Experts optimistic about take-up rate of buyback scheme
Property analysts TODAY spoke to welcomed the extension of the Enhanced Lease Buyback Scheme to four-room flats, noting that the option to unlock value from their dearest asset would now be available to close to 60 per cent of the population.
Property analysts TODAY spoke to welcomed the extension of the Enhanced Lease Buyback Scheme to four-room flats, noting that the option to unlock value from their dearest asset would now be available to close to 60 per cent of the population.
The take-up rate for the scheme has been low so far, but analysts said this could change.
Mr Colin Tan, director of research and consultancy at Suntec Real Estate Consultants, said the move would allow more to spend their golden years in a place they are settled in.
“If they downsize (to a smaller flat), that means they have to re-adjust to a new place,” he added.
Mr Chris Koh, director of Chris International, said: “We are now reaching out to a larger group, which will definitely increase the take-up rate.”
He also felt there was no need to extend the scheme to owners of five-room or bigger flats. “They can always downgrade. They also have more rooms to lease out for additional income,” he said. AMANDA LEE
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