23,000 Flats Annually Across Estates Planned for 2022 and 2023
The Housing Development Board (HDB) has announced plans to launch up to 23,000 Built-To-Order (BTO) flats each year in 2022 and 2023, a significant increase of 35% compared to the 17,100 flats launched in 2021. This move aims to address the strong and growing demand for housing among Singaporean households.
Expanded Supply Across Diverse Estates
HDB’s new flat launches will span both mature and non-mature towns, including Tengah, Bukit Merah, Jurong West, Kallang Whampoa, Toa Payoh, Queenstown, and Yishun. The increased supply aims to cater to young couples starting their families, second-timer applicants, multi-generational families, the elderly, and singles.
Key Drivers Behind Housing Demand
The rising demand for public housing stems from several factors:
Larger cohorts born in the 1980s and 1990s are now reaching marriageable age, driving housing needs.
A growing preference for smaller households, with individuals seeking independent living arrangements.
Market shifts caused by the buoyant resale market and pandemic-related dynamics.
Between 2019 and 2021, the number of applications per BTO flat jumped from 3.7 to 5.5 times, reflecting heightened competition.
Long-Term Housing Commitment
HDB reiterated its readiness to launch 100,000 flats between 2021 and 2025, should demand persist. This approach aligns with the government’s efforts to ensure housing availability and affordability.
Housing Policy Adjustments
Following new property cooling measures introduced on December 16, the Additional Buyer’s Stamp Duty (ABSD) rates have been raised, the Total Debt Servicing Ratio (TDSR) tightened, and Loan-to-Value (LTV) limits for HDB loans reduced. These changes aim to curb speculative purchases and prioritise genuine homebuyers, especially first-time buyers.
Supporting First-Time Buyers
HDB emphasised its commitment to helping Singaporeans secure their first home, offering subsidised BTO flats or resale options supported by various grants tailored to individual needs. Minister for National Development Desmond Lee highlighted that the cooling measures are designed to safeguard opportunities for first-time homebuyers seeking owner-occupied properties.
