Going through a divorce brings many challenges, and for couples in Singapore, housing is often a primary concern. The process of separating lives includes figuring out what happens to a previously purchased Build-To-Order (BTO) flat or determining if buying a new one is still possible post-divorce. The eligibility criteria for purchasing a BTO flat after a marital split can be complex, with factors such as age, income, and family nucleus playing significant roles. Understanding these rules is crucial for those looking to secure stable housing after a major life change.
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What Happens to a BTO Flat After Divorce?
When a couple jointly owns a BTO flat, a decision must be made about its future during divorce proceedings. If the flat has not yet reached the five-year Minimum Occupation Period (MOP), both parties may be required to return it to the Housing & Development Board (HDB) unless one person is eligible to retain it. Generally, the right to keep the flat depends on several conditions, including whether there are children involved. If there are children under legal custody, care, and control of one parent, HDB may allow that parent to retain the flat, provided they meet eligibility requirements.
If the flat has already fulfilled its MOP, the options expand. Either party can take over ownership by buying out the other’s share, subject to HDB approval. If neither party wants to keep the property, it can be sold on the open market, and the proceeds divided based on the divorce settlement. However, financial and eligibility criteria must still be met to transfer ownership or retain the flat.
Buying a BTO Flat as a Divorced Individual
A person who has gone through a divorce may still qualify for a new BTO flat, but their eligibility depends on several key factors. One of the most important is age. If the individual is under 35, purchasing a new BTO as a sole applicant is generally not an option unless they have children under their legal custody, care, and control. The Singaporean housing system prioritizes family units, meaning that single applicants under 35 usually do not meet the eligibility criteria unless exceptional circumstances apply.
For those aged 35 and above, options are more flexible. A divorced individual in this age group can apply for a new BTO flat under the Single Singapore Citizen Scheme. However, income ceilings and other criteria still apply, which may limit the choice of flats. Additionally, if the applicant was previously the owner of a subsidized flat, they must fulfill a waiting period before applying for another subsidized unit.
Housing Grants and Financial Assistance
To support individuals seeking stable housing after divorce, various grants and financial assistance schemes are available. A divorced person purchasing a resale flat may qualify for the Singles Grant or Enhanced CPF Housing Grant, depending on their income level. If they are buying a BTO flat under the Single Singapore Citizen Scheme, they may also be eligible for grants that make homeownership more affordable.
For those facing financial difficulties, HDB offers additional support, including rental housing under the Public Rental Scheme. This option provides temporary relief while the individual works towards securing a permanent home. Understanding these grants and assistance programs can significantly impact the financial burden of securing post-divorce housing.
Special Considerations for Parents with Custody
Parents who retain custody of their children often receive priority when applying for a new flat. HDB recognizes the importance of stable housing for children and may provide exceptions to standard rules for divorced parents. For example, a divorced parent with sole custody of at least one child aged 18 or below may be eligible to apply for a BTO flat under the Assistance Scheme for Second-Timers (ASSIST). This is subject to the condition that they have not acquired any interest in an HDB flat or private residential property after the date of divorce.
Additionally, HDB takes a compassionate approach when evaluating housing appeals from divorced parents who face difficulty securing accommodation. If an individual is unable to buy a flat immediately, rental housing may be an option while they work towards homeownership.
Conclusion
Divorce does not necessarily mean losing access to public housing in Singapore, but it does require careful planning and an understanding of eligibility rules. Whether keeping an existing BTO flat or applying for a new one, divorced individuals must navigate various conditions related to age, income, and family status. Those with children have a higher likelihood of securing a flat, while single applicants under 35 may find their options limited. Housing grants and financial assistance can provide additional support, making it easier to transition into post-divorce living arrangements.