Application for Waiver of Resale Levy by Seniors and Single Parents with Dependants

Ms Nadia Ahmad Samdin asked the Minister for National Development (a) in the past three years, how many appeals have been made for waiver of resale levy by (i) seniors who are applying for 2-room Flexi flats and (ii) single parents who form a family nucleus with their children; and (b) how many of such appeals have been successful.

Singaporeans enjoy a significant housing subsidy when they buy a new flat from HDB, or a resale flat in the open market with a CPF Housing Grant. To ensure a fair allocation of our limited housing subsidies, those who buy a second subsidised flat from HDB receive a smaller subsidy than first-timer buyers, by paying a resale levy.

HDB does not track the number of appeals it receives from specific groups of buyers for a waiver of the resale levy. Nonetheless, we do assist seniors who apply for 2-room Flexi flats with their resale levy. For seniors who sold their first subsidised flat before 2006 and chose to defer their resale levy with interest until they bought their second subsidised flat, we waive the accrued interest for their resale levy if they buy a 2- or 3-room flat as their second subsidised flat. In addition, for all seniors who buy a short-lease 2-room Flexi flat and need to pay a resale levy, regardless of when they sold their first subsidised flat, we assist them by capping their resale levy at $30,000 and adjusting it downward based on the length of the lease purchased. From 2018 to 2020, 6,460 senior households that booked a 2-room Flexi flat benefited from these forms of assistance.

Beyond seniors, HDB has also exercised flexibility for other second-timers in extenuating circumstances, on a case-by-case basis. These include some single parents who buy a flat with their children. From 2018 to 2020, HDB has acceded to 535 appeals by such single parents to reduce the resale levy payable, or to incorporate it into the flat price so that it need not be paid upfront in cash.

Those who require assistance with their resale levy, such as households that have financial difficulties or that wish to right-size to a smaller flat, can approach HDB and we will see how best to help them.