Fresh Start Housing Grant to be raised from S$50,000 to S$75,000, scheme will cover first-timer families in public rental flats

The Housing Development Board (HDB) will enhance the Fresh Start Housing Scheme to provide more support to families with children who live in public rental flats.

This includes increasing the Fresh Start Housing Grant from S$50,000 to S$75,000 for families who had purchased a subsidised flat before, and extending the Fresh Start Housing Scheme to first timer families with children in public rental flats.

According to the Ministry of National Development (MND), the enhancements to the Fresh Start Housing Scheme are meant to support more families in public rental to attain home ownership.

MND estimates that the enhancements will cost an additional S$3 million per year.

Eligible second-timer families will receive an upfront disbursement of S$60,000 into their CPF OA

With the increase of the Fresh Start Housing Grant from S$50,000 to S$75,000, eligible second-timer families with children will receive an upfront disbursement of S$60,000 into their CPF Ordinary Account (OA) before key collection.

Another S$15,000 will be disbursed into their CPF OA in equal tranches over five years after key collection.

The revised grant will take effect from the July 2025 BTO exercise.

Extending the Fresh Start Scheme to first-timer families

The scheme will be extended to allow eligible first-timer families with children in public rental flats to purchase a two-room Flexi or three-room Standard flat on a shorter lease, which will be more affordable compared to flats on 99-year leases.

MND also clarified that first-timer families who have not received any housing subsidy, are eligible for the EHG of up to S$120,000.

Hence, they will not receive the Fresh Start Housing Grant of S$75,000 meant for second-timer families.

MND added that first-timer families who are eligible can apply for the Fresh Start Scheme from April 2025.

Those emplaced on the scheme can then book flats under Fresh Start starting from the first BTO exercise in 2026.

How many families are eligible for the scheme?

The ministry also noted that there are about 13,000 families with children living in public rental flats, who are broadly eligible for Fresh Start following the enhancements. The ministry expects a few hundred families to ultimately tap on the scheme.

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