The HDB Proximity Grant (PHG) is here to help!
It’s a housing grant that financially supports families who want to buy an HDB resale flat near their loved ones.
This grant is a one-time opportunity that can be combined with other CPF Housing Grants, maximizing your financial assistance.
|HDB Proximity Grant||The HDB Proximity Grant (PHG) is a one-time housing grant that helps families buy an HDB resale flat near their parents/child.|
|How it works||The grant provides up to $30,000 for a resale flat within 4km of parents’/child’s HDB flat. The amount varies based on proximity.|
|Eligibility criteria||At least one applicant must be a Singapore citizen, parents/child must be Singapore citizens or PRs, and income limits apply.|
|Types of HDB housing grants||Other grants available include CPF Housing Grants and the Enhanced CPF Housing Grant (EHG).|
|Am I eligible for the HDB Proximity Grant?||Eligibility requires Singapore citizenship, no ownership of private property, and being a first-timer or second-timer without subsidies.|
|How to apply||Complete the PHG application form and submit supporting documents through the HDB website.|
|Maximum grant amount||$30,000 for a resale flat within 4km, $20,000 within the same town/2km, and $10,000 just outside the 4km radius.|
|Enhanced CPF Housing Grant||The EHG provides a subsidy of up to $80,000 for first-time buyers and $30,000 for second-time buyers of HDB flats.|
|Buying a resale flat near my parents||Benefits include convenience, support, and improved family relationships.|
|Comparing BTO and resale flats||Resale flats are better for proximity housing, as they are often closer to parents/children compared to new BTO flats.|
|Considerations for buying within 4km||Understand the grant amount, eligibility, research the estate, and ensure it fits your budget.|
|Importance of proximity in flat selection||Proximity is important for convenience, support, and maintaining family relationships.|
|Half-Housing Grant eligibility||Eligibility includes being a first-timer family, applying for a 4-room or 5-room resale flat, and having a minimum lease requirement.|
|Financing options for resale flats||Explore Step-Up CPF Housing Grant, CPF Housing Grant for Family, and Singles Grant.|
|Benefits of living near parents||Living near parents promotes family closeness, support, and healthier relationships.|
|Tips for finding resale flat near your parents||Consider location, price, size, accessibility, and parents’ needs when choosing a resale flat.|
|Private property vs. HDB resale flats||Private properties offer ownership and flexibility but come with higher costs and longer selling periods.|
|Common misconceptions about PHG||Clear misconceptions like not applying to resale flats or being limited to married couples.|
What is the HDB Proximity Grant?
The HDB Proximity Grant (PHG) is a housing grant that helps families to buy an HDB resale flat near their parents/child or vice versa.
PHG is a one-time grant that can be used to buy a resale flat of any type and size in Singapore.
As of 10 September 2019, the PHG is available for applicants who have booked a resale flat within a 4km radius from their parents/child’s HDB flat or vice versa.
How does it work?
The PHG grants eligible Singaporeans up to $30,000 when they buy a resale flat within a 4km radius of their parents/child’s HDB flat.
The grant amount is $20,000 if the flat is within the same town or 2km of each other.
A $10,000 grant is given for resale flats just outside the 4km radius.
What are the eligibility criteria for the grant?
Eligibility for the PHG is based on the following criteria:
- At least one applicant must be a Singapore citizen
- Your parents/child must also be Singapore citizens or Singapore permanent residents
- You must stay in the new resale flat for at least 5 years
- Your average gross monthly income must not exceed $14,000 for families or $7,000 for singles
- You must not have owned any residential property locally and overseas in the past
What types of HDB housing grants are available?
Various types of HDB Housing Grants are available for first-time and second-timer applicants.
CPF Housing Grants are also available for those who purchase a new or resale HDB flat with their CPF Ordinary Account (OA) savings.
The Enhanced CPF Housing Grant (EHG) was introduced at the beginning of September 2019 to replace the previous AHG and SHG schemes.
With the EHG, first-time buyers can enjoy a grant of up to $80,000, while second-timer buyers can receive $30,000.
Am I Eligible for the HDB Proximity Grant?
What are the requirements?
To qualify for the PHG, you must meet the following requirements:
- At least one of the flat applicants must be a Singapore citizen
- The applicant or the applicant’s spouse must not own or have disposed of any private property in the 30 months before the PHG application date or currently own any private property locally or overseas.
- All applicants must be first-timers or second-timers who have not enjoyed any housing subsidies before
How do I apply?
