The particulars of the LBS or Lease Buyback Scheme’s extension in all flats must be ironed out early 2019 said Lawrence Wong, the Minister for National Development, November 16, Tuesday.
The report over LBS extension to cater five -room and huge flats was done last August 2018.
The LBS covers flat owners at aged 65 and up, can sell a portion of their area’s leases over Housing and Development Board (HDB) while preserving the length of the lease according to the youngest owner’s age.
The returns of the said sale will be utilized for topping up their corresponding Central Provident Fund Retirement Account which later on can be used for buying a CPF Life plan which offers individuals monthly earnings all throughout his entire life.
The LBS was emphasized on the blog of Mr Wong, Friday’s publication where he elaborated extending more help to a senior HDB resident owners in terms of financial management for future retirement.
Mr Wong told the LBS offers smaller returns to flat owners in contrast with other choices like the “right-sizing” to other flats or renting a space over one’s existing space or home.
Although it will give them the chance to still live in the same flat, which others choose to.
Mr Wong stressed also that the method of unlocking value in their HDB flat and of the retirement planning can be complicated due to the different factors that need to be considered.
He explained that he requested the HDB to study on what more can be offered for a more personalised update to seniors.
Accepting individual differences, Mr Wong explained that the Housing and Development Board provides a comprehensive, individual counselling and education meeting for seniors.
He also recommended that the Housing and Development Board must provide information over the estimated returns that the residents can gain out from the options their flats yields if they retire in the future.
Mr Wong discussed that when you plan for retirement, the person must check all properties they own, which includes earnings from work, savings in CPF accounts and other areas and not only the value of their presently owned flat.
He authored, ” Financial planning for seniors is something one must deal significantly. For HDB homeowners, this method is also connected to different monetisation choices in order to unlock value to their own flats.”
” Before deciding on a specific choice or option, it’s perfect to check and work out the gross total carefully.”
He also presented that Singapore’s national financial educational project, MoneySense campaign will be holding various financial strategies roadshows in next months to come.
The said roadshow will take place on November 17 -18, 2019 right at Our Tampines Hub or Festive Walk East and will provide areas for estate and retirement planning. Visitors will discover more on different options in housing monetisation, figure out which syncs to their needs.
Mr Wong concluded, ” As the generation ages, Singaporeans will find ways to project ahead for the coming retirement. We shall stretch more help to everyone in the said process for them to be assured of a lifetime abode, and enjoy financial security when golden years arrive.”