No change in DBSS income ceiling

The pool of potential home buyers for Design, Build and Sell Scheme (DBSS) and Build-To-Order (BTO) flats is now the same, as the government is keeping the monthly income ceiling for DBSS flats at S$10,000.

National Development Minister Khaw Boon said yesterday that buyers with a monthly income of up to S$10,000 now have a choice between DBSS and BTO flats. He said that those who can afford DBSS flats built by private developers can proceed or “come to us — get my BTO launch”.

Private developers for the DBSS sites have flexibility in designing, pricing and selling the flats.

The government is currently reviewing the DBSS model and has suspended land sales under the programme. However, five DBSS projects are in the pipeline, located on sites that were awarded to developers before the suspension.

Eugene Lim, Key Executive Officer at ERA Realty, said DBSS flats will now face direct competition from BTO flats after the government announced the higher BTO income ceiling.

Lim Yew Soon, Managing Director of EL Development — which is in charge of a DBSS site and has yet to launch the project — noted that BTO flats may draw some demand away from DBSS projects. However, Lim does not intend to change the planned pricing for the company’s upcoming DBSS project.

“We had already expected the income ceiling (for HDB flats) to increase to S$10,000,” he said, adding that the DBSS project is located in Clementi and the project’s design and finishing will also be differentiating factors.

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