More benefits for elderly households seeking to buy flats under 2R Flexi scheme: Khaw

SINGAPORE — Minister for National Development Khaw Boon Wan today (Aug 8) shared further details on how his ministry intends to combine the current Studio Apartment (SA) scheme and the two-room (2R) scheme into one called the “2R Flexi” scheme.

Writing on the Ministry of National Development (MND) blog, Mr Khaw said that the 2R Flexi scheme will preserve the benefits of the old schemes while providing more benefits for elderly households.

For instance, elderly households aged 55 and above, could soon be able to choose a lease shorter than 99-years if they wish, based on their age and preference. Their lease options will range from 15 to 45 years, in 5-year increments, provided the chosen lease will be able to allow them and their spouse to live in the flat till age 95 or above, said Mr Khaw.

Pricing under the 2R Flexi scheme will also take into account the lease tenure and whether the buyer is a first- or second-timer.

Mr Khaw added that second-time buyers will also pay more than first-timers as the latter will get more subsidies.

“Through a combination of pro-rated grants for first-timers and pro-rated resale levy for second-timers, we will be able to price the 2R Flexi flats so that recent buyers of SA or 2R flats will find the 2R Flexi scheme to be fair,” he said. “New buyers of 2R Flexi flats will also find the flats affordable.”

The 2R Flexi scheme was announced earlier this year. Then, Mr Khaw had said that he felt a need to consolidate both schemes as both studio apartments and two-room units were similar in size, while accommodating the needs of various groups.

More flexible lease tenures and lease terms for two-room flats, which are currently available only under the Studio Apartment Scheme, was also mooted in March this year. RAYMOND MARK THAM