Minister for National Development Desmond Lee announced during the Committee of Supply debates on March 5 that couples waiting for their Build-To-Order (BTO) flats will receive a S$300 monthly voucher to offset their rent, starting in July 2024. This initiative is part of the Parenthood Provisional Housing Scheme (PPHS) and serves as an interim measure while the government increases its supply of PPHS flats in the next year. Eligible families must be Singaporean, have a monthly household income of S$7,000 or less, and be waiting for a BTO flat to qualify for the vouchers.
The S$300 amount was chosen to provide relief while mitigating the potential inflationary impact on the rental market. In recent years, supply disruptions and labor shortages caused by the Covid-19 pandemic led to widespread delays in housing construction and increased rent. However, the housing market is now stabilizing, with the ramped-up supply of both public and private housing and three successive rounds of cooling measures.
Additionally, eligible young couples will benefit from a lower downpayment for their new flats. The initial downpayment will be reduced from 10% to 2.5% for those taking a bank loan or HDB housing loan, regardless of the type of loan. This change aims to help young couples overcome financial difficulties when booking a flat, enabling them to settle down and start their families earlier.
East Coast GRC Member of Parliament Cheryl Chan inquired if more comprehensive support could be provided to young couples beyond the extended scheme. In response, Lee stated that the government has implemented a comprehensive suite of measures to help young Singaporeans who want to settle down, buy their first home, and start a family. These measures include additional BTO launches, reduced waiting times, and various grants and priority schemes.
In summary, the Singaporean government is taking steps to support young couples by providing financial assistance, reducing down payments, and offering a comprehensive suite of measures to help them settle down, buy their first homes, and start families.
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