First-timers must select BTO flats when invited by HDB or lose priority for a year from August launch

[Windwaver]

https://www.straitstimes.com/singapore/politics/first-timers-must-select-bto-flats-when-invited-by-hdb-or-lose-priority-for-a-year-from-august-launch

SINGAPORE - First-timer applicants who do not select a Build-To-Order (BTO) flat when invited to do so will be considered second-timers in subsequent flat applications for a year, starting from the August sales exercise.

The tightening of the rule is meant to reduce the number of people who decline to pick a flat and ensure more efficient allocation, so that those who need a flat can secure it more quickly, said National Development Minister Desmond Lee on Thursday.

Currently, first-timers will only be moved to the second-timer category for a year when balloting for flats if they do not book a BTO flat twice. Far fewer flats are set aside for second-timers - 5 per cent of four-room and larger flats, versus at least 95 per cent for first-timer families.

Mr Lee also announced other measures to help first timers secure their home during the debate on his ministry’s budget, including setting aside more flats for a new subset of first-timer families - those with Singaporean children aged 18 and below as well as married couples aged 40 and below.

From the August BTO exercise, up to 40 per cent of the flat supply will be reserved for this group of applicants, up from 30 per cent now.

Up to 60 per cent of Sales of Balance Flats (SBF) units will be set aside for them as well, an increase from the current 50 per cent. SBF flats are typically either completed or in various stages of construction.

Applicants under this new First-Timer (Parents & Married Couples) priority category will also get one additional ballot chance in their BTO and SBF applications, for a total of three ballot chances.

Various MPs including Mr Zhulkarnain Abdul Rahim (Chua Chu Kang GRC), Ms Foo Mee Har (West Coast GRC) and Mr Seah Kian Peng (Marine Parade GRC) asked if more support can be given to help Singaporeans buy their first home amid the strong housing demand and elevated resale prices.

Help will be provided on several fronts, starting with the ramping up of flat supply in the next few years, said Mr Lee.

Close to 100,000 homes are expected to be completed between 2023 and 2025 across both the private and public housing markets, he said. Of these, almost 40,000 homes will be completed this year - the highest in the last five years, including pre-Covid-19 years of 2018 and 2029, he added.

This increased supply should help to alleviate some pressure in the rental market as those who have been waiting for their keys will stop renting, and new homes will provide additional rental supply, said Mr Lee in response to Mr Louis Chua (Sengkang GRC).

On tightening the rules for BTO flat non-selection, Mr Lee said it strikes a balance between considering the interests of flat applicants with urgent housing needs and being fair to those who successfully balloted for a flat.

He noted that the drop-out rate for BTO flats has hovered around 40 per cent in the past few years, even as strong housing demand pushed up application rates.

This means that four in 10 applicants either do not turn up or decline to book a unit at their flat selection appointments.

Some reasons include people wanting only flats on high floors, trying their luck or the remaining flats being out of their budget, he said.

“Understandably, some would rather give up the opportunity to select a flat now, and wait longer for a better flat. But whatever the reason, such applicants do crowd out other homebuyers who may have more pressing needs,” he said, urging Singaporeans to only apply for flats if they really intend to purchase one.

The rules will also be tightened for second-timers from August. Those who do not pick a BTO flat when invited to do so will have to wait one year before they can apply for a flat again.

Currently, this only kicks in after they fail to book a flat twice.

Mr Lee said HDB will only waive the rule if applicants have 10 or fewer BTO flats, or five or fewer SBF flats, to choose from.

“We understand that some applicants may have genuine reasons for not selecting a flat. Buying a home is a large financial decision, so we want to be fair to applicants who have very limited options when they are invited to select their flat,” he said.

Where there are extenuating circumstances, HDB may exercise flexibility to waive the rule, he said.

Mr Lee said the new First-Timer (Parents & Married Couples) priority category is targeted at those buying their first home and to help young families settle down more quickly.

The current first-timer category covers a wide range of applicants, including those who already have their own homes but have not previously received housing subsidies.

About 10 per cent of all first-timer applicants fall into the new category, Mr Lee said.

To qualify, families must not have owned or sold a local residential property before, or did not have a chance to book a flat in the past five years before their application. This is on top of having at least one Singaporean child or meeting the age limit of 40 for married couples.

Applicants do not need to submit additional documents to qualify for the new category.

In addition, those under the new category will get first priority when applying for four-room or smaller BTO flats in non-mature estates, Mr Lee said.

He said these applicants will be shortlisted ahead of all others who come under the expanded Family and Parenthood Priority Scheme - previously known as the Parenthood Priority Scheme. They thus stand a substantially higher chance of being invited to select a flat, he added.

On why the measures will only take place from August, Mr Lee said: “We are announcing the changes early to give everyone some time to understand how these changes may affect them. And HDB will also need some time to stress-test and implement the system changes.”

[Inlinefour]

but biggest problem is ATB vietbu mostly want angmo chu no wan zhenghu chu how huh 

[Windwaver]

Finally something right from HDB

[Mustank]

Hdb things, so far PAP good

 

[Voodooman]

Moving in the right direction.

[13177]

Good la, this will deter people anyhow apply for the BTO flat for fun, then give up during selection for flat, even they have tons of units to select.

