Why July 2025 Could Be the Best Time Yet for Singles and Second-Timers to Apply for a BTO

By now, it’s pretty well established that being single in Singapore doesn’t go hand-in-hand with being a homeowner. It’s not just the wait till the age of 35; it’s the luck of the ballot, and having to compete with the larger percentage of family buyers. Likewise, second-timers often face slim chances, given the high demand for housing that we’ve seen recently. But the latest policy change from HDB is set to change this, and here’s what you need to know:

1. A new Family Care Scheme that will benefit singles

There are two parts to this. The first is the Family Care Scheme (Proximity):

Under this scheme, singles living near or with their parents will get priority allocation for BTO flats. As of now, though, we have not yet received confirmation of what counts as “near,” so we don’t know if the distance is similar to the four-kilometre range of the Proximity Housing Grant (PHG); but it would seem reasonable that they share the same definition.

Under this scheme, up to 30 per cent of 2-room flats in BTO exercises will be set aside for singles applying under this scheme. The Family Care Scheme will also extend to the Sale of Balance Flats (SBF) exercises, where two per cent of SBF units will be reserved for this scheme. 

To be clear, this does not replace the existing quota already set aside for singles. 

HDB already set aside a quota of flats for first-timer singles, even before this: up to 65 per cent of 2-room flats in BTO exercises, and up to five per cent of SBF flats, after seniors have picked theirs.

The new Family Care Scheme means they’ve carved out a portion of this existing singles quota, specifically for singles applying near or with parents (i.e., 30 per cent from the BTO launch and the two per cent from the SBF exercise)

The rest of the singles quota still goes to other first-timer singles.

The second part of this is the Family Care Scheme (Joint Balloting), which will only take effect from the October 2025 BTO launch 

This is further down the road, and we don’t have the full details yet, but HDB has said it will allow parents and their children to simultaneously apply for two units within the same BTO project. We don’t know much else for now, and the quota set aside for flats under this scheme is also not yet disclosed, so we’ll provide updates as they come along. 

(Note: The difference between this and the old Multi-Generation Priority Scheme, or MGPS, is that MGPS applied only to married children applying with their parents. Current reports say that FCS (Joint Balloting) include single children as well, but HDB has yet to explicitly say this.)

The direction of the FCS is quite clear though: Singapore is an ageing society with a lower birth rate, and allowing singles to live near their parents will allow them to better look after their older parents when the time comes. 

2. Higher allocation of 3-room or larger flats for second-timer families

Second-timer families have historically had slim chances when it comes to bigger flats. Usually, the bulk of 3-room and larger flats are set aside for first-timers. From the July 2025 exercise onward though, second-timers will have a better shot:

First, up to 20 per cent of 3-room flats (standard) will now be set aside for second-timers, up from the current 15 per cent. For 3-room Plus and Prime flats, as well as 4-room or larger flats, up to 10 per cent of the supply will be set aside for second-timers (up from five per cent). 

We feel the main excitement here will be the doubled-up chances for a 4-room or 5-room flat for the second-timers; less so the 3-room Plus and Prime flats. A common market sentiment seems to be that you “need” at least a 4-room flat for a family, whether that’s true or not. 

3. Enhancements to the Deferred Income Assessment scheme 

The Deferred Income Assessment (DIA) scheme is for younger couples, such as those who are still studying. For these applicants, the Enhanced CPF Housing Grant (EHG) and HDB loan eligibility can be deferred until closer to the key collection date, by which time they may already be working and have a higher income. 

The catch was that both the flat applicants had to either be full-time students, or have recently completed National Service to qualify for the scheme.

From July 2025 onward, that rule gets a little friendlier: now, only one of the two applicants needs to meet the student or NS criteria. This will widen the number of eligible applicants for flats; and it seems tailored toward the common belief that “you need to have a flat before you get married.”

4. Increased Fresh Start Housing Grant

The Fresh Start Housing Grant is aimed at helping families who have lost their previous flats for whatever reason. The scheme helps them to transition from rental flats back to flat ownership. 

The Fresh Start Housing Grant was previously $50,000, but will be $75,000 going forward from July. This isn’t a huge change per se, but such constant tweaks are needed to keep up with the realities of inflation. 

The bottom line: singles and second-timers finally get a little breathing room

You’ll still need luck, patience, and probably a backup plan when balloting; but these plans show HDB is cognisant of the struggles of singles and second-timers. This is one of many ongoing, episodic tweaks to keep the housing market sustainable; and if you fall into one of these groups, this is your cue to get your documents in order, and watch the July and October launches closely. The odds are a little more in your favour now.

For more on the situation as it unfolds, follow us on Stacked. If you’d like to get in touch for a more in-depth consultation, you can do so here.