ST : 1st-time flat buyers may face stiffer rules

29 Jan 2011,
1st-time flat buyers may face stiffer rules

NATIONAL Development Minister Mah Bow Tan yesterday said the Government is considering coming up with tougher measures to deter first-time Housing Board flat buyers from repeatedly declining to select a flat.

In an interview with Lianhe Wanbao yesterday, he said changes might be made to the HDB's build-to-order scheme to penalise those who forgo the flat selection process despite being successful during balloting.

This will prevent those who do not need to buy a flat urgently from applying indiscriminately.

Under the current rules, applicants who reject two chances to select a flat will have their first-timer priorities removed for a period of one year.

This means if they apply for a flat in any HDB sales exercise within that one-year period, they will no longer enjoy priorities for first-timers. These priorities include being given two chances in the shortlisting of their applications, as compared to a second-time applicant, who gets only one chance.

When asked if the harsher penalties might include extending the one-year period, Mr Mah said the Government is still looking into the changes.

He added that the Government will also not speed up the implementation of the Selective En bloc Redevelopment Scheme just to satisfy demand from Singaporeans for flats.

The cost of redeveloping such flats is high and the Government's focus is on building new flats that Singaporeans can afford.

The programme will continue but the speed of redevelopment will depend on the cost-benefit situation and economic environment, Mr Mah said.

He also hinted that Singaporeans can expect to see some housing 'goodies' in this year's Budget.