers in making informed decisions and understanding the property’s history better.

Are all private properties listed in URA Caveats?

URA caveats cover details of transactions for all private properties in Singapore. Entities interested in these properties can learn useful insights about the transactions by referring to these caveats.

Can I find caveats for HDB properties in URA Caveats?

URA caveats primarily pertain to private residential properties. However, there are other platforms, namely the HDB’s Resale Flat Prices portal, where one can find caveats related to HDB resale transactions.

What is the process for lodging a caveat on a property?

At the time of the property purchase and before the completion of the transaction, it is a common practice for the buyer or the buyer’s lawyer to lodge a URA caveat upon the property. What follows is a brief on this procedure.

Why is a caveat important to a buyer?

A caveat tells a potential buyer if anyone else already has priority on that unit. Buyer saves time from looking at unit that already has a caveat lodged. Caveats provide potential buyers with most up to date transacted price and allow buyers to make their offer competitively and reasonably.

Why is a caveat important to a seller?

When a buyer lodge a caveat, it provides a seller assurance that the deal is significantly secured. The seller could start looking at or offering for another property. Caveats provide potential sellers with a view of actual transacted prices to allow seller to price their property competitively and reasonably.

Are there any free URA transacted information?

Visit URA website  https://www.ura.gov.sg/property-market-information/pmiResidentialTransactionSearch  and the following information is free:

• Date of sale
• Project name
• Type of property
• Floor level
• Street name
• Postal district
• Unit size
• Unit price
• Net price
• Tenure (99-year leasehold or freehold)
• Type of sale (new sale, resale, or sub-sale)

Save yourself from the hassle and confusion of navigating through URA caveats and the intricate house buying process in Singapore. By engaging a reliable housing agent like Jack Tan, you can avoid costly mistakes and minimize your stress. With his extensive experience and necessary real estate licenses, Jack Tan is well-equipped to assist you in finding and purchasing your dream home. Don’t hesitate to reach out to him for expert guidance throughout your property journey.