Housing & Development Board

The Housing and Development Board (HDB) was set up as a statutory board on 1 February 1960. Within 35 years, it built 700,000 flats housing 86% of the population. Of the people living in HDB flats, nine out of ten own their own homes.

Home Ownership Scheme (1964)

In 1964, the government introduced the Home Ownership Scheme to give citizens an asset in the country, a means of financial security and to hedge against inflation as it protects against rising rents. Home ownership also helps to contribute to the overall economic, social and political stability of the country.

To make it easy to buy and own a flat, HDB introduced these measures:

• From 1968, the Central Provident Fund (Amendment) Act allows buyers to use their Central Provident Fund savings for the 20% downpayment and monthly repayment of the mortgage loan.
• The income ceiling is frequently reviewed such that every 9 out of 10 Singaporeans are eligible to enjoy the benefits of public housing. At present, the income ceiling is $8,000 for a nuclear family and $12,000 for an extended family.
• Buyers could choose to repay the mortgage loans over 5, 10, 15, 20 or even 25 years. Interest rates charged by HDB are much lower than market rates.

Comprehensive New Town Planning

HDB has always pursued the sound policy of planning and building a new town with a comprehensive town structure even when it faced great pressure to deliver large numbers of flats in the 1960s. Even towns built in the early years, such as Toa Payoh town come complete with a town centre, children's playground, swimming pool, shops, markets, cinema, library and light industries to provide employment for residents. All the transportation and commercial facilities are also linked up to serve residents.

The winning of the World Habitat Award 1991 for the planning and development of Tampines town has earned HDB an international standing as an innovative and successful housing developer.

Good Estate Management

HDB has 19 branch offices strategically located in each town to take care of lease and tenancy matters for all its residential, commercial and industrial properties. This decentralised system ensures that residents' needs are met on the ground quickly.

Prior to 1989, HDB was the estate manager in charge of routine and cyclical maintenance and repair works. From 1989 onwards, HDB has handed over these estate management functions to town councils. However, HDB continues to manage and maintain a very small number of estates on behalf of the Town Councils as its managing agent. This link enables HDB to keep itself up-to-date in estate management, develop mechanisation measures, and do research and development work in estate management.