To apply for the PHG, you must complete the PHG application form.
The Application form and guide to applying can be found on the HDB website.
Along with the form, you must submit supporting documents that include a copy of your parents/child’s NRIC and proof of the relationship.
You must also provide a copy of your latest payslip or the Notice of Assessment for the last 12 months.
What is the maximum grant amount?
The maximum grant amount for the PHG is $30,000 if the resale flat purchased is within a 4km radius of your parent’s/child’s HDB flat.
If the resale flat is within the same town or a 2km radius of your parents/child’s HDB flat, the grant amount is $20,000.
A grant of $10,000 is available for resale flats just outside the 4km radius.
It’s worth noting that the PHG can also be combined with other CPF Housing Grants.
Maximizing CPF Housing Grants for HDB Resale Flats
What is the Enhanced CPF Housing Grant?
The Enhanced CPF Housing Grant (EHG) is a new grant scheme for first-time and second-time HDB flat buyers that was introduced in September 2019.
The EHG provides a more significant subsidy to help buyers’ housing needs.
First-time applicants can receive up to $80,000, while second-timers can receive up to $30,000.
How does it compare to the HDB Proximity Grant?
The EHG and PHG serve different purposes.
The EHG is a general subsidy available to first-time and second-time HDB flat buyers to help them buy a flat, while the PHG is specific to those who want to buy a resale flat near their parents or child.
Besides, the EHG is available to all Singaporeans, while the PHG only applies to those who meet the criteria outlined above.
What are the benefits of buying a resale flat near your
Buying a resale flat near your parents can come with many benefits.
One of the primary benefits is convenience.
Being close to your parents means you can get their help and support whenever needed.
For example, they can help you care for your kids while you’re at work.
Moreover, staying near your parents can contribute to improving family relationships.
Comparing HDB BTO and Resale Flats for Proximity Housing
What are the differences between BTO and resale flats?
HDB flats come in two forms – Built-to-Order (BTO) and resale flats.
BTO flats are new flats sold directly from HDB, while resale flats are previously occupied flats sold by the current owners.
BTO flats are generally cheaper than resale flats.
On the other hand, resale flats tend to be located in mature estates, while BTO flats are in non-mature estates.
Which is a better option for proximity housing?
Buying a resale flat is generally a better option for proximity housing.
This is because new BTO flats may not be located near your parents or child’s home.
Resale flats are typically found closer to older estates where new flats are unavailable.
Moreover, resale flats tend to be larger than BTO flats, which makes them an ideal option for families who need extra space.
What are the considerations for buying a resale flat within
a 4km radius?
Before buying a resale flat, you must consider some factors.
Firstly, you must know the maximum grant amount available for the PHG.
Secondly, it would be best to understand the criteria for eligibility.
It’s also essential to research the estate where you intend to buy the resale flat and ensure it suits your needs.
Lastly, given your monthly household income, you must ensure that the flat fits within your budget.
The Role of Proximity in HDB Resale Flat Selection
Understanding the Importance of Proximity
Proximity is an important consideration for HDB resale flat buyers for various reasons.
The most common reason is to live near their aging parents for convenience and to provide support and assistance when necessary.
Living near parents is also crucial for families with children, as it allows the kids to be closer to their grandparents and benefit from regular interaction and care.
Factors Considered in HDB Resale Flat Selection
When selecting an HDB resale flat, buyers typically consider location, flat type, and size.
Buyers may also consider the flat’s eligibility and resale prices to determine if it fits their budget.
However, proximity is becoming increasingly vital, especially for families living in multi-generational households or those looking to live near their aging parents.
The Value of Choosing a Flat Near Your Parents
When buying a flat near your parents, you can use proximity to promote family closeness and frequent communication.
Having your parents nearby can also be valuable in times of need, like when you have to handle crucial responsibilities or confront difficulties.
Ultimately, living near your parents can ensure that you look after each other’s welfare and promote healthier relationships within the family.
Understanding the Half-Housing Grant and Its Eligibility
Eligibility Conditions for the Half-Housing Grant
First-timer families looking to purchase a resale flat can apply for the Half-Housing Grant.
This grant is created to make housing more affordable for all.
The grant is provided to families living within the income ceiling of S$14,000 while considering the following criteria:
- The flat buyers are first-timer families
- The flat application is for a 4-room or 5-room resale flat
- The minimum period for which the remaining lease of the resale flat needs to be at least 35 years at the time of the resale application
How to Apply for the Half-Housing Grant
You can apply for the Half-Housing Grant when you apply for your flat at HDB.
