Debated in Parliament on 18 Feb 2020.
Mr Lim Biow Chuan asked the Minister for National Development whether the Government will consider some form of financial aid to HDB owners who are unable to sell their flat due to the ethnic racial quota but need to sell their flat due to financial hardship.
Mr Speaker, HDB's experience is that most owners are able to sell their flats in the open market from eligible ethic groups, but some may need more time to do so. Hence, for those who face difficulties, HDB will, in the first instance, grant them an extension of time to market and sell their flat. Beyond that, if they face any financial issues, HDB will also look into reducing or deferring the monthly mortgage instalments temporarily to ease their cash flow. For those with exceptional circumstances, HDB will consider exercising flexibility in administering the Ethnic Integration Policy (EIP).
More generally, households in financial hardship can avail themselves to the broader suite of Government assistance schemes and community schemes, and consider other measures to put their finances on a more stable footing.
I thank the Minister. Just a quick clarification. Beyond just an extension of time to sell the flat for the affected minority – it does not matter what race that individual or that household is classify under – has it been the Ministry's experience that these households have had to reduce the selling price of their unit vis a vis the valuation of their neighbouring units so as to secure a buyer, given the extension of time that the Ministry allows?
Some of the sellers may have themselves bought the flat off the market and the flat would perhaps at that point in time, have already been impacted by the Ethnic Integration Policy. As for whether every flat is sold lower relative to the neighbours, that depends again on the attributes of the flat, the location, the height, the facing and its linkages to other amenities.
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