THE first batch of new two-room flats offered by the Government in two decades is proving popular, with more than 250 people applying for the 86 units in Sengkang so far.
The 50 sqm, one-bedroom flats cost $54,000 to $75,000 each. They were put on sale together with three-room and four-room units last month, as part of a public housing project called Fernvale Vista.
They were offered under the build-to-order programme, whereby flats are built only if the majority of units are booked.
Although applicants are expected to book their flats only in October, the project is expected to go ahead as all types of flats there have been over-subscribed. As of yesterday, there were 383 applications for the 92 three-room flats, and 853 applications for the 330 four-room flats.
National Development Minister Mah Bow Tan said at a grassroots event last night: 'It indicates that... the two-room flats are a good alternative for people who are either wanting to own a flat for the first time and who are not able to afford the bigger flats, or another option for the elderly when they sell their bigger flats, buy a smaller flat and keep some of the money for retirement.'
He added: 'As long as the demand is there, we will progressively build more of such flats.'
The two-room flats were reintroduced this year to give more housing options to low-income households. They can be bought only by eligible households earning not more than $2,000 a month.
To help low-income households own their first homes, the Government also recently started giving them grants of $5,000 to $20,000.
The Fernvale Vista flats are novel for another reason - they are the first batch to come with a comprehensive set of elderly and disabled-friendly features, such as ramps, easy-to-use light switches, and provision for grab bars in the toilets.
The Housing Board will soon build another 80 two-room flats in Sengkang and 100 in Jurong West, by converting bigger, unsold HDB units. Those in Jurong West will be made available later this year.
Mr Eugene Lim, assistant vice-president of property agency ERA Singapore, expects the converted units to be snapped up as well because of pent-up demand for new, low-cost flats.
tanhy@sph.com.sg
