{"id":77464,"date":"2024-08-20T12:58:50","date_gmt":"2024-08-20T04:58:50","guid":{"rendered":"https:\/\/www.99.co\/singapore\/insider\/?p=77464"},"modified":"2024-08-20T12:58:50","modified_gmt":"2024-08-20T04:58:50","slug":"national-day-rally-2024","status":"publish","type":"post","link":"https:\/\/www.99.co\/singapore\/insider\/national-day-rally-2024\/","title":{"rendered":"National Day Rally 2024: Higher Enhanced CPF Housing Grants (EHG), lower Loan-to-Value (LTV) limits & more"},"content":{"rendered":"
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The National Day Rally 2024 brought significant updates to Singapore’s housing policies, with an emphasis on enhancing affordability and accessibility. These changes are set to impact first-time homebuyers, singles, and seniors alike, making the property market more inclusive and equitable. <\/span><\/p>\r\n\r\n\r\n\r\n

Here’s a breakdown of what you should know.<\/span><\/p>\r\n\r\n\r\n\r\n

Housing affordability and financial support<\/b><\/h2>\r\n\r\n\r\n\r\n

One of the most anticipated announcements during the National Day Rally 2024 was the increase in the <\/span>Enhanced CPF Housing Grant (EHG)<\/span><\/a>. This grant is crucial for making public housing more affordable, especially for first-time buyers.<\/span><\/p>\r\n

Increase in Enhanced CPF Housing Grant (EHG)<\/b><\/h3>\r\n

Before this year\u2019s changes, eligible first-time families could receive up to S$80,000 under the EHG, while singles could receive up to S$40,000. <\/span>However, starting from August 20, 2024, the grant amounts have been increased to provide even greater support<\/span><\/a>. Families will now be eligible for up to S$120,000, an increase of S$40,000. Singles, on the other hand, will see their grant increased by up to S$20,000, bringing the maximum they can receive to S$60,000.<\/span><\/p>\r\n

The grant distribution is tiered based on household income, which means lower-income households stand to gain more. For families, the increase can range from S$5,000 to S$40,000, while singles may see an increase between S$2,500 and S$20,000. This enhancement ensures that those who need the most help in securing a home receive it.<\/span><\/p>\r\n

Importantly, there are no restrictions on the type or location of flats eligible for the EHG, making it a broad support measure across the housing market. Since its introduction in September 2019, the EHG has benefitted about 72,300 first-time households, with over S$2 billion disbursed to help Singaporeans achieve homeownership. In the first half of 2024 alone, approximately S$204 million was disbursed to 7,000 first-timer households.<\/span><\/p>\r\n

Priority for singles<\/b><\/h3>\r\n

Starting from mid-2025, singles who apply for <\/span>Build-To-Order (BTO) flat<\/span><\/a> within 4 km of their parents’ homes will receive higher priority in the ballot. The eligibility age for singles remains at 35 years. This enhanced priority is a new benefit that was previously reserved for married couples and their parents under the <\/span>Married Child Priority Scheme (MCPS)<\/span><\/a>.<\/span><\/p>\r\n

Senior-friendly homes<\/b><\/h3>\r\n

The government is also taking steps to improve housing options for seniors. <\/span>Plans are being explored to make existing homes more senior-friendly, and more elderly-friendly housing options are expected to be launched.<\/span><\/a> These new options will integrate care and social services, ensuring that seniors can age comfortably in place. These enhancements demonstrate a commitment to making housing more accessible and equitable, particularly for lower-income families, singles, and seniors.<\/span><\/p>\r\n

Loan-to-Value (LTV) limit reduction<\/b><\/h2>\r\n

In a move to cool the public housing resale market, the government announced a reduction in the <\/span>Loan-to-Value (LTV)<\/span><\/a> limit for HDB loans. Starting from August 20, 2024, the <\/span>LTV limit<\/span><\/a> will be lowered from 80% to 75%, reducing the maximum amount homebuyers can borrow from HDB.<\/span><\/p>\r\n

This adjustment aligns the LTV limit for HDB loans with those granted by financial institutions, which also stands at 75%. This marks the fourth set of property cooling measures since December 2021. The LTV limit was initially lowered from 90% to 85%, followed by further reductions to 80% in September 2022.<\/span><\/p>\r\n

The impact of this change on first-time homebuyers is expected to be minimal, especially for lower-income buyers. This is because significant housing grants, including the EHG, will continue to provide robust support, helping to mitigate the effects of the reduced LTV limit.<\/span><\/p>\r\n

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Prime waterfront coastline<\/b><\/h2>\r\n

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Urban development in Singapore is taking a bold step forward with plans to develop a 120km prime waterfront coastline. If you\u2019ve always dreamed of living by the water, areas like <\/span>Nicoll<\/span><\/a>, <\/span>Kampong <\/span><\/i>Bugis<\/span><\/a>, <\/span>Tanjong Rhu<\/span><\/a>, <\/span>Marina South<\/span><\/a>, and <\/span>Marina East<\/span><\/a> are set to become new residential and recreational precincts.<\/span><\/p>\r\n

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These developments aren\u2019t just about aesthetics; they\u2019re designed with sustainability in mind. The new precincts will be car-lite, well-connected by public transport, and focus on creating a future-ready urban landscape. This means you can expect a living environment that prioritises green spaces, reduces carbon footprints, and enhances the quality of life for residents.<\/span><\/p>\r\n

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The significance of this project lies in its alignment with Singapore’s long-term urban planning efforts. It\u2019s a continuation of the tradition of ambitious, forward-looking plans that aim to make Singapore a resilient and sustainable city for generations to come.<\/span><\/p>\r\n

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