ST Forum : Singles need help in public housing

Jan 20, 2010

Singles need help in public housing

I HOPE the Government will look into the HDB valuation for resale flats and cash-over-valuation (COV) amounts.

HDB valuation has been rising fast over the past two years and with high COV, the selling price of a flat has become exorbitant. The same flat sold two or three years ago can now cost $100,000 more.

The COV amount is easily $25,000 to $50,000 in non-centralised areas and some sellers even ask for more. With such high selling prices, it seems that HDB flats are no longer affordable for some Singaporeans.

Even though the HDB has offered many build-to-order flats in recent years and provided grants to help first-timers own a flat, these moves do not help a certain group of Singaporeans - the singles.

The only grant available to singles is $11,000. And although they should buy a flat that is within their means, in terms of today's market prices, it can be tough. Some may need to empty their nest eggs to buy a flat and tapping the Central Provident Fund (CPF) will leave little savings for retirement later on.

I hope the Government and HDB will consider increasing the HDB loan cap for singles from $3,000 to $3,500 and extend the Additional CPF Housing Grant to this group too.

Similarly, they should consider increasing the singles grant of $11,000 to $30,000 or $40,000.

Take into consideration that singles have to pay the same market price as married couples for a flat but with a smaller grant.

Chen Jin Ping