Time Limit for Disposal of Existing HDB Flats by Owners who Buy a Second Flat
Ministry of National DevelopmentSpeakers
Summary
This question concerns the extension of the six-month period for disposing of existing HDB flats and projections for future disposals. MP Gan Thiam Poh asked about the volume of extension requests, and Minister for National Development Lawrence Wong stated that HDB received 249 requests in 2015, representing less than 2% of the 13,700 relevant households. He projected that approximately 13,000 owners will collect keys to new BTO flats from 2016 to 2018. Minister for National Development Lawrence Wong explained that while the six-month disposal rule generally applies, HDB assesses each request based on its individual merits. He concluded that HDB is prepared to exercise flexibility on a case-by-case basis for owners needing more time to sell their flats.
Transcript
4 Mr Gan Thiam Poh asked the Minister for National Development (a) in the past one year, what is the number of requests received from HDB flat owners who have purchased a BTO/resale flat to extend the six-month period they have to dispose of their existing HDB flat; (b) what is the percentage of such requests against the total number of BTO/resale flat transactions for the same period; and (c) for the next three years, what is the projected number of such flats that need to be disposed of.
The Minister for National Development (Mr Lawrence Wong): Mdm Speaker, existing flat owners who have collected the keys to another BTO or resale flat today will have up to six months, from the time of key collection, to dispose of their existing flat. HDB will assess requests for more time to sell off the existing flat based on the merits of each case.
Last year, HDB received 249 such requests for an extension of the six-month period. During this timeframe in 2015, there were some 41,400 households that bought BTO or resale flats. But if we were to only look at those who still owned a flat when they collected the keys to their new flat, then the number is 13,700 – meaning to say those who still owned a flat when they collected keys to their new flat, that number is 13,700. So, if you look at the appeal cases of 249 over the base of 13,700 – that works out to be less than 2%. As the Member had asked, the figure is about less than 2% of the overall base of people who are doing this transaction.
Going forward, from 2016 to 2018, about 13,000 existing flat owners are expected to collect the keys to another BTO flat. They will, as per the current rules, have to dispose of their existing flats within six months from the time of key collection. But if there are requests for an extension of time, HDB will be prepared to exercise flexibility on a case-by-case basis.