Oral answer by Ministry of National Development on the household income ceiling for prospective buyers of BTO flats and ECs

Nov 29, 2022


Mr Ang Wei Neng: To ask the Minister for National Development whether HDB is prepared to review the monthly household-income ceiling for prospective buyers of BTO flats and Executive Condominiums respectively, given the high inflation rate.

Answer:

          The income ceilings for the purchase of subsidised HDB flats and Executive Condominiums (ECs) are reviewed regularly to ensure that public housing remains within reach of the majority of citizen households, and that housing subsidies are given to those who need them most. Factors that are considered include the household incomes of Singaporeans and prevailing housing market conditions, among others. We are also mindful that lower income households could be crowded out by an adjustment to the income ceilings.

2.       The income ceiling was last reviewed in 2019, when it was raised from $12,000 to $14,000 for families buying a new flat, and from $14,000 to $16,000 for families buying an EC from property developers. At the same time, we introduced the Enhanced CPF Housing Grant (EHG) to better support lower to middle-income families buying their first homes.

3.       There are no plans to revise the income ceilings at this point.  At the current income ceiling of $14,000, about 8 in 10 Singaporeans are eligible to apply for a BTO flat, while the $16,000 ceiling enables about 9 in 10 Singaporeans to apply for EC. There is no income restriction for the purchase of a resale HDB flat on the open market.

4.       HDB is committed to helping Singaporeans, particularly first-timers and lower to middle-income families, to own a home. The Government will continue to monitor housing market conditions closely to ensure that public housing remains affordable and accessible.

Issued by:    Ministry of National Development

Date         :   29 Nov 2022