Debated in Parliament on 5 Jul 2021.
Mr Liang Eng Hwa asked the Minister for National Development given the current severe challenges faced by the construction industry (a) whether HDB will be able to build enough BTO flats to meet the demand of home buyers; and (b) whether HDB will assist first-time home buyers with affordable alternative options.
HDB adopts a comprehensive approach in planning the BTO flat supply, taking into account factors such as the prevailing economic and housing market conditions, and long-term demographic and population trends.
Notwithstanding the current challenges that the construction industry is facing, HDB is on track to launch about 17,000 BTO flats in 2021 as planned, to meet the needs of home buyers. This is higher than the 14,600 and 16,800 flats launched in 2019 and 2020 respectively. The BTO flat supply is supplemented by balance flats which are offered via the Sale of Balance Flats (SBF) exercises and open booking.
Going forward, we will continue to maintain a healthy and steady supply of BTO flat annually. There are no plans to reduce the number of flats to be launched for 2022, which we will announce when ready.
Disruptions from the circuit breaker last year, coupled with strict safe management measures imposed on worksites and the tightening of border controls for workers from South Asia have affected private and public sector projects, including HDB’s BTO projects. Many will take longer to complete. HDB is working with its contractors and consultants to expedite construction work as much as possible, without compromising the project quality and safety standards.
Nevertheless, home buyers with urgent housing needs may consider buying a resale flat on the open market instead, where eligible first-timer buyers can receive up to $160,000 in housing grants. Resale flats are generally good for immediate occupation and buyers can choose from a wide range of flats, according to their preferences and budget.
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