The government has sharpened the differentiation in housing benefits enjoyed by Singapore citizens and permanent residents (PRs), but some PRs claim it is not enough for them to take up citizenship.
Parliament recently revealed that a household comprising of one citizen and one PR would have to pay more to purchase a HDB flat. A new quota has also been implemented for non-Malaysian PRs to prevent enclaves from developing in the country.
Vina Mubtadi, a PR for 1½ years, recently married a Singaporean, and they hope to purchase a HDB flat to start a family.
However, the increasing prices of HDB flats and the latest changes in Singapore’s housing policy will make it difficult for the couple to own a flat.
Still, Ms. Vina will not give up her Indonesian citizenship, despite the carrot being dangled by the government.
"If I give up my nationality, that means I cannot have a property in Indonesia. But if I stay a PR (in Singapore), although I have to pay a higher price to own a property here, at least I can have a property here and I can also have a property in Indonesia,” she said.
Before, households with one citizen and one PR enjoyed the same level of housing subsidies as Singaporean couples.
However, with the change in policy, Singaporeans married to PRs will have to pay $10,000 less in housing grants if they purchase a resale flat, and a $10,000 premium if they decide to purchase a new flat. But if a family member who is a PR becomes a citizen or has a Singaporean child, the amount will be restored.
National Development Minister Mah Bow Tan also announced that a new quota for housing estates has been implemented for non-Malaysians. He pointed out that these new rules would help to encourage integration.
But several market watchers said that the new rules may affect Singaporeans more than PRs.
"If a certain estate has reached its maximum PR quota, then Singaporeans can only choose to sell to Singaporeans. So they cannot be so choosy about it, because if a PR wants to buy their house, they cannot sell it to them. So they probably cannot ask for too high a price,” said David Poh, senior group district director at PropNex.
"Whereas, if you are a PR living in an estate with a full PR quota, then you can choose to sell to both Singaporeans and PRs. In this case, you probably can ask for a slightly higher price," he added.
In addition to the Ethnic Integration Policy already implemented, the new quota is set at eight percent for block level and five percent for neighbourhood level.