Families in need of housing while they wait for their Build-To-Order (BTO) flats to be completed can expect additional support in the form of one-year open market rental vouchers, Lawrence Wong, Minister for Finance and Deputy Prime Minister, said in his Budget speech on February 16.

The dollar amount for the one-year Parental Provisional Housing Scheme voucher, or PPHS (Open Market), has not been disclosed.

“It will be particularly helpful as HDB flat rents have been increasing in recent years,” says Ismail Gafoor, CEO of PropNex Realty. According to Rental Transactions, average monthly HDB flat rents have increased significantly from 2021 to 2023 for all flat types. Therefore, the PPHS voucher will be useful to offset rental costs, he adds.

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Gafoor hopes that the PPHS voucher can be extended beyond one year to continue providing support to eligible families until their BTO flats are ready. “It will also help minimise any disruption to their housing situation in the meantime, in case their new flats take longer than a year to complete,” he notes.

HDB currently offers subsidised housing to couples waiting for the completion of their BTO flats under its Parenthood Provisional Housing Scheme (PPHS), launched in 2013. About 2,000 flats are managed under the scheme, but HDB announced on Feb 5 that it aims to double this number to 4,000 by 2025. The scheme gives priority to married couples with at least one child under 18 and includes expectant parents.

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