Resale levy more than grant?


Is the average resale levy more or less than the average housing grant?

I refer to the article “11,000 households get government grant in buying resale flats near parents or children” (Straits Times, Feb 11).

It states that “About $211 million in PHG has been disbursed to the 11,000 families, HDB said”.

So, does it mean that the average grant is $19,182 ($211 million divided by 11,000)?

What is the average housing grant given compared to the average resale levy?

The resale levy ranges from $30,000 to $55,000 for flats purchased after 3 March 2006, and 20 to 25 per cent of the resale price before 3 March 2006, for 3-room and larger flats for households.

As an analogy – if the sole property developer in a country tells you that they will give you an immediate  discount when you buy, but you may have to pay a higher penalty when you sell to buy another flat – would you buy under such terms and conditions?

Leong Sze Hian

About the Author

Leong Sze Hian has served as the president of 4 professional bodies, honorary consul of 2 countries, an alumnus of Harvard University, authored 4 books, quoted over 1500 times in the media , has been a radio talkshow host, a newspaper daily columnist, Wharton Fellow, SEACeM Fellow, columnist for theonlinecitizen and Malaysiakini, executive producer of Ilo Ilo (40 international awards), Hotel Mumbai (associate producer), invited to speak more than 200 times in about 40 countries, CIFA advisory board member, founding advisor to the Financial Planning Associations of 2 countries. He has 3 Masters, 2 Bachelors degrees and 13 professional  qualifications.