In Singapore’s ever-evolving property market, leasehold tenure remains one of the most discussed topics among buyers and investors alike. Whether purchasing a family home or a long-term investment, understanding how leasehold properties work is key to making informed decisions.
While freehold titles are often viewed as more prestigious, long leasehold options have become increasingly popular for their balance of affordability and prime location. Among the latest developments reflecting this trend is River Modern, a project that showcases how extended leasehold ownership can offer both stability and luxury in one package.
1. What Long Leasehold Tenure Means in Singapore
In Singapore, property ownership is typically divided into freehold and leasehold tenures. A freehold property grants perpetual ownership, while a leasehold property is held for a fixed term—commonly 99 years, though some may extend to 103 or 999 years. Long leasehold tenure, particularly 99 or more years, remains the standard for most government and private developments.
For many buyers, the difference lies not just in duration but in how value is retained over time. With well-located developments such as River Modern, leasehold tenure does not necessarily translate into diminishing returns. Instead, the quality of the project, its location, and ongoing urban development can sustain or even increase property value despite the tenure limit.
This model allows homebuyers to enjoy premium living spaces at more attainable entry points, making long leasehold developments attractive to both first-time buyers and experienced investors.
2. The Advantages of Long Leasehold Properties
The perception that leasehold properties are inferior to freehold has shifted significantly over the past decade. One of the main reasons is price accessibility—long leasehold units typically cost less upfront, making them ideal for younger families or buyers looking to enter Singapore’s central property market.
Developments like River Modern illustrate how long leasehold tenure can coexist with modern luxury. These projects often feature top-tier architecture, integrated facilities, and strategic proximity to key business and lifestyle hubs. As a result, the tenure length becomes less of a deterrent and more of a financial advantage.
Another advantage lies in urban planning. Singapore’s government maintains strict oversight on infrastructure development, ensuring that even leasehold estates benefit from continual upgrades to transport, amenities, and community facilities. This forward planning keeps neighborhoods vibrant and property values stable across decades.
Additionally, investors are drawn to long leasehold projects because of their rental yield potential. Lower acquisition costs combined with competitive rental rates create higher percentage returns, particularly in prime or up-and-coming districts.
3. What Buyers Should Consider Before Investing
Despite the benefits, buyers should still approach leasehold properties with careful consideration. The most critical factor is the remaining lease—the shorter it gets, the more it affects resale value and financing options. Banks often offer reduced loan tenures for properties with less than 60 years remaining on the lease, which can impact affordability.
This is why developments like River Modern, which offer full 99-year leasehold tenure, are considered ideal. They provide the security of nearly a century of ownership while allowing for intergenerational planning and steady appreciation. Buyers should also evaluate the developer’s track record, the surrounding area’s development potential, and comparable resale data before committing.
Another smart move is to align property purchase goals with personal timelines. For instance, buyers seeking long-term residence will find leasehold options extremely practical, while those focused purely on quick resale might prefer newer freehold alternatives.
Conclusion
Long leasehold tenure properties in Singapore offer a strategic balance between cost, convenience, and quality. Developments such as River Modern demonstrate that well-designed, centrally located leasehold projects can deliver outstanding value and modern comfort. As Singapore’s urban landscape continues to evolve, understanding lease structures empowers buyers to make smarter, more sustainable investment decisions. Ultimately, whether for living or investing, a long leasehold property can be just as rewarding—if not more—when chosen with insight and foresight.
