# More Help for the Elderly Who are Right-sizing - **Source:** Ministry of National Development - **Published:** 2017-03-07T10:50:00.000Z - **Author:** Ministry of National Development - **Original:** https://www.mnd.gov.sg/newsroom/press-releases/view/more-help-for-the-elderly-who-are-right-sizing - **Topics:** Transactions & Deals ## Featured rationale Deferred payments and temporary bridging loans could ease cash-flow constraints, potentially encouraging more elderly owners to right-size and release larger existing flats for resale. ## AI summary From May 2017, eligible homeowners aged at least 55 right-sizing to 2-room Flexi or 3-room flats could defer their downpayment until key collection. ## Original article At MND’s Committee of Supply debate today, Minister for National Development Lawrence Wong announced measures to support the elderly who wish to right-size their home and unlock the value of their existing homes. The new measures focus on smoothening the right-sizing process for the elderly, from the early application phase to the final completion stage in the purchase of a new flat: • service and advice for seniors helps the elderly better understand their housing options and make informed decisions. • Deferred Downpayment Scheme (DDS) allows right-sizing elderly to defer the payment of downpayment until they collect the keys to their new flat. • Temporary Loan Scheme (TLS) facilitates a seamless transition from the sale of their existing flat to the collection of keys to their new flat. Easing cash flow with the Deferred Downpayment Scheme Currently, flat buyers have to make a downpayment of either 10% or 20% of the flat purchase price when they sign the Agreement for Lease at They also have to pay the stamp and legal fees at this stage, which takes place about three to four months after booking their unit. The balance purchase price will be due for payment when the new flat is ready for keys collection, usually a few years later. The new Deferred Downpayment Scheme (DDS) allows the elderly who are right-sizing their home to defer the downpayment on their new flat until key collection. This will help to ease the cash flow for elderly flat owners whose funds are tied up in their existing and smoothen the right-sizing process. The DDS will benefit homeowners aged 55 years old and above who are applying for a 2-room Flexi or 3-room flat in a Build-To-Order (BTO) or Sale of Balance Flats (SBF) exercise. The DDS will be extended automatically to all eligible flat buyers. With the DDS, eligible flat buyers will only need to pay the stamp and legal fees when they sign the Agreement for Lease, without . They will pay the purchase price of the flat when the new flat is ready for key collection. Please refer to Annex A for an example of how an elderly household which is right-sizing can benefit from the DDS. Seamless completion of flat purchase with the Temporary Loan Scheme For elderly households who are right-sizing their home, the proceeds from the sale of their existing flat would generally be sufficient to cover the purchase of their new flat. However, they may need help in the form of a temporary loan to bridge their finances, while they are selling their existing flat. To help these elderly households, HDB will grant a temporary loan to elderly who do not take a housing loan for their