Singapore’s public housing supply to be slashed by 25% starting 2015

Only 16,000 BTO flats will be launched.

The Ministry of National Development yesterday revealed that it will slash Singapore’s public housing supply by 25% in 2015, following a review of recent Build-to-Order application rates.

In 2011, 2012, and 2013, more than 25,000 BTO flats were launched per year. In 2014, the MND reduced supply by 10%, with only 22,400 units set to be launched.

In a post on the MND blog, Minister for National Development Khaw Boon Wan stated that the trimmed supple should be sufficient to meet demand without causing a glut in the public housing market.

“In the past few years, we launch BTO exercises every other month, i.e. 6 times a year, at an average of about 4,000 units per launch. From next year, we will launch BTO exercises quarterly, i.e. 4 times a year. We will maintain the BTO launch size at about 4,000 units. This means a BTO programme of about 16,000 units next year,” the post stated.

Here’s more from the MND:
We are also taking steps to further help families live close to one another. Currently, they get extra ballot chances.
In future BTO exercises, we will set aside a certain proportion of flat supply for those applicants who want to live close to one another. 

In addition, first priority will also be given to those who are applying to live under one roof. First priority will also be extended to parents who own a flat in the mature estate and apply for a flat in the non-mature estate to live near their married child.

These suggestions came up during the recent Housing Conversations. We are happy to adopt them at the next BTO launch next month.