Last updated: 2 Sep 2025 • by CondoListing.sg
Buying a condo in Singapore is just the first step. Beyond the downpayment and stamp duties, there are many hidden costs that owners often overlook. This guide reveals the recurring and one-off expenses every buyer should budget for in 2025.Contents
- Monthly MCST & sinking fund contributions
- Property tax & annual value (AV)
- Home & mortgage insurance
- Renovation deposits & wear-and-tear costs
- Special levies & upgrades
- Other recurring hidden costs
- FAQ
1) Monthly MCST & sinking fund contributions
Condo owners must contribute to the Management Corporation Strata Title (BCA guide), which oversees maintenance and facilities.
- Management fund: covers day-to-day expenses like cleaning, security, landscaping.
- Sinking fund: set aside for major repairs (roofing, lifts, repainting).
These monthly costs vary from $300 – $1,000+, depending on project size and number of facilities. See our full breakdown of condo maintenance fees.
2) Property tax & annual value (AV)
Property tax is based on your home’s Annual Value (AV), determined by IRAS. The higher your rental potential, the higher your tax.
- Owner-occupied tax rates: Progressive, from 0–32% of AV.
- Non-owner-occupied: Higher rates, 12–36% of AV.
Example: If your condo’s AV is $40,000, your property tax as an owner-occupier could be ~$3,200 annually. Learn more in our guide on how much cash you need to buy a condo.
3) Home & mortgage insurance
While HDB flats come with compulsory HDB fire insurance, condo owners must buy their own home insurance policies.
- Fire insurance: required by most banks when taking a mortgage.
- Mortgage insurance (MLA): protects your family if you pass away or become disabled before the loan is repaid (MinLaw reference).
- Home content insurance: optional but highly recommended.
4) Renovation deposits & wear-and-tear costs
Before starting renovation, MCSTs require a refundable deposit to cover potential damage to common areas. This can range from $1,000 – $5,000.
Beyond initial renovation, condo owners should also budget for ongoing wear-and-tear (aircon servicing, plumbing, repainting). See our full guide on condo renovation rules.
5) Special levies & upgrades
From time to time, the MCST may raise special levies to fund major projects like façade upgrades, security system replacements, or new facilities.
These levies can cost each owner thousands of dollars and are separate from normal monthly fees. This is why choosing a well-managed project matters — see our guide to condo management companies.
6) Other recurring hidden costs
- Utilities: Condos with centralised aircon or water cooling may have higher bills (EMA).
- Car park charges: While many condos include one lot, additional lots may require fees.
- Facility booking fees: MCSTs often charge for BBQ pits, function rooms, tennis courts.
- Seasonal pest control: Common in ground-floor or tropical projects.
7) FAQ
What is the biggest hidden cost of owning a condo?
MCST fees and sinking fund contributions are the most significant recurring hidden costs, often overlooked by first-time buyers.
Do all condos charge a renovation deposit?
Yes, though amounts vary. Larger developments usually require higher deposits to cover potential damage during works.
Can I pay property tax with CPF?
Yes. Property tax can be paid using cash, GIRO, or CPF OA funds via IRAS.
What happens if I don’t pay my MCST fees?
MCSTs can impose late penalties, restrict facility access, and even take legal action to recover unpaid fees.