new flat[2], under a new Temporary Loan Scheme (TLS). This will ease their cash flow and allow them to transit smoothly from their existing flat to their new flat. The temporary loan will be disbursed after the first resale appointment for their existing flat. The loan amount will be based on what is needed to complete the purchase of their new flat, after taking into account their available CPF savings. The temporary loan will be redeemed using the net proceeds from the sale of their existing flat. To benefit a wider group of new flat buyers, the TLS will also be extended to non-elderly buyers who do not take a housing loan for their new flat. Please refer to Annex A for examples of how households can benefit from the TLS. Implementation The DDS will be implemented from the May 2017 BTO and SBF exercises. The TLS will be applicable to all resale transactions submitted from 8 Mar 2017. For , the public can contact the HDB Sales/Resale Customer Service Line at 1800-866-3066. service and advice for seniors Since December 2016, HDB has implemented an express queue for seniors who visit the Sales Office at HDB Hub, to make an or apply for a flat. Elderly customers who are more comfortable conversing in a particular language could also request assistance from HDB’s customer service officers, who will make the necessary arrangements where possible. To help elderly households better understand the various options and make informed decisions, HDB will also continue to offer one-on-one consultation to seniors at both HDB Hub and its Branches island wide. 1 Those who qualify for the Staggered Downpayment Scheme (SDS) are allowed to pay only half the downpayment (i.e. 5% or 10%) when they sign the Agreement for Lease. The remaining amount is payable during the key collection for the new flat. 2 Those who take an HDB housing loan for their new flats are already assisted currently with a bridging facility, where eligible. ## Chinese translation > Translation model: grok_cli ### 为有意换居缩小住宅的乐龄人士提供更多协助 在国家发展部今日的拨款委员会辩论上，国家发展部长黄循财宣布多项措施，以支持有意换居缩小住宅并释放现有住屋价值的乐龄人士。 新措施聚焦于为乐龄人士顺畅完成换居缩小住宅的流程，从早期申请阶段直至购置新组屋的最终完成阶段： • 为乐龄人士提供的服务与建议，协助他们更好地了解住房选择并作出知情决定。 • 延期支付订金计划（DDS）允许换居缩小住宅的乐龄人士将订金支付延至领取新组屋钥匙时。 • 临时贷款计划（TLS）便利他们从出售现有组屋到领取新组屋钥匙之间的无缝过渡。 以延期支付订金计划缓解现金流压力 目前，组屋买家在签署租约协议时须支付组屋购价的10%或20%作为订金。他们也须在此阶段支付印花税及律师费，该阶段约在预订单位后三至四个月。购价余额则在新组屋可供领取钥匙时到期应付，通常在数年后。 新的延期支付订金计划（DDS）允许换居缩小住宅的乐龄人士将新组屋订金延至领取钥匙时支付。这将有助于缓解资金仍套牢在现有组屋中的乐龄组屋业主的现金流压力，并顺畅换居缩小住宅的流程。 延期支付订金计划将惠及年满55岁及以上、申请预购组屋（BTO）或剩余组屋销售（SBF）活动中二房式灵活户型或三房式组屋的屋主。该计划将自动惠及所有符合资格的组屋买家。 在延期支付订金计划下，符合资格的组屋买家在签署租约协议时仅须支付印花税及律师费，无需支付订金。他们将在新组屋可供领取钥匙时支付组屋购价。有关换居缩小住宅的乐龄家庭如何受惠于延期支付订金计划的示例，请参阅附件A。 以临时贷款计划无缝完成组屋购置 对换居缩小住宅的乐龄家庭而言，出售现有组屋的所得一般足以支付新组屋的购置。不过，他们在出售现有组屋期间，可能需要以临时贷款形式协助衔接资金。 为协助这些乐龄家庭，建屋发展局将在新的临时贷款计划（TLS）下，向不为新组屋申请住房贷款的乐龄人士发放临时贷款[2]。这将缓解他们的现金流压力，并让他们从现有组屋顺利过渡到新组屋。临时贷款将在现有组屋的首次转售约见后发放。贷款额将根据完成购置新组屋所需金额厘定，并计入其可用的公积金储蓄。临时贷款将以出售现有组屋的净收益偿还。 为惠及更广泛的新组屋买家，临时贷款计划也将扩展至不为新组屋申请住房贷款的非乐龄买家。有关家庭如何受惠于临时贷款计划的示例，请参阅附件A。 实施 延期支付订金计划将自2017年5月的预购组屋及剩余组屋销售活动起实施。临时贷款计划适用于自2017年3月8日起提呈的所有转售交易。公众可致电建屋发展局销售/转售客户服务热线1800-866-3066查询。 为乐龄人士提供的服务与建议 自2016年12月起，建屋发展局已在建屋发展局中心销售处为到访的乐龄人士实施快速通道，以便咨询或申请组屋。较习惯以特定语言沟通的乐龄顾客，也可向建屋发展局客户服务人员请求协助，后者将尽可能作出适当安排。为协助乐龄家庭更好地了解各种选择并作出知情决定，建屋发展局也将继续在建屋发展局中心及其全岛各分行向乐龄人士提供一对一咨询。 1 符合分期支付订金计划（SDS）资格者，获准在签署租约协议时仅支付一半订金（即5%或10%）。余款在领取新组屋钥匙时支付。 2 为新组屋申请建屋发展局住房贷款者，目前已可获得衔接融资设施协助（符合资格者）。