Singapore parents skirt property cooling measures by buying homes in children's names

PROPERTY COOLING MEASURES FOR PUBLIC HOUSING
YEAR 2024

1. The recent adjustment of the HDB Loan's Loan-To-Value ratio from 80% to 75% primarily impacts specific buyer groups. 

2. The first group, consisting of million-dollar HDB purchasers of four-room or smaller units, typically the downgrader market, will not experience any adverse effects as they are paying in full cash. 

3. The second group, those with household incomes exceeding $14,000 who are already utilizing a 75% LTV through bank loans, will also remain unaffected. 

4. Conversely, the individuals most impacted are those with household incomes below $14,000 who have previously received grants, particularly second-time buyers, as they do not benefit from the increased grant amounts. 

5. In summary, the primary individuals affected by this change are not the affluent or first-time buyers, but rather the second-time buyers seeking to upgrade to larger homes for their families.

From October 2024, HDB sales launch will be classified under Standard, Plus and Prime Flat

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