Written answer by Ministry of National Development on time between HDB flat key collection appointment notification and appointment date

Jan 9, 2024

Question No: 5544

Question by: Mr Chua Kheng Wee Louis

To ask the Minister for National Development in the last five years (a) what is the average amount of time from the time HDB notifies flat buyers of their key collection appointment to the appointment date itself; (b) what is the number and percentage of key collection deferral requests beyond one month from the date of the original appointment and the average penalty interest charged; and (c) what is the number and percentage of flat applications cancelled as a result of non-collection of keys.

Answer:

Over the past five years, on average, key collection appointments have been scheduled around ten calendar days after HDB notifies flat buyers on their appointments. Under the Agreement for Lease, flat buyers must collect their keys within one month of the notification of key collection. Flat buyers may rearrange their key collection appointment to a convenient date and time, subject to availability, within this one-month period.

2.       Over 80% of flat buyers collected their keys within the one-month period.  Around 12%, or about 9,700 flat buyers, collected their keys beyond the one-month period and were liable to pay late completion interest. For flat buyers who face genuine difficulties in collecting their keys within the one-month period, HDB may grant a deferral for key collection and waive the late completion interest as needed. The late completion interest charged depends on various factors such as the flat price and balance purchase price payable at key collection.

3.       HDB exercises understanding and flexibility to accommodate the unique circumstances of each flat buyer, to facilitate the completion of the key collection process. However, there remain some flat buyers who are unable to complete key collection, even after multiple deferments. For this group, which comprised 2%, or 1,700 flat buyers, in the past five years, HDB will ultimately have to cancel their flat application. For such cases, HDB may waive the forfeiture fees and assist flat buyers in securing alternative housing as needed.