HDB new scheme gains interest

Madam Cheng Ai King is living in a Housing Board flat with three rooms in Serangoon Central for 23 years. At the age of 67, she is still employed as a helper in a school canteen, being paid $30 daily.

It is possible for her to use a few extra cash, but does not want to leave the neighbourhood where she lives alone after her three children moved out. According to her, ”I have lots of good neighbours and my flat is conveniently located”.

After officers from HDB told her regarding the new scheme, which will provide her an income stream for life, and permit her to remain on in her place, her concern was piqued.

In March 1, the Lease Buyback Scheme was already launched and an outreach drive was set up by the HDB in order to allow aged residents to understand how it really works.

Eligibility is only limited to residents aged 62 and up, and staying in three-room pads or smaller.

Almost 25,000 homes are considered eligible. Under this Lease Buyback Scheme, the HDB will repurchase the tail-end of each flat's rent at a market value, making a remaining lease of 30 years.

A particular homeowner under this scheme directly receives a lump total of $5,000 and a sure monthly annuity income for life.

Yesterday, there were approximately 400 elders who appeared at Toa Payoh West Community Club in order to meet Dr. Ng Eng Hen, Minister of Education, Second Minister of Defence, and MP for Bishan-Toa Payoh GRC.

Dr. Ng said that the scheme is very useful for these elderly Singaporeans who want to stop their employment early or those who did not have the chance to have a sufficient savings in their Central Provident Fund accounts.

“Some used their money for their homes, some helped their children to buy homes. They may not have a steady income for life”.

He also said that several residents informed him during his rounds that they are at ease and contended where they live and do not desire to transfer or downgrade into another flat.

Some of them values privacy and do not prefer sublet rooms. “If they don't like the other options, this is very attractive”, he added.

Next month, HDB will run for another exhibition at other locations such as Queenstown, Kaki Bukit, and MacPherson.