Buying an HDB flat as a divorcee is something one may need to navigate upon the dissolution of their marriage. Many Singaporeans look forward to a happy married life where their home is their castle, and everything goes as planned. Unfortunately, life doesn’t always work out that way. Divorce in Singapore is on the rise, with 7,118 marital dissolutions recorded in 2023, up from 7,107 in the previous year.
If your marriage has unfortunately foundered on the rocks, you may find yourself without a home if your spouse is granted custody of your current flat. We’ve written an article on what you can do in such a situation.
We’ll cover the HDB divorcee scheme, answer questions like “Can a divorcee buy a 4-room BTO flat?” and discuss the available HDB housing grants for divorcees. If you need home financing advice or help securing a new home loan, you can contact our Mortgage Experts.
1. Rent a Home
The most immediate interim option is to rent an apartment or at least a room. This is especially pertinent if your income is low or your finances have come under strain prior to or during the divorce.
At least as a temporary port in the storm, renting may make more financial sense in the near term as you assess a more financially stable option. However, it does depend on what rental you pay. Generally, three kinds of rental are available: renting from the HDB, renting an HDB flat or room on the open market, and renting a private property or a room in one.
Renting from HDB directly is highly affordable, but most people would not be eligible for this as the income ceiling for that is $1,500 a month, with higher incomes only considered on a case-by-case basis. Renting from the open market gives you a surer bet of finding a place to stay, but you are at the mercy of market prices.
2. Buy a BTO Flat under the HDB Divorcee Scheme
As a divorcee, you may qualify for HDB’s Assistance Scheme for Second-Timers (ASSIST). Better known colloquially as the HDB divorcee scheme, the ASSIST scheme is a priority scheme for divorcees with children. This would entitle you to apply and ballot for a BTO immediately after your divorce, following the same standard procedure as couples and singles over 35.
However, the HDB divorcee scheme qualifies you for certain flat types. The answer to “Can a divorcee buy a 4-room BTO flat?” is no, as you can only buy 2-room Flexi and 3-room Standard flats under the HDB divorcee scheme. You must also have at least one child 18 years old or under.
Alternatively, you can forgo the HDB divorcee scheme and ballot for a new BTO flat as a single. You can do so if you are over 35 and have only owned one BTO flat before, but you will be limited to 2-room Flexi BTO flats.
For those who have successfully booked a BTO flat under the HDB divorcee scheme or as a single person, you can rent a flat under the Parenthood Provisional Housing Scheme (PPHS) in the interim.
3. Buy a Resale Flat
Since the answer to “Can divorcee buy a 4-room BTO flat?” is a no, you may be limited by the HDB divorcee scheme if you need more space. And if you are not eligible for a second-time BTO flat, you may have to purchase a resale flat on the open market.
Of course, this would tend to cost a bit more, and there would still be restrictions on residency. But getting around the question of “Can divorcee buy a 4-room BTO flat?” would mean buying from the open market. Remember that as a single, you cannot buy units larger than a 2-room BTO flat anyway.
Although a resale flat does not consider custody of children, meaning you could apply for it if you have no children or do not have custody of them, it still does have the 35-year-old age requirement.
When buying another HDB flat, your second-timer status will likely affect the amount you’ll get from HDB housing grant for divorcees. Also, the HDB housing grant for a divorcee will likely be the amount if you buy an HDB flat as a single person (if you’re buying the HDB resale flat as a single person with no other essential occupiers or co-owners).
Even if you can buy a resale flat, you must plan your finances carefully, as you will only have your own income to finance the home. Getting the right mortgage for you is absolutely crucial for the long term.
4. Buy a Private Property
Buying from the HDB, as in the options above, can be fraught with restrictions. Of course, the simplest way to get around them would be to leave the HDB system and buy a property from the private market. But we hardly need to tell you that this involves a significant cost.
If you have done an eligibility check with our pre-qualification tool and your finances can support the purchase of private property, this is an option with fewer hurdles to go through
5. Move in with Your Parents
If none of these options are immediately available to you, then what you need is time. Everything, including your financial situation and eligibility, changes with time.
When all else fails, the most sensible thing you may be able to do is to move back in with your parents if you’re able to. This may be the best choice until you’ve saved up more or meet the relevant housing eligibility criteria.
Buying a Home as a Divorced Person in Singapore
Being uprooted as a result of a divorce can be greatly disorientating, even if it was an amicable parting. It’s understandable that, alone once more, the need to find a new place to call home again can be overwhelming.
Nevertheless, we hope this can help you find a way forward and make practical and prudent financial moves. Go for something you can afford now and work your way towards your new property goal over time.
If you’re considering obtaining a new property, our Mortgage Experts would be glad to advise you on your options and help you settle down quickly. From securing an IPA to choosing the best home loan for you, they’re always available to help you find the best ways to finance your new home. Best of all? They can help you at no cost!
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