As announced by Prime Minister Lee’s National Day Rally speech, the HDB Lease Buyback Scheme will be extended to all HDB flats. While it has generated a lot of hype since it gives Singaporean homeowners more flexibility around what they can do with their biggest asset, there is still a lot of discussion on whether one should participate in the scheme. Therefore, we wanted to crunch the numbers to actually assess whether consumers should be participating in the scheme to sell a portion of their HDB leases. And indeed, our analysis below shows that participating in the HDB Lease Buyback Scheme definitely seems like a financially savvy move, especially for those who want to stay at their current dwelling.

Estimating the Financial Benefits of HDB Lease Buyback

Simply put, HDB Lease Buyback Scheme allows HDB owners to sell the end portion of their HDB lease back to the government. Essentially …