4,500 families in public rental flats became HDB home owners over past 5 years
About 4,500 families in Singapore's public rental flats, or about 9 per cent of all the rental households, have become owners of Housing Board flats over the past five years through various housing schemes and grants.
An average of around 2 per cent of rental households move on to become HDB home owners each year, HDB said on Sunday (March 6).
From 2019 to Dec 31 last year, about 1,030 rental households were offered help by HDB to do this.
This surpasses the Board's initial target of reaching out to 1,000 rental households by 2023.
Of the 1,030 families, around 340 households - or 33 per cent - should be ready for home ownership within the next three years, said the HDB.
The remaining households are in the process of assessment or are not ready to apply for a flat in the near term.
HDB said it would continue to track the progress of the remaining households and help them move on to home ownership, where feasible.
Among the 4,500 families that became HDB home owners from 2017 to 2021, three in four bought a flat directly from HDB, while the rest bought a resale flat on the open market, said HDB.
More than half of these households bought a three-room flat while a quarter bought four-room flats, it added.
About two-thirds of the rental households who bought a flat had tapped housing grants such as the Enhanced CPF Housing Grant (EHG), which was introduced in September 2019 and dispenses up to $80,000 in grants to eligible buyers.
Others had also tapped the previous Additional CPF Housing Grant and Special CPF Housing Grant, which gave up to $40,000 in grants each. These two grants are now replaced by the EHG.
Families with at least one child below the age of 18 who live in public rental flats, and who had previously bought a subsidised flat, can also buy a two-room flexi flat through the Fresh Start housing scheme.
There are currently around 51,100 households living in public rental flats.
Rental households who have been preliminarily assessed to have the potential and are ready to buy a flat will be contacted by the HDB's Home Ownership Support Team (HST).
Factors such as income stability and the household's ability to afford a flat are taken into consideration when HDB makes such assessments.
The HST was set up in 2019 to guide families in public rental flats through their home ownership journey, from planning and budgeting their flat purchase to the time they collect the keys to their home.
HDB said that while home ownership continues to be the "cornerstone" of Singapore's public housing programme, the Board recognises that some may not be ready and may require additional assistance.
"We will continue to support the housing needs of vulnerable groups, and work closely with social agencies to support rental households in overcoming the various challenges that they face," said HDB.
In a Facebook post on Sunday, Minister of State for National Development Muhammad Faishal Ibrahim said the Board supports lower-income or more vulnerable families by meeting their housing needs through subsidised public rental housing and, when they are ready, helping them purchase homes of their own.
“We also work with other agencies to understand their aspirations and address their needs comprehensively. Together, we will journey with our rental tenants as they work towards stability and self-reliance,” he added.
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