SINGAPORE - More Singaporeans will be eligible to buy new HDB flats and Executive Condominiums (ECs) as the income ceiling of buyers will be raised, Prime Minister Lee Hsien Loong said in his National Day Rally speech today.
It will go up from $10,000 to $12,000 for HDB flat buyers and from $12,000 to $14,000 for EC buyers.
PM Lee also announced that the Special CPF Housing Grant (SHG) will be extended to more households. Currently, the household income ceiling for the SHG is $6,500, which covers half of all households. The income ceiling will be raised to $8,500, and this will enable two-thirds of all households to qualify, PM Lee said.
They will also be entitled to a maximum grant of $40,000, up from $20,000.
The larger grant amount will also make two-room flats more affordable especially for those who are still living in rental flats because they cannot afford to own their own, PM Lee said.
As for second-timer rental households, a new Fresh Start Housing Scheme will help them own a two-room flat. The flat will come with shorter leases and stricter conditions on resale so that it will be more affordable.
"We will support the family with counsellors, to guide them to solve their problems holistically," PM Lee said.
"The family will have to play its part, and show that they are putting their lives in order, determined to get back on their feet, and putting their children through school. With these extra arrangements, we can justify providing a grant - the Fresh Start Housing Grant - to help them pay for the flat. Over time, with help and guidance, through the Fresh Start Scheme they can own their own home again," said PM Lee.