You will require to complete the relevant sections of the HDB flat application form, supplying the necessary documents, like income statements, that support your eligibility for the grant.
After being selected for the Half-Housing Grant, you’ll receive cash and an additional grant for the rest of your lease.
Financial Considerations for Buying an HDB Resale Flat
Cost of Buying an HDB Resale Flat
Compared to new flats, HDB resale flats come at a slightly lower cost.
However, several other costs are associated with purchasing a resale flat, including a resale levy, conveyancing fees, and stamp duties.
Before applying for the HDB Proximity Grant, you must account for these additional costs and explore various financing options for you and your family.
Financing Options Available for HDB Resale Flats
Suppose you’re considering purchasing an HDB resale flat. In that case, you might be curious about financing options like the Step-Up CPF Housing Grant, CPF Housing Grant for Family, or the Singles Grant (for first-time singles and the non-resident spouse under the Non-Citizen Spouse Scheme).
The HDB Proximity Grant is a financing option that caters to families looking for support in staying close to their parents.
Tips for Managing Your Finances when Buying an HDB
When buying an HBD resale flat, it would be best to manage your finances meticulously.
This means analyzing your savings, calculating the recurring monthly housing loan installment costs, and considering your average household income.
All of these aspects will impact your affordability.
Hence, it’s critical to be prepared before booking and purchasing.
Exploring the Benefits of Living Near Your Parents
Why Living Near Your Parents is a Good Idea
Living near your parents strengthens family relationships and promotes intimacy within the family.
Buying a resale HDB flat near your parents’ homes allows you to experience the convenience of being within walking distance.
It encourages frequent communication, which benefits elderly parents and married children.
Benefits of Family Support and Assistance
Proximity to family members leads to increased emotional support.
Knowing that individuals are around when you face personal or professional struggles can be a positive motivator.
This increases family members’ involvement in each other’s lives, reduces loneliness and depression, improves mental health, and rejuvenates elderly parents within the family.
Improving Quality of Life for the Elderly
Living near your aging parents allows you to monitor their well-being, ensuring they get the required support.
The elderly can benefit from visits by their adult children, and their extended family helps maintain mental and physical health, promoting overall well-being.
Tips for Finding an Ideal Resale Flat Near Your Parents
Factors to Consider When Choosing a Resale Flat Near Your
When choosing a resale flat near your parents, it’s important to consider several factors, such as the location, price, size, accessibility, and other eligibility criteria.
Considering your parent’s living standards, interests, and health needs would be best.
This ensures that the chosen flat meets their expectations and makes them feel comfortable and secure.
How to Search for Resale Flats Near Your Parents
You may contact HDB agents looking for HDB resale flats near your parents.
They will shortlist homes matching your specific criteria, saving you time and effort.
Other search methods include using the HDB’s proximity housing grant e-service, notifications, and property news websites.
Online search options eliminate the need to physically visit real estate agents and provide 24/7 availability.
Common Mistakes to Avoid When Buying a Resale Flat Near
It’s vital to avoid some common mistakes when buying a resale flat near your parents.
Not researching the surrounding area to ensure it meets your needs and not considering any hidden renovation costs are examples of such errors.
It’s also important to consider the age of the flat, the quality, and the repair needs to ensure it meets the family’s requirements.
The Pros and Cons of Buying a Private Property Instead
Differences Between HDB Resale Flats and Private
The most significant difference between HDB resale flats and private properties is their costs.
Private properties are considerably more expensive and require additional upkeep and maintenance costs.
Additionally, private properties often include amenities, such as swimming pools and tennis courts.
Benefits of Buying a Private Property
The main benefit of purchasing private property is that you own it.
Additionally, owning private property allows for more home renovation and extension flexibility.
Furthermore, it may be more luxurious than an HDB resale flat, which may help establish a status symbol among family members and colleagues.
Drawbacks of Buying a Private Property
The significant drawback of private property is the additional costs.
If you ca unable to afford this upfront, it may hinder your quality of life.
Furthermore, private properties take longer to sell than HDB resale flats.
Private properties often require a more extended period to sell, which could be considered a drawback if you intend to move in a hurry.
Common Misconceptions About the HDB Proximity Grant
Myth-busting Common Misconceptions About the HDB
Many people have misconceptions about the HDB Proximity Grant.
