COS 2012 Debate: Increasing rental flat options

Many families with housing difficulties are ineligible for HDB rental flats because they may not meet all the requirements under the Public Rental Flat scheme. Yet many are unable to buy a BTO flat because they cannot afford the resale levy on the sale of their previous flat, as Ms Sylvia Lim has just mentioned, and renting a room from the open market is prohibitively expensive for them.

Parliament

My speech during the Committee of Supply debate in Parliament on 2 March 2012.

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Mr Chairman,

Many families with housing difficulties are ineligible for HDB rental flats because they may not meet all the requirements under the Public Rental Flat scheme. Yet many are unable to buy a BTO flat because they cannot afford the resale levy on the sale of their previous flat, as Ms Sylvia Lim has just mentioned, and renting a room from the open market is prohibitively expensive for them.

On November 21st last year, the Minister told the House that MND may be looking into a higher rental tier to help these families. With a higher rental tier, tenants will pay rents that are higher than current HDB rental rates, but lower than the open market rate. This will enable these families to afford a roof over their head, but without enjoying the full benefits of the usual HDB rental rate.

May I ask the Minister for an update on this initiative, and if there is any expected timeframe for implementation?

Author: Gerald Giam

Gerald Giam is the Member of Parliament for Aljunied GRC. He is a member of the Workers' Party of Singapore. The opinions expressed on this page are his alone.

One thought on “COS 2012 Debate: Increasing rental flat options”

  1. Hi Gerald, I haven’t been following the parliament debates thoroughly, so correct this if this is wrong, which is that why hasn’t any opposition asked about the true cost per unit of building each HDB flat?

    This is of course excluding the location of the flat which will skew the value, but simply the cost price, aka cement, bricks, pillars, man power costs to build a HDB block.

    This is important because it allow us to know the proportion that the government is profitting from each unit sold. Since we all know that prices are now unaffordable, the information seeked will allow us to know the feasibility of decreasing HDB prices across the board, or if that the government is really truly making a loss from every HDB unit sold.

    If this information is not even available, how can one even debate correctly? The mechanism in the black box has to be revealed.

    Concerned Singaporean

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