Written Answer by Ministry of National Development on appeals to be eligible for HDB’s Proximity Housing Grant when resale flat changes hands between members of the same family

Nov 1, 2021

Mr Gan Thiam Poh: To ask the Minister for National Development regarding parents who bought and moved into HDB flats previously owned by their children, and these children moving into another flat within 4km where the parents now live (a) for the past three years, what is the number of appeals filed by these parents who were deemed ineligible for HDB’s Proximity Housing Grant (PHG); and (b) whether HDB takes into consideration that these transactions are based on latest fair market valuation in such PHG appeals.

Answer:

From Sep 2018 to Sep 2021, there were only two appeals for the Proximity Housing Grant (PHG) from parents who bought or intended to buy their child’s flat, while the child moved to another property within 4km. 

The PHG was introduced in 2015 to encourage more families to live with or close to each other for mutual care and support. All Singaporeans buying a resale flat with or near their parents or children can receive the PHG once, regardless of whether they had previously owned a property.

Parents who buy their child’s flat are not eligible for any housing grants, including the PHG. This is because such buyers are likely to end up with a larger flat, contrary to our objective of supporting seniors to right-size to a flat that better meets their retirement needs.

That said, HDB will consider extending the PHG to parents who are buying over their child’s flat on a case-by-case basis, taking into consideration factors such as whether the parents are right-sizing.