More housing aid proposed for elderly
[SINGAPORE] More help could be on the way with housing for the elderly, according to National Development Minister Khaw Boon Wan.
Yesterday, Mr Khaw told Channel NewsAsia (CNA) his ministry will look at expanding the Lease Buyback Scheme, an initiative that helps the elderly monetise their housing assets.
He said this on the sidelines of a post-Budget dialogue with grassroots leaders yesterday.
Mr Khaw added that his ministry is studying suggestions to expand the scheme to include four and five-room flats. Now, only seniors who own three-room and smaller flats are eligible.
The scheme allows elderly flat owners to sell part of their flat lease to the Housing & Development Board, and retain a 30-year lease. The proceeds from selling part of the flat lease will be used to top up their CPF Retirement Accounts. These savings are then used to buy a CPF LIFE plan to generate a monthly income for life.
"I don't have a solution as yet, but I would like to see what else we can do to help seniors in a big flat move to a smaller flat if they wish to (and put) more money in their pockets. So I'm open to ideas and discussions," Mr Khaw told CNA.
Last year, 240 seniors took up the lease buyback scheme. "I don't regard the low take-up rate as a failure. What it means is that people are not financially desperate to need to take advantage of those options, but those options are there for those who need it," Mr Khaw was reported as saying yesterday.
Also, more assistance for second-time home buyers, such as divorcees with children and single parents, might be in the offing, given how the housing needs of newlyweds have largely been met, Mr Khaw said.
