The HDB MOP is a well-intentioned policy that balances affordability with accountability. By requiring homeowners to reside in their flats for a minimum duration, the policy effectively curbs speculative practices and reinforces the notion of housing as a fundamental need rather than a commodity. However, the longer MOP for Prime and Plus flats may present challenges for some buyers, especially those with changing personal or financial circumstances.

While the additional restrictions ensure these flats remain affordable for future generations, flexibility in exceptional cases—such as for families facing hardship—could further enhance the fairness and adaptability of the policy. Ultimately, the MOP reflects a broader commitment to sustainable housing and social equity in Singapore’s unique context.

What is the HDB MOP?

The Minimum Occupation Period (MOP) refers to the minimum duration a homeowner must physically occupy their HDB flat before they can sell, rent out the entire unit, or invest in private residential property. This policy aims to ensure that public housing remains a home for Singaporeans rather than a speculative asset.

Duration of the MOP

The standard MOP duration is five years, but it can vary depending on the type of flat and how it was purchased:

Build-to-Order (BTO) or Sale of Balance Flats (SBF): The MOP is typically five years from the date of key collection.
Resale Flats Purchased with CPF Housing Grant: A five-year MOP applies from the date of purchase.
Flat Purchased Without Grant: Also subject to a five-year MOP.
Executive Condominiums (ECs): The MOP is five years from the Temporary Occupation Permit (TOP) date. After this period, ECs can only be sold to Singaporeans and Permanent Residents, with further restrictions lifting after ten years when they become fully privatized.
Prime and Plus Housing (New Framework): Under the Prime Location Public Housing (PLH) model and the recently introduced Plus model, flats come with a longer MOP of 10 years. These policies aim to ensure that flats in prime locations or with special attributes remain affordable and accessible to Singaporeans who genuinely need housing rather than for speculative purposes.

Conditions During the MOP

During the MOP, homeowners must adhere to specific rules:

No Sale of Flat: Selling the flat on the open market is prohibited until the MOP is fulfilled.
No Renting Out the Entire Flat: While renting out individual rooms is permitted (subject to HDB’s approval), the entire unit cannot be rented out. Just recently, a 5 Room HDB unit was repossessed by HDB due to the owner breaking HDB rules.
No Ownership of Private Property: Homeowners cannot own private residential property locally or overseas during the MOP. If they already own such property, it must be disposed of within six months of purchasing the HDB flat. This does not apply to owning commercial property.

How to Check MOP Status

You can check the MOP status of your flat through the HDB’s My HDBPage. Log in with your Singpass to access detailed information about your flat’s eligibility and occupation period.

Why Does the MOP Exist?

The MOP is designed to:

Preserve Public Housing Affordability: By discouraging speculative buying and flipping of HDB flats, the policy helps maintain reasonable prices for public housing.
Promote Stability in Housing Estates: Requiring homeowners to live in their flats fosters community bonds and creates a sense of belonging in the neighborhood.

What Happens After the MOP?

Once the MOP is completed, homeowners gain greater flexibility:

Sell the Flat: The unit can be sold on the open market, usually at a profit, depending on market conditions.
Rent Out the Entire Unit: Homeowners can lease out their entire flat to generate rental income.
Invest in Private Property: Homeowners are free to purchase private residential properties without restrictions. But do note of the ABSD tax if you intend to keep a second property.

Exceptions to the MOP

Certain circumstances may warrant exceptions to the MOP, such as:

Divorce or Annulment: In some cases, owners may be allowed to sell the flat before fulfilling the MOP.
Medical or Financial Hardship: Appeals can be made to HDB for early termination of the MOP on a case-by-case basis.
Relocation Overseas: If homeowners need to move abroad permanently, special arrangements may be considered.

Conclusion

The HDB Minimum Occupation Period is a critical policy ensuring that public housing remains accessible and serves its intended purpose. While it imposes certain restrictions on homeowners, these measures play a vital role in maintaining the affordability and stability of Singapore’s housing landscape. Understanding the MOP is essential for anyone planning to buy an HDB flat, as it influences long-term housing and investment decisions.

Bonus Content

I have compiled a list of HDB blocks/estate that will meet their MOP period in 2025! Ping me if you’d like me to share it with you :)

HDB Minimum Occupation Period MOP: Fully Explained