By Romesh Navaratnarajah: First-time flat buyers with a monthly income of S$1,500 and below will now have a better chance to own units, following the HDB's (Housing and Development Board) decision to extend the Special CPF Housing Grant (SHG) to include three-room standard flats in non-mature estates.
In the past, such buyers were only allowed to acquire a two-room standard flat in non-mature estates.
The exemption of three-room flats was "to encourage financial prudence, and ensure that these low-income households do not overstretch themselves", said the housing board.
However, HDB decided to extend the SHG, which offers S$20,000 for households earning S$1,500 or less, in a bid to help low-income families acquire a flat within their means.
"The enhancement will expand the housing options available to low-income households who need more space, and can afford a larger flat, with the help of government subsidies," HDB noted.
The new housing grant came into effect after July's BTO launch. Related Stories: HDB launches 4191 new flats across 7 BTO projects
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