http://www.straitstimes.com/archive/...flats-20130612

Young families home in on balance flats

High demand as apartments are nearer completion or already built

Published on Jun 12, 2013

By Daryl Chin Property Correspondent


MARRIED couples with young children have been snapping up the balance flats in the latest launch, Housing Board figures revealed yesterday.

More than two applicants vied for each available unit under the Parenthood Priority Scheme (PPS).

The programme aims to battle Singapore's declining birth rate by giving first choice to married couples who have a child under 16, or are expecting one.

Balance flats - those left over from previous exercises - are in high demand as they are either closer to the completion date or already built. HDB figures showed there were 2.4 applicants chasing every one reserved for them under the PPS.

But it was a different story for Build-To-Order (BTO) units, which take up to three years to be completed. There were two flats for every buyer under the PPS programme - meaning almost all who applied will get one.

In the latest exercise, the scheme was extended to include those with a baby on the way. One in five PPS applicants were expecting a child according to the HDB.

Under the rules, they have to select either a balance flat or a BTO unit.

Analysts said this affected the turnout as those being built to order this time around were all in non-mature towns, and more than 10 minutes from the nearest MRT station. By contrast, many of the balance flats were in hot areas such as Queenstown, Toa Payoh and Central.

Two other schemes also made their debut in the May launch, which offered a total of about 8,000 flats and attracted almost 27,000 buyers.

The HDB doubled the quota of two- and three-room BTO flats for second-timers in non-mature estates, from 15 to 30 per cent. Five per cent of this was set aside specifically for divorcees with children below 16. In the end, 21 divorced buyers applied, which meant that all would have a chance to pick a unit.

The other programme that kicked in was the Studio Apartment Priority Scheme.

This sets aside half of the studio flats on offer for senior citizens purchasing a home near their current one, or close to their married children.

Again, buyers made a bee line for balance flats, with three chasing every unit on offer under the scheme.

SLP International head of research Nicholas Mak said: "The Government has a fine line to tread. It's clear that certain groups are getting priority, but they should also monitor the take-up to ensure that other groups are not neglected."

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