If you and your partner are planning to try your luck by applying for your first BTO flat at the start of a new decade, you can look forward to a higher chance of getting a successful queue number with the increased number of BTO flats available!
On 16 December 2019, the Ministry of National Development (MND) announced that about 16,000 to 17,000 BTO flats will be launched in 2020 to meet higher demand. This is noticeably more than the 14,600 BTO flats launched in 2019. Around 3,000 more to be exact.
The announcement came after a series of policy changes that have effectively increased demand for public housing.
Raised Income Ceiling
In September, income ceilings for HDB flats and Executive Condominiums (ECs) were raised to $14,000 and $16,000 respectively to allow more households to qualify for homeownership.
Enhanced CPF Housing Grant (EHG)
Additionally, the Enhanced CPF Housing Grant (EHG) was also introduced in September. Announced as a replacement of the Additional CPF Housing Grant and Special CPF Housing Grant – you can even think of it as a combination of the two – this Grant boasts a higher income ceiling to include more families looking to buy a home for the first time.
First-timer families with a monthly household income of up to $9,000 can look forward to a Grant amount of up to $80,000. This is based on the condition that the home’s balance lease will be able to last them up to the age of 95. If the balance lease falls short of this, the EHG amount will be pro-rated.
According to the blog post posted by MND Minister Lawrence Wong, around 150,000 families have booked or gotten the keys to their first home over the last five years.
If you can’t make up your mind about whether to take the plunge by applying for a BTO, 2020 is looking to be your year!
- Agent Recommendation: The Pros and Cons of Buying a BTO Flat
- Buying a BTO 101: 7 Step-by-Step Guide
- 3 Changes with the New CPF and HDB Loan Rules You Need to Know
- Buying my Dream Home: 3 Truths When Getting a BTO for First-Timer Applicants
- Property News: September 2019 BTO Launch and the All-New Enhanced CPF Housing Grant (EHG)
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