Some of the most common include that it does not apply to resale flats or is only available to married couples.
These are myths and can create misunderstandings among applicants.
Investigating and clearing these misconceptions is critical before applying for the grant.
Understanding the True Benefits of the HDB Proximity
The HDB Proximity Grant offers benefits such as a family grant, singles grant, and half the grant amount for eligible couples or families with children who purchase a resale flat to live near their parents.
The grant can also help you devise a financial plan around housing loans, reselling prices, and other financial considerations.
What is the HDB Proximity Grant, and Who Can Apply for It?
Understanding HDB Proximity Grant
The HDB Proximity Grant is a housing grant that aims to aid Singaporeans who wish to live with or near their parents or married child.
The grant was first introduced in August 2015 and has helped many Singaporeans finance their HDB flat purchase.
The grant encourages social cohesion within Singaporean families by facilitating closer proximity among family members.
Eligibility for the HDB Proximity Grant
First-time HDB buyers who desire to live with or near their parents or married child can apply for the HDB Proximity Grant.
Eligible buyers must form a family nucleus under one roof or within a 4km radius, with at least one child, parent, or grandparent being a Singaporean Citizen or Singaporean Permanent Resident.
Single applicants can apply for the grant provided they purchase a resale flat under the Single Singapore Citizen Scheme.
The applicants must be at least 21 years old and have not previously received any government housing subsidy.
How to Apply for the HDB Proximity Grant
Eligible buyers can apply for the HDB Proximity Grant through the HDB online portal, where they must confirm their intent to live with or near their parents or married child.
The PHG will be credited into the buyer’s CPF account upon completion of the resale procedures and the successful resale transaction.
Buyers can also use the grant money to offset any outstanding mortgage loan.
How Can the HDB Proximity Grant Help First-Time Homebuyers?
Finance Your HDB Flat Purchase with the HDB Proximity
The HDB Proximity Grant is an effective way to easily finance your HDB flat purchase.
With the grant money being credited to your CPF account, you can use it to cover the down payment and other related costs, such as stamp duty fees, legal fees, and renovations.
Impact of the HDB Proximity Grant on Monthly Repayment
The HDB Proximity Grant can significantly impact your monthly repayment, allowing for more manageable repayments.
For instance, if you purchase a 4-room resale flat with your parents under the PHG scheme, you can receive up to $30,000 in grants.
$20,000 of the grant will be returned to your CPF Ordinary Account, and the remaining $10,000 will be used to offset your outstanding mortgage loan.
This translates to a $177 reduction per month for 20 years.
Real-Life Stories: How the HDB Proximity Grant Changed
The HDB Proximity Grant has changed the lives of many Singaporeans.
For instance, with the grant, young families can now afford to purchase larger 5-room flats for themselves and their parents while still enjoying quality time together.
With this grant in place, Singaporeans can stay rooted with their loved ones and create many shared memories together.
What Are the Benefits of the HDB Proximity Grant for Resale Buyers?
Proximity Housing Grant for Resale Buyers
Eligible buyers who purchase a resale flat and live closer to their parents can receive up to $30,000 in proximity housing grants.
The proximity housing grant promotes social cohesion amongst family members by encouraging them to live closer to each other.
How to Check Flat Eligibility and Distance?
Eligible buyers can check flat eligibility online by logging into the HDB website and inputting their desired postal code.
Additionally, buyers can use the HDB’s Distance Enquiry e-Service, which estimates their distance from their desired location.
How to Use HDB’s Distance Enquiry E-Service?
Users can access the HDB Distance Enquiry e-Service with their SingPass, where they will input their desired and current locations.
The e-Service will then calculate the distance and eligibility between the two locations, providing users with valuable information for their HDB flat purchase decision.
What Are the Recent Changes to HDB Proximity Grant?
New Changes and Enhancements to HDB Proximity Grant
The HDB Proximity Grant has undergone several changes and enhancements in recent years.
The grant now extends to first-time singles looking to purchase a resale flat within a 4km radius of their parents.
The PHG has also been extended to finer unit segmentation, from 5-room or bigger flats to 4-room resale flats.
Impact of Recent Changes to HDB Proximity Grant
The latest changes have provided more opportunities and flexibility for Singaporeans to live with their loved ones.
The amendments have also made the grant more widely available, making homeownership a possibility for more individuals and families.
