The government will build more Executive Condominiums (ECs) to meet the housing needs of what is described as the “sandwiched group”.
For this year, ECs will make up 10 per cent of about 12,000 new flats to be built.
National Development Minister Mah Bow Tan said this on Channel NewsAsia’s programme, “Talking Point”. He was responding to a question on prices for the market for ECs, which is regarded as the intermediate market between HDB flats and private apartments.
He said: “The EC market is really a hybrid. It is HDB in the first five years, which will morph into private after ten years. And the reason is we wanted to cater to the so-called sandwiched group – the S$8,000 to S$10,000 group. So that is the reason why the income ceiling for ECs is not S$8,000 but S$10,000.
“And we still give the S$30,000 grant. So if you are a person, couple who are earning say S$9,000, ideally that is the housing type for you. It is well-designed; it is in good location. It is something that would have all the amenities. And at the same time, you still enjoy the grant.
“So that is the reason why we are putting up more ECs on the market. We are catering for 80 per cent of the population, so EC is one housing form that we are watching, and we have recently let out two tenders. And if there is a market and there is a demand, we will let out more.”
This special edition of “Talking Point” can be viewed on Sunday night at 10.15pm on Channel NewsAsia.
Source: Channel News Asia, 13 Mar 2010