In an exciting trend for senior homebuyers in Singapore, the Housing and Development Board (HDB) has revealed that a staggering 90% of seniors opted for short-lease two-room flexi flats. This information was disclosed during an announcement made on Friday, September 27.

The Two-Room Flexi Scheme

Launched in 2015, the two-room flexi scheme empowers older buyers—aged 55 and above—with the option to choose between a 99-year lease and a shorter lease ranging from 15 to 45 years. This innovative flexibility aligns perfectly with the varying lifestyle needs and financial considerations of seniors.

Statistical Insights

According to reports from The Business Times, an impressive 92% of senior buyers selected the shorter lease options, translating to 20,185 out of a total of 21,901 booked units. Only a modest 8%, equating to 1,716 buyers, went for the conventional 99-year lease.

Diving deeper into the data, it appears that the 40-year lease emerged as the most favored choice among seniors, preferred by 27.3% of buyers. The 35-year lease closely followed with 24.4%, and 16.4% opted for the 30-year lease. Interestingly, only a small fraction—298 seniors—chose the 15-year lease, which may indicate a preference for a stable yet flexible living arrangement.

Affordability and Availability

In a remarkable economic aspect, virtually all short-lease two-room flexi flats, including those with a lengthier 45-year tenure, are priced under S$200,000. Many of these units located in non-mature estates are even available for under S$100,000, making them an attractive option for many seniors.

Market Dynamics

Since the inception of the scheme, the HDB has rolled out around 53,900 two-room flexi flats, with a noteworthy 71%—38,378 units—already snapped up. Keys have been handed over for 22,822 of these units, signifying a robust interest in this housing option.

An intriguing factor is that over half (57%) of the sold units have been purchased by seniors, while the remainder caters to singles and families. This trend illustrates the shift towards more accessible and tailored housing solutions in Singapore.

Future Prospects

Looking ahead, HDB has plans to introduce an even larger selection of two-room flexi flats in the upcoming October 2024 Build-To-Order (BTO) sales exercise. New units are set to become available in various desirable locations, including Ang Mo Kio, Bedok, Bukit Batok, Jurong West, Kallang/Whampoa, Pasir Ris, and Sengkang.

Conclusion

As the trend of modular living continues to evolve, the demand for two-room flexi flats highlights the growing understanding of senior housing needs. Is this the beginning of a new standard for senior living in Singapore? The upcoming BTO might just unveil the answer!