New Housing Developer Bill Amendments Proposed
As with the recent strong primary sale driven by first time buyers, the Parliament has further re-enhanced and looked at more ways to enforce stricter regimen to the existing Housing Development Act. The last time this was visited was just in February this year. Key notes of changes include:-
Stricter Showroom Construction
Building to scale has already been enforced as to the amendment before, but the bill will require developers to even have all the structural walls to be erected as oppose to having any forms of substitutions (ie, glass or thinner partition) that could mislead buyers.
Ceiling height of the show flat is to be he the same as that approved in the building plan. This bill introduced will empower the Comptroller of Housing to investigate and penalise instances of non-compliance.
Developers are now all required to disclose and publish all rebates, discounts and other benefits offered or extended to home-buyers. This also includes any form of reimbursement of any stamp duty or tax granted to home-buyers.
As with disclosures, this would be affecting buyers in terms of their loan applications as well since any rebates or benefits should be factored into the valuation of the sale property.
Comptroller of Housing is also given legal power to collect and publish information on building projects, unit sold and made available for sale by developers. Data collected would be published frequently to aid home-buyer in decision making.
Stricter Enforcements on Developers
Comptroller of Housing has enhancements on their power as well on grounds which they can revoke or suspend a licence.
With all these bill amendments happening, this should reassure home buyers on the transparency of the market. It should at the same time pose some difficulties to some developers as their sales model might have to change.[block type=”download”]You can read the full speech by Mr. Lee Yi Shyan, Senior Minister of State for Ministry of National Development here.[/block]