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Close to 90% of Singaporeans own the home that we live in. The address of this home is etched into the back of our Identity Card (IC). If we shift into a new home, we are required to report a change of residential address within 28 days – via ICA’s e-Service portal. While we can’t really do much after deciding to move into a new place, it’s worth noting that changing our home address can come with some financial implications. Mainly, it’s to do with the Annual Value (AV) of the new home – which typically indicates whether it is a private property or HDB flat. Here are 3 ways changing our home address may cause us to be financially better or worse off. Firstly, if we were living with our parents or in a rental property before moving into a home that we own, we will realise that we need to start paying property taxes as a homeowner. Property tax in Singapore is progressive too. That means that even if we are moving from one home that we own into another home that we own, we may pay a different property tax. On the IRAS website, we can look at how much our property tax may potentially be based on the Annual Value of our property. As property taxes are based on the property’s Annual Value, which itself is based on the estimated annual rent of the property, it is realistic to conclude that a more expensive home will incur a higher property tax. Source: If we are staying in an HDB flat, we can expect to pay among the lowest bands of property taxes, as the Government previously indicated that . Finally, if we are moving out of a property we own, whether to live with our parents or rent another larger or smaller home, our property tax will also rise. This is because owner-occupied property taxes are much lower than non-owner occupied property taxes – where owners are likely renting out the property. This is the case even if owners do not rent out the property. While non-owner occupied property taxes are higher, they are also progressive – and the more valuable the home, the higher the property tax. Source: Firstly, many Government support schemes are reserved for those living in HDB flats to begin with. For example, the quarterly U-Save rebates and S&CC rebates, under the GST Voucher scheme, are given to HDB households to offset living expenses. In FY2024, HDB households will receive between $550 to $950 in U-Save rebates, as well as up to 4 months of S&CC rebates in 2024. In general, Government support schemes are also only eligible for those who live in a home with Annual Value of up to $25,000. There is a First AV Tier of support measures that will be given to those living in homes with AV of up to $21,000 and a Second AV Tier for those living in homes with an AV that is between $21,000 and $25,000. The First AV Tier will cover everyone living in HDB flats, while the Second AV Tier will even cover some lower-value residential properties. Source: For example, GST Voucher – Cash disbursements are also provided based on Annual Value of a person’s home, as well as their annual income. Source: Many Healthcare schemes and subsidies are also eligible based on your home’s Annual Value. Changing your address may mean you become ineligible or qualify for relevant schemes and/or subsidies that may help you. You can visit the Ministry of Health (MOH) website to learn more about the eligibility conditions for . For example, subsidies for our national healthcare schemes – MediShield Life and CareShield Life – are dependent on the Annual Value of your home. In the two charts below, we can see that subsidies for MediShield Life are only available for those living in a residence with Annual Value of $21,000 or less and those who live in a residence with Annual Value between $21,000 and $25,000. Those who live in homes with an Annual Value between $21,000 and $25,000 will receive subsidies worth 10 percentage points less than the First AV Tier subsidies. Source: Source: While other healthcare subsidies at public health institutions for , , and even and others subsidies are based on Monthly Per Capita Household Income (PCHI), if there is no household income, the subsidies will be based on the Annual Value of our homes. The example below is the Acute Inpatient Subsidy Framework. We can see that Monthly Per capital Household Income (PCHI) determines the subsidy level (which also depends on the ward class). In instances where there is no PCHI, the Annual Value is used to determine the subsidy rate. This is similar for the other schemes listed above. Source: While we should not base our decisions on moving our home due to these financial reasons, it is also good that we are familiar with them. They can mean saving on or losing these crucial living and healthcare expenses. For those who are moving in the calendar year, it could also be worth noting that support schemes during the year will be given based on the Annual Value of your home in the preceding year. For support schemes in 2024, the Annual Value used is the homes that we lived in during 2023. Regardless of whether we actually own the property that we live in, we may not be eligible for certain schemes just because of our residential address. For example, a person who is renting a room in a private property may not qualify for government support schemes even if they are less wealthy than those living in an HDB flat. Similarly, an elderly person living with their child may not qualify for healthcare subsidies even though affordability may be an issue for them. Similarly, we will receive our property taxes at the end of each year for the following year – and this needs to be paid by 31 January. Likewise, our property tax bill would be based on the property that we were living in, and if we move out of the property, we need to notify IRAS as it may affect the property taxes we have to pay.