The government is open to reviewing or lifting the 15-month wait-out period imposed on private homeowners looking to purchase public resale HDB flats, once the resale market shows sustained signs of cooling. Minister for National Development Chee Hong Tat made this announcement on Wednesday (May 28), citing a recent slowdown in Housing and Development Board (HDB) resale price growth.

"This restriction was implemented as a temporary measure due to concerns over rapidly rising resale HDB prices," said Chee. Introduced in 2022, the wait-out period requires private property owners to wait 15 months before they can buy a non-subsidised HDB resale flat. HDB had earlier stated the policy would be reviewed based on market demand and trends.

Recent HDB data shows resale flat prices grew by 1.6% in the last quarter, down from 2.6% in the previous quarter and below the 2024 quarterly average of 2.3%. This represents the slowest price increase since the first quarter of 2024.

Chee attributed the previous price hikes to a mismatch between supply and demand. Speaking after a visit to the Toa Payoh Ridge Build-To-Order (BTO) project, he noted that efforts to ramp up supply are beginning to ease price pressures.

Former Minister for National Development Desmond Lee had earlier noted that the wait-out policy had curbed speculative demand. From January to September 2022, about 34% of million-dollar HDB flat buyers were private homeowners. After the policy was introduced, that figure dropped to 12% between January and November 2024.

Construction delays caused by the Covid-19 pandemic severely impacted the delivery of new BTO flats. A total of 72,101 flats across 92 projects were delayed. As of March 8, 2025, HDB has completed all 75,800 flats affected by the disruptions. These delays, combined with shifting housing preferences, fueled demand for resale flats and pushed prices up.

Looking ahead, Chee expressed optimism that the market will stabilise further as more newly built flats reach their five-year minimum occupation period (MOP) starting in 2026. While analysts predict that resale flat prices may stay elevated in the short term—only 6,974 flats are expected to reach MOP in 2025, the lowest number in 11 years—supply is set to rebound significantly to 13,480 units in 2026.

“With more MOP flats entering the resale market, along with continued BTO launches, we can expect resale prices to moderate over time,” Chee said.

Chee also acknowledged the contributions of his predecessor, Desmond Lee, under whose leadership more than 100,000 new flats were launched between 2021 and 2025. Looking forward, the government aims to construct at least 50,000 more BTO flats over the next three years. In 2025 alone, about 19,000 households are expected to receive the keys to their new homes.

Beyond increasing housing supply, the Ministry of National Development (MND) is also focused on enhancing the quality of life in new estates, especially those located further from town centres and key amenities. Chee highlighted ongoing efforts to rejuvenate older HDB towns, including plans to launch the new Silver Upgrading Programme. A few blocks in Toa Payoh will be among the first to benefit, with improvements designed to create more senior-friendly living environments.