Debated in Parliament on 6 Aug 2024.
Mr Chua Kheng Wee Louis asked the Minister for National Development (a) what is the assessment of the effectiveness of the Temporary Relaxation of Occupancy Cap since its implementation in addressing the mismatches in the rental demand and supply of HDB flats thus far; and (b) whether the open market rents of HDB flats have continued to rise.
In 2022 and 2023, rents in both the public and private rental markets rose sharply as a result of construction delays due to COVID-19 and strong rental demand.
We have undertaken a broad suite of measures to stabilise the property market. This includes ramping up our public and private housing supply, increasing the supply of flats available under the Parenthood Provisional Housing Scheme as well as the temporary relaxation of the occupancy cap, from six to eight unrelated persons, for four-room and larger Housing and Development Board (HDB) flats and private residential properties of at least 90 square metres.
These measures have shown early signs of success in addressing the supply and demand imbalance. In the first quarter of 2024, the median rents for 4-room and larger HDB flats have remained stable, compared to the average quarterly increase of around 5.3% from 2022 to 2023. We will continue to monitor the property market closely and will recalibrate our measures, as necessary.
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