Property agents disciplined over breaches relating to HDB minimum occupancy rules; cases rise - CNA

In response to a supplementary question by Mr Saktiandi Supaat (PAP-Bishan-Toa Payoh), Mr Lee said that the number of complaints against agents who are suspected of helping to break HDB rules, including those in relation to MOP, has increased over the last two years, from about three per year to around 20 per year.

“We are concerned about this, and we'll continue to have HDB and CEA worked closely together to ensure that the understanding of the foundation of these rules relating to property and real estate are underscored by our sector,” said Mr Lee.

500 RANDOM INSPECTIONS MONTHLY

A few MPs also asked for more details on the breaches of the MOP over the years, how HDB detects such violations and how the ministry deals with such “errant owners”.

Mr Lee said that HDB detects potential infringement of HDB rules and regulations through a range of methods, including the use of data analytics and other tools. But it also does not want to “overly impinge” on the privacy of 1.1 million HDB home owners, the vast majority of whom abide by the rules, he added.

HDB conducts 500 inspections randomly each month to check for infringements, such as unauthorised rentals and non-occupation of flats.

The agency also relies on feedback. Between 2017 and 2022, HDB received around 4,700 cases of feedback on potential infringements of MOP rules.

As part of the HDB resale process, it also conducts inspection on all HDB flats in a resale transaction, and flats that have been found to be in bare or “brand-new” condition will be flagged for further checks.

HDB has taken action against 53 owners who had not occupied their flats and 21 have had their units compulsorily acquired from January 2017 to November 2022, said Mr Lee, numbers that HDB had previously given.

Owners whose flats are compulsorily acquired by HDB will also be debarred from buying subsidised flats or taking over such flats through a change in ownership.

"For some of these cases where we take firm action, it is quite clear from the evidence, from the interviews, investigation that they either had no intention to live in those homes or felt that ... they could get away with it," said Mr Lee.

Responding to MPs' questions on whether the penalties for such cases should be higher, Mr Lee said that their suggestions will be considered as part of a broader review.

STRIKE A BALANCE

Mr Lee told the House that the current five-year MOP seeks to strike a balance: Reinforcing the objective of owner-occupation, while not “unduly hampering” those who want to move when their family circumstances or life needs change.

As for owners who are unable to fulfil their MOP due to changes in their circumstances, they need to return their flat to HDB.

Between January 2017 and December 2022, a total of 258 BTO flats and 168 resale flats have been returned to HDB, he said.

These owners faced circumstances such as divorce or separation, death of the owner and medical reasons, among others. As they had not fulfilled their MOP, they were not allowed to sell their flat on the open market.

Mr Lee said he recognises the concern, and sometimes anger, of members of the public when they come across such cases.

“They see public housing as first home while recognising that people do have changes in life course and also do want to upgrade as their circumstances and financial situation improves,” he said, encouraging members of the public to blow the whistle on potential breaches.

“HDB will investigate such cases and continue to take firm action against infringement of HDB rules and regulations.”

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