Budget 2025 has been announced, amid concerns on addressing housing costs, a volatile economy, and an aging population. With a $143.1 billion budget, let’s explore key elements affecting both homeowners and the LGBTQ+ community.
1. Public Housing & BTO Supply
The government plans to keep up the supply of BTO flats to address demand, with 3,800 flats available this year and a shorter waiting time of under 3 years. This may encourage buyers to wait for affordable options instead of entering the expensive resale market.
For LGBTQ+ homeowners: While BTO options remain limited to 2-room options only for LGBTQ+ individuals above 35 yo, the increased availability does provide some hope for those with lower incomes, who are priced out of the resale market.
2. Fresh Start Housing Scheme
Support for the Fresh Start Scheme has increased! The grant for second-timer families buying BTO flats jumps from $50,000 to $75,000, and first-time families in public rental flats can now participate.
For LGBTQ+ homeowners: However, criteria restrict eligibility to only to traditional family units, leaving most LGBTQ+ individuals out of this option, and remaining in poor rental choices.
3. Lower Property Taxes
Around 90% of private homeowners will benefit from lower property taxes based on revised AV bands. 1 and 2-room flats will continue to incur no property tax. All other HDB flats will be taxed at the marginal tax rate of four per cent (for any portion of their AV above $12,000). Also a one-time rebate of 20% for owner-occupied HDB flats helps ease the financial burden for homeowners.
For LGBTQ+ homeowners: This decrease can provide relief for queer home owners, especially for those on single incomes living in smaller flat types.
4. U-Save Rebates
For eligible households, U-Save rebates in 2025 can reach up to $760, covering substantial utility costs for HDB owners. They’re expected to cover about six months worth of utility bills for 1 and 2-room flats, or three months of utility bills for 3 and 4-room flats.
For LGBTQ+ homeowners: Higher rebates for smaller flats directly benefit many LGBTQ+ individuals who tend to own smaller 2 to 3-room units.
5. Home Improvement & Sustainability Incentives
The EASE program is now extended to private properties, e/nsuring modifications for seniors and climate vouchers to aid affordability for renovations.
For LGBTQ+ homeowners: This new extension benefits those living in private properties, enhancing home safety and sustainability. Climate vouchers can be quite a big deal for first-time homeowners, who are already burdened by the cost of renovations and furnishing.
6. CDC Vouchers
All Singaporean households will receive $800 in CDC vouchers! These can relieve the cost of living by helping with everyday purchases.
For LGBTQ+ homeowners: Everyone benefits from this support during challenging economic times of rising living cost and higher property prices. Thus every extra dollar in the pocket helps.
Conclusion
Budget 2025 presents opportunities and challenges for the Singapore property market, especially for the LGBTQ+ community. Stay informed and be proactive in navigating your housing journey!
