SINGAPORE: Private property owners will no longer have to wait 15 months before buying a non-subsidised HDB resale flat, with the Government lifting the cooling measure with immediate effect.
National Development Minister Chee Hong Tat announced the change on July 28, saying market conditions had improved and the Government had assessed that the measure had served its purpose.
HDB resale price growth has moderated significantly, from 10.4 per cent in 2022 to 2.9 per cent in 2025. Prices also declined for the second consecutive quarter in the second quarter of 2026, after falling for the first time in nearly seven years in the first quarter.
“With this change, private property owners of all ages will no longer face a wait-out period to buy a non-subsidised HDB resale flat of any size,” Chee said in his opening address at the Singapore Economic Review Conference.
The 15-month wait-out period was introduced in September 2022 as part of a package of property cooling measures aimed at curbing demand from cash-rich private homeowners seeking to downgrade to non-subsidised HDB resale flats.
Singapore citizens aged 55 and above were previously exempt from the wait-out period if they moved from a private property to a four-room or smaller HDB resale flat.
Shortly after taking over as National Development Minister in May 2025, Chee said the measure was not intended to be permanent and would be lifted “when the situation improves”.
He later said in June that private property owners might not have to wait until 2027 or 2028 for a review, as a continued strong supply of new BTO flats and resale units would help moderate prices.
As at March 31, 2025, HDB had received and processed about 5,500 appeals for waivers of the wait-out requirement, with about a quarter approved.
In a joint statement on July 28, the Ministry of National Development and HDB said the stabilisation of the resale market was also supported by a growing number of flats becoming eligible for resale after completing their minimum occupation period.
About 13,500 flats will reach their MOP in 2026, rising to 15,000 in 2027 and 19,500 in 2028.
Mohan Sandrasegeran, head of research and data analytics at Singapore Realtors Inc, said the removal of the wait-out period was consistent with the Government’s “increasingly calibrated approach towards housing policy”.
He said the move should not be seen as a broad relaxation of property cooling measures, but as a targeted adjustment that restores flexibility in a market where price momentum has moderated.
Taken together with recent changes such as the revision to the executive condominium framework, the moves suggest the Government is adopting a more segment-specific approach, Sandrasegeran said.
The approach involves tightening policies where affordability pressures remain high while selectively easing restrictions where market conditions have stabilised, he added.
Christine Sun, chief researcher and strategist at Realion Group, said removing the wait-out period would likely increase demand for larger flats and push up prices in that segment.
“The number of million-dollar resale transactions has been growing, and we expect to see more of such transactions, largely driven by the increased pool of private home buyers downgrading,” she said.
However, Sun said a rise in premium flat transactions was unlikely to have a significant impact on the overall resale market because such transactions still account for a minority of total sales.
Any price increases would likely be contained within the premium segment, while ample resale flat supply should help keep overall price growth stable and measured, she said.
Kelvin Fong, chief executive of PropNex, said the policy change could also bring more private residential units onto the market as owners looking to right-size decide to sell their properties.
Younger singles may get access to HDB flats earlier
In his speech, Chee also highlighted how housing policies for singles have evolved over the years.
Singles aged 35 and above were allowed to buy resale flats from the 1990s. In the 2010s, they were permitted to buy two-room BTO flats in non-mature estates.
Under the flat classification system introduced in 2024, singles have been able to buy such flats islandwide.
“To further support younger singles, the Government is looking at lowering the eligibility age of 35 for singles to buy HDB flats. This policy is currently under careful review,” Chee said.
He said the examples reflected the Government’s pragmatic approach to policymaking, adding that policies must remain relevant to changing societal needs.
Chee also stressed the need to balance competing demands for land use and public spending in land-scarce Singapore.
“As we navigate trade-offs in land use to maintain a robust supply of housing, there are also significant fiscal trade-offs involved,” he said.
He noted that HDB incurs a deficit of several billion dollars each year to support home ownership, including through the construction of flats and housing grants.
The Government continues to make the investment because it believes every generation of Singaporeans should have access to affordable public housing, Chee said, adding that this remains the PAP Government’s commitment to Singaporeans. - Straits Times/Ann