Expert Opinion: Interviews with Lawrence Wong and
The most recent changes and enhancements to the HDB Proximity Grant have elicited positive reviews from industry experts.
Lawrence Wong and Desmond Lee, the Minister for National Development and National Development Minister of State, respectively, have praised the HDB Proximity Grant, stating that it enables Singaporeans to live with their loved ones and create shared experiences.
How to Make the Most of Your HDB Proximity Grant?
Maximizing Your HDB Proximity Grant: Tips and Tricks
To maximize the benefits of the HDB Proximity Grant, it is advisable to purchase a flat located near social amenities such as transportation hubs, education centers, and healthcare.
Such a flat can increase the overall value of your flat and provide convenience for daily living.
Purchasing a Resale Flat with Proximity Factors in Mind
It is crucial to purchase a resale flat while considering proximity factors.
Buyers should be strategic with the location of their flat, proximity to amenities and loved ones, and carefully track property developments in the area.
Such considerations can help ensure that your resale flat resale value is retained and enjoyable long-term living with loved ones is achieved.
In conclusion, the HDB Proximity Grant (PHG) is a valuable opportunity for families in Singapore to live closer to their parents or children.
With grants of up to $30,000 available, eligible Singaporeans can purchase an HDB resale flat within a 4km radius from their parents’/child’s HDB flat.
It is important to meet the eligibility criteria, such as being a Singapore citizen, staying in the new resale flat for at least 5 years, and meeting the income requirements.
Additionally, it is worth exploring other HDB Housing Grants available, such as the Enhanced CPF Housing Grant (EHG), which offers significant subsidies for first-time and second-time buyers.
Combining different grants can maximize your financial support when purchasing an HDB resale flat.
If you are considering proximity housing, buying a resale flat near your parents can provide convenience, family support, and contribute to stronger family relationships.
It is crucial to understand the differences between BTO and resale flats, as well as the factors to consider when selecting a resale flat within a 4km radius.
Overall, the HDB Proximity Grant presents an excellent opportunity to create closer bonds within your family while receiving financial assistance.
Don’t forget to explore other blog articles to further enhance your knowledge about housing grants and related topics.
Frequently Asked Questions
What is the HDB Proximity Grant?
The HDB Proximity Grant (PHG) is a grant provided by the Housing and Development Board (HDB) to encourage and help families live closer to one another.
With this grant, you can receive up to $30,000 to purchase a flat near your parents or children.
What is the eligibility criteria for PHG?
To be eligible for the PHG, you must meet certain criteria such as being a Singapore Citizen, having at least 1 family member who is also a Singapore Citizen or Permanent Resident, and intending to live with your parents or child in the same development or within 2km of their HDB flat.
You may apply for the PHG if you are looking to purchase a new HDB flat or a resale flat.
Can singles buying a flat apply for the PHG?
Yes, singles buying their first residential property may also apply for the PHG as long as they are living with their parents.
How much can I receive from the PHG?
You can receive up to $30,000 as a family grant or $15,000 as a singles grant under the PHG.
Can I receive the PHG if I have received it previously?
Yes, you may receive the PHG more than once as long as you meet the eligibility criteria and the new flat is located within 4km of your parents’ or children’s HDB flat.
Do I need to return the PHG?
No, you do not need to return the PHG. Unlike other grants, the PHG is non-refundable and does not need to be repaid.
Can I receive the PHG if I want to purchase a private property?
No, the PHG only applies to purchasing an HDB flat. However, there are other grants you can get for the purchase of private property, like the Enhanced CPF Housing Grant (EHG).
What is the CPF OA and do I need to return the money?
The CPF OA refers to the Ordinary Account of your CPF savings. If you have used your CPF OA to pay for your HDB flat, the PHG will be credited back into your CPF OA.
You do not need to return the money, which will go toward your housing loan amount.
Can I still qualify for PHG if I want to live with my parents in a new HDB flat?
Yes, you can still qualify for the PHG if you want to live with your parents in a new HDB flat.
However, you must fulfill the eligibility criteria and apply for an HDB flat with 2 rooms or bigger.
What happens if I sell my flat after receiving the PHG?
If you sell your flat after receiving the PHG, you will need to return the grant back into your CPF OA if you do not meet the conditions of the grant.
What are some other grants I can get besides the PHG?
There are various types of HDB grants available such as the Enhanced CPF Housing Grant (EHG) and the Family Grant.
These grants are designed to help eligible HDB flat buyers with downpayment and reduce their loan amount.