Rationale for Pricing of 2-Room HDB Flexi-flats on Short Lease

Ms Sylvia Lim asked the Minister for National Development with regard to the pricing of 2-room HDB flexi flats on short lease, what is the rationale for setting a higher price for first-timer single, divorced or widowed applicants under the Single Singapore Citizen Scheme compared to those applying under other schemes.

We set aside the majority of our heavily subsidised new flats for the benefit of first-timer families with two or more persons. This includes two or more singles purchasing a 2-room flexi flat under the Joint Singles Scheme. These singles, as well as divorced/widowed persons applying with their children, pay the same price as families.

Singles, including divorced/widowed persons without children, buying a 2-room flexi flat on their own under the Single Singapore Citizen scheme pay a price difference of $15,000 for a 99-year lease flat. For those aged 55 years and above who purchase a 2-room flexi flat on short lease, the price difference is prorated based on the length of the lease. This ensures that limited housing subsidies are equitably distributed among homebuyers.

Singles who subsequently marry a Singapore Citizen or Singapore Permanent Resident can apply for the CPF Housing Top-Up Grant and enjoy the same subsidy as a family.