HDB Lease Buyback Scheme

wef 1 Mar 09, HDB will accept application for Lease Buyback Scheme (LBS) - HDB will buy back the tail-end of the lease, leaving the elderly with a non-transferable 30yrs lease.

Eligibility:
- Singaporean
- Age of youngest lessee is >= 62yrs old
- Household income <= $3k
- <= 3Rm flat, with outstanding mortgage <= $5k
- Hv not owned >= 4Rm flat or pte pty
- Hv only enjoyed 1 housing subsidy
- Hv owned the flat for >= 5yrs

Equity Unlocked:
- Value of flat depends on (1) mkt value, and (2) length of the remaining lease.
- Govt subsidy of $10k.

Payout:
- $5k lump sum
- Remainder will be used to purchase an annuity fr CPF to provide mthly stream of income for life. The amt of mthly income depends on the equity unlocked (minus $5k), the age and gender of the lessee(s).

If the elderly passes away b4 30yrs is up, his fmy will get a pro-rated refund. And if he lives beyond 30yrs, HDB will also ensure a roof over his head.

* HDB-Leaseback , Asia1-Leaseback *