1st BTO launch in Rochor Singapore under new PLT rules
A house in prime location is desired by many Singaporean. However the high price may deter many of them.
National Development Minister Desmond announced a new scheme to handle such scenario. A scheme called PLH, meaning Prime Location Public Housing, will be rolled out with the goal of keeping HDB flats at prime locations affordable and inclusive.
Different from PLH, North Gaia Balance Units will be available after the new EC launch in Yishun Ave 9.
Under the PLH scheme, HDB flats is subjected to a 10-year minimum occupation period (MOP). If owners want to sell the house in the open market, the government will claw back the additional subsidies granted.
Pretty soon the 1st BTO launch under PLH scheme will released to the market. The site is located around Rochor area, along Kelantan Road and Weld Road. This pilot project will include variety of unit types - 2-room, 3-room, 4-room. It is estimated to have 1,000 units in total.
The HDB flat in prime and central locations should remain affordable, accessible and inclusive for Singaporeans, stated by HDB and MND.
The government will give applicants additional subsidies on top of what is already available for BTO flats. On the other hand, the government needs to ensure the fairness with BTO buyers in other parts of Singapore. It is decided that PLH flat owners need to pay back certain amount from the flat's resale price. At the moment, it is not disclosed the susidy recovery percentage. And it is possible that the percentage will be adjusted in the future, depending on market conditions and the amount of subsidies needed to maintain affordability.
To apply PLH flats, the priority quotas of up to 30 per cent for BTO flat allocation under the Married Child Priority Scheme (MCPS) will be reduced. All other eligibility conditions will the same as that of BTO flats.
One major change to note is the minimum occupancy period (MOP) for PLH flats will also be extended to 10 years, compared with the current 5 years. Another change is the renting rules - HDB flat in these prime locations will not be allowed to rent out their units whole, even after the MOP.
It is believed that such measures will strengthen the owner-occupation intent of public housing and also seek to deter speculative demand and moderate resale prices.