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In Singapore, buying an HDB flat is one of the major financial decisions that most of us have to make and would usually require a housing loan. With the high cost of home ownership in Singapore, being familiar with the various housing grants available is important as it can potentially help you save quite a sum of money.
In this article, we explain the different housing grants available, their eligibility criteria, and the amount Singaporeans can expect to receive.
Read Also: Complete Guide to Home Loans in Singapore
#1 Enhanced CPF Housing Grant
Grant Amount: Up to $80,000
Who is eligible: First-time homeowners buying new or resale flats, household income ceiling of $9,000
The Enhanced CPF Housing Grant replaces both the Additional Housing Grant and Special CPF Housing Grant. It gives first-time homeowners an additional subsidy based on their average household monthly income, regardless of whether they buy a BTO or resale flat.
Average Monthly Household Income (Over a period of 12 months)
Enhanced CPF Housing Grant Amount
Less than $1,500
$80,000
$1,501 to $2,000
$75,000
$2,001 to $2,500
$70,000
$2,501 to $3,000
$65,000
$3,001 to $3,500
$60,000
$3,501 to $4,000
$55,000
$4,001 to $4,500
$50,000
$4,501 to $5,000
$45,000
$5,001 to $5,500
$40,000
$5,501 to $6,000
$35,000
$6,001 to $6,500
$30,000
$6,501 to $7,000
$25,000
$7,001 to $7,500
$20,000
$7,501 to $8,000
$15,000
$8,001 to $8,500
$10,000
$8,501 to $9,000
$5,000
Singles can also apply and enjoy the EHG as a first-time homeowner. They will get half of the grant amount stated above. For example, if their income is $5,000 per month, they will receive $22,500 (50% of $45,000) in EHG. If they purchase the flat with another first-timer single, up to 2 singles may each be eligible for an EHG (Singles).
#2 CPF Housing Grants for Resale Flats
Grant Amount: Between $25,000 to $80,000.
Who is eligible: First-time applicants buying a resale HDB flat or EC
Unlike BTO buyers who are offered subsidised prices from HDB when buying a flat, first-time buyers of HDB resale flats in Singapore have to pay market prices for their flats. The market price, in this instance, is determined by both what buyers are willing to pay and what sellers expect to get.
However, first-time buyers of resale flats and ECs do qualify for the Family Grant. To qualify for the grant, the average monthly household income has to be less than $14,000, which is up from $12,000 previously.
As of 14 February 2023, the CPF Housing Grant for Resale Flats is enhanced from $50,000 to $80,000 for eligible first-timer families for 2-room to 4-room resale flats and $40,000 to $50,000 for 5-room or larger resale flats.
Similarly, eligible first-timer singles may use the grant to buy a resale flat. The grant amount is increased from $25,000 to $40,000 for 2-room to 4-room resale flats and from $20,000 to $25,000 for 5-room or larger resale flats.
2-room to 4-room resale flat
5-room or bigger resale flat
Families
$80,000
$50,000
Singles
$40,000
$25,000
You can get both the CPF Housing Grant for Resale Flats and the EHG.
Read Also: How To Enjoy HDB Grants Even If You Are Not In Continuous Employment For 12 Months
#3 Proximity Housing Grant
Grant Amount: $20,000 if you live within 4km of where your parents/child are staying. $30,000 if you stay with your parents/child.
Who is eligible: Homeowners buying resale flats in the same town or within 4km of where their parents are staying, or who will be living in the same flat.
If you buy a resale flat within 4km of where your parents/child are staying or intend to stay with them in the same flat, you will be eligible for the Proximity Housing Grant (PHG) of up to $30,000.
For first-time homebuyers earning up to $12,000, the PHG is given in addition to the CPF Housing Grant (Resale flat) and the EHG.
Unlike the CPF Housing Grant and EHG, the PHG has no income ceiling and is not restricted to first-time homebuyers. This means that almost all homebuyers will be helped when buying a flat to live with or close to their parents for mutual care and support.
Consider The Grants You Are Eligible For To Make The Right Housing Decision
Understanding and navigating through the various HDB housing grants can sometimes be confusing. To help on this, you can refer to our Guide To HDB Housing Grants flow chart below.
The various grants available can help us substantially reduce the cost of buying our first home. As such, it makes complete sense to first understand what all these grants are and to discuss with your partner how these grants could help you decide on the type of flat that you should go for.
Read Also: 5 Ways To Get Your First HDB Flat That You Can Afford
This article was first published on 9 December 2016 and updated to include updated information.
The post Complete Guide To HDB Housing Grants In Singapore For Different Types Of Flats appeared first on DollarsAndSense.sg.
