Property Investment Options for MOP (Minimum Occupancy Period) households

Real scenario, client owns a HDB and still within MOP period. With a combined salary of above 10K monthly, what are the possible options for them to invest in property?   
The Minimum Occupancy Period or MOP means flat owners can’t sell or rent out their property for five years. But after that, there ways of either upgrading or monetising your home. Flat owners look forward to the end of their MOP like NS Men look forward to their ORD – once it’s done, you’re free to do what you want with the place.

1.    Fulfill MOP, and buy a second private property, subject to the ABSD 12% and BSD 3%.

Using an example of an $900k property, you will have to pay 12% ABSD - $108k, and the usual BSD of 3% (less $5.4k for properties less than $1m) - $21.6k. You need to fork out a total $129.6k that goes to stamp duties alone.

Assuming you are able to rent the condo out at $2.4k per month, it will take close to 4.5 years to break even of the BSD and ABSD - $129.6k.

 If considering the property tax and rental income tax, the period it remains vacant, that would be longer. If you go for a new launch, that would be even much longer.

2.    Fulfill MOP, sell one buy two. Sell your current HDB, and buy two private condos, one for own stay, one for investment under separate names.

After selling HDB, you need to clear the outstanding loan, return CPF + Accrued Interest. The sales proceed might be not as much.

Assuming you get a private condo $1.5mil for own stay and another private condo $900k for investment. And assuming you are able to take 75% home loan, the initial cash and CPF outlay will be : 25% - $600k , 3% BSD - $66.2k, total is $666.2k. If you take less loan, the initial cash and CPF outlay will be even higher.

You max your mortgage in this way by taking two home loans. 75% of both properties will be $1.125mil and $675k. However, you are subject to interest rate risk. Your family finances will be dragged to the max without any backup plan as well. Changing jobs or temporary loss of income might affect the holding power seriously.

3.    Fulfill MOP, upgrade to a bigger HDB. However, you will be locked for another 5 years. Furthermore, the HDB resale price does not appreciate as much as private properties. You still do not have any investment income.  

All the above three options have one point in common. You need to fulfil MOP before you can purchase any properties. Assuming you have some cash savings, and during this period, your cash savings did not work hard for you due to the MOP issue.  

Is there any option that work for you even during the MOP period and less stressful to your family finance?
HDB owners still within MOP period are allowed to invest in commercial properties.

Highly recommend Peak Shoppe in Phnom Penh.  

The Peak Shoppes is the one & only CapitaLand-managed Shopping Mall for sale and offers investors 55% Nett Guaranteed Rental Returns over 10 Years (T&Cs apply), and integrated below the World-Renowned 5-star Shangri-La!

Two famous brand names that sell by themselves!

Asia's Retail Giant, CapitaLand, manages 85 successful malls across Asia, including 19 malls in Singapore and 49 malls in China. Famous malls by CapitaLand include ION Orchard, Raffles City (Singapore, Beijing, Chengdu, Hangzhou etc), Plaza Singapura, Bugis Junction and many more!

The Peak Shoppes is a rare opportunity to invest in the fast-growing retail scene in Phnom Penh, the capital city of Cambodia.  It is the only other shopping mall for sale in Phnom Penh, following the success of THE BRIDGE (also by Oxley) which is 100% SOLD!

Oxley is a world-renowned Singapore developer listed on the Singapore Stock Exchange (SGX) with developments in UK, Ireland, Cambodia, Malaysia, Myanmar etc and currently holds the largest land bank in Singapore.

Prime shopping malls around the world are usually not for sale and only for lease. So here's an exciting opportunity to invest with shops in one of the few Shopping Malls in Phnom Penh!

Enjoy 10 years + 5 years Guaranteed Rental!!


1. The Peak is a Super Tall 55-storey 4-in-1 Mixed Development that will tower above Phnom Penh, featuring a 5-storey Shopping Mall integrated with Shangri-La, Offices and Luxury Apartments! 👠

2. Super Prime Location where Land Prices Have Doubled!! (Source: Phnom Penh Post)

3. Housing the one and only 5-star Shangri-La Hotel in Cambodia 🍸

4. Approx 5-min walk to the existing NagaWorld 1 & 2 casinos & 5-Star hotels (like our Marina Bay Sands in Singapore)

5. Approx 5-min walk to AEON, Phnom Penh's largest mall with supermarket, cinema, bowling alley, ice skating rink & many international brands and F&B (AEON Mall is only for lease and not for sale)

6. Singapore mainboard listed developer Oxley

7. Very affordable from only US$88K to US$650K before attractive VVIP Earlybird, Multiple Purchase & Upfront Payment Discounts!

8. Rare strata title shops for sale in prime Phnom Penh and managed professionally for up to 15 years!


Enjoy 55% Nett Guaranteed Rental over 10 Years (T&Cs apply) and more beyond that!

1) Year 1 to 5 - Enjoy Nett 25% guaranteed rental over first 5 years (5% Nett per annum for 5 years after all taxes & maintenance fees, deposited into your bank account quarterly)

2) Year 6 to 10 - Enjoy Nett 30% guaranteed rental over next 5 years (6% Nett per annum for 5 years after all taxes & maintenance fees, deposited into your bank account quarterly)

3) Year 11 to 15 - optional renewal subject to mutual agreement between developer, CapitaLand & owner


1) Upon booking : SGD$1,700 (equivalent to US$1,200) payable to Oxley's Singapore account

All subsequent payments in USD$ payable to Oxley's Maybank Cambodia account as follows:

2) Within 21 days : 20% less US$1,200

3) By 31 December 2018 : 10%

4) By 31 March 2019 : 10%

5) By 31 June 2019 : 10%

6) Upon completion / handover (estimated from September 2019 to December 2020) : Balance 50% payable + 4% Stamp Duty / Title Transfer Tax

For more information on this project, please check out Peak Shoppe  or make an appointment to visit the show gallery.

Advantages for MOP Households for choosing The Peak Shoppe

1. No ABSD payable.
2. Less financial burden to the family compared to option 2 of sell one buy two.
3. No additional lock in period, compared to the option 3 of upgrade to bigger HDB
4. Immediate rental grantee returns after TOP
5. Less tassel of managing the rental property as it will be professionally managed by Capitaland
6. Commcercial properties tenant tends to stay long term rather than residentail tenant usual of two years
7. Enjoy the first mover advantage of the fastest developing country in ASEAN
8. Make the cash saving work harder to generate passive rental income