[Benarsenal]

On 3/2/2023 at 9:19 PM, 13177 said:

Good la, this will deter people anyhow apply for the BTO flat for fun, then give up during selection for flat, even they have tons of units to select.

Exactly. Don't want to buy then don't waste people's time and chances.

[Maxus-MIFA9]

2nd timer and above should only choose those left over flats by 1st timer. 

Thereafter, 1st timer downgrade to 2nd timer and choose flats the were left over. 

This will ensure that 1st timer, once set on a location, LL have to accept their choices. 

[Victor68]

Balloting is the way to go and if you reject, then you go to the back of the queue. Even those with 'special priority ' should ballot. 

[Soya]

Wait all the cry farder cry marder kings cum out say gahmen force them to buy lauya units that dun hv unblocked sea views, not next to MRT, not next to parents house, obiang design la, got red eerie lift lobby la......

 

[Voodooman]

Still cannot understand why they can't Build Before Order (BBO), instead of BTO, for first timer group. With wait time of 4-5 years (6-7 years now due to Covid), a lot of relationships will break up and this will delay procreation, a national priority.

Wait, they are already on BBO, so they claimed.

 

[inlinesix]

On 3/3/2023 at 9:20 AM, Voodooman said:

Still cannot understand why they can't Build Before Order (BBO), instead of BTO, for first timer group. With wait time of 4-5 years (6-7 years now due to Covid), a lot of relationships will break up and this will delay procreation, a national priority.

Wait, they are already on BBO, so they claimed.

It seems like BTO was almost like BBO Pre-COVID.  There were unsold units lying around then.

Work => Flat => Marriage => Kids has the path set by our PIoneer Gen.

Any missing steps will cause a misstep.

Edited March 3, 2023 by inlinesix

[Maxus-MIFA9]

On 3/3/2023 at 9:45 AM, inlinesix said:

It seems like BTO was almost like BBO Pre-COVID.  There were unsold units lying around then.

Work => Flat => Marriage => Kids has the path set by our PIoneer Gen.

Any missing steps will cause a misstep.

BTO is you choose the unit you want and submit your application. If that unit was chosen by someone else, you choose another unit. 

Balloted flats, you kenna 2nd floor, you have to take it. Cannot choose  

 

This is fair as some 1st timer after choosing a BTO and at later dates, HDB open another new area of which the 1st timer forgo the earlier choice and wait for the new area. This is really unfair to others. 

Its good that they become 2nd timer in the newly offered BTO. 🧐

 

 

[Voodooman]

On 3/3/2023 at 9:45 AM, inlinesix said:

It seems like BTO was almost like BBO Pre-COVID.  There were unsold units lying around then.

It is built based on 70% order book. 

A matter of pricing i presume.  The unit next to the rubbish dump, etc. Strangely SBF flats are sold at higher price than BTO unit in the same block. 

[Stary]

Quote

SINGAPORE - First-timer applicants who do not select a Build-To-Order (BTO) flat when invited to do so will be considered second-timers in subsequent flat applications for a year, starting from the August sales exercise.

One year too short. Should make at least 2 years for real deterrent effect.

One year can easily just wait it out. 

 

 

Edited March 3, 2023 by Starry

[Watwheels]

I dunno how hdb bto works. If you look at all the priority schemes you will faint and question who is not priority then? The schemes make so many ppl priority. The balloting system is no more than a teekum machine that randomly gives applicants a queue number. Then how the computer "enhance" the chances of ppl with priority when the computer generates a random number?? Isnt this no longer "random"? Wtf, right?

The computer or software engineer should come clean. Tell ppl htf it generates that queue number.

My expectations arent high cos afterall this is for the govt subsidized flats. So is it like a toto thing where a lot of numbered balls are kept in a cage and someone rotates the cage until a numbered ball falls out? Priorities will be weights added into the numbered balls?

I always thought this balloting thing is a joke cos of the way it is being told to applicants.

[Beehive3783]

On 3/3/2023 at 10:05 AM, Picnic06-Biante15 said:

BTO is you choose the unit you want and submit your application. If that unit was chosen by someone else, you choose another unit. 

Balloted flats, you kenna 2nd floor, you have to take it. Cannot choose  

 

This is fair as some 1st timer after choosing a BTO and at later dates, HDB open another new area of which the 1st timer forgo the earlier choice and wait for the new area. This is really unfair to others. 

Its good that they become 2nd timer in the newly offered BTO. 🧐

 

 

My BTO experience is different from your description. This was in 2011/2012 thereabouts:

Application first -> Balloting for Q number -> Selection of unit

Balloting is to get a Q number to the BTO selection. You don't get to select any unit until you get a Q number. If you can't even get a Q number, then bo pian, apply for the next BTO.

So if you are Q number 1, hosay liao, you have first dibs to the entire estate. If you are the last few in the Q, then sorry, only the lousy/low floor units are left. 

I also heard that if you are grassroots related or some other relationship, you get higher chance to get the first few Q numbers.

[Jamesc]

The SG mindset.

Good rule, agree, support! People buy HDB shouldn't be fussy.

But if your children apply and get low floor, above kopi tiam, noisy, dirty then how?

Bad policy, don't agree, don't support.