Both me and my gf are 27 and we are looking to get a place. However, after trying for more than a year to ballot for flats, we are "lucky" never to get a chance. Now that I am "lucky" enough to get a new job that pays well, we are not eligible to apply for a new flat since we are a couple of hundreds over the salary cap. We cannot afford a condo as it is still expensive(compared to 2-3yrs ago) even in todays economic climate. Does this mean any young couples that wants a place to set up a family will always need parents help? Or just have to wait till they can save up huge amounts of cash?

STOMPer papajack

I checked the hdb website and found that it has a substantial amount of information and useful advice.

As the site mentioned, the income cap is as below.

"Buying a 3-room Premium, 4-room or bigger flat
Your gross monthly household income must not be more than $8,000.
If you are buying a flat with your extended family, your gross monthly household income must not be more than $12,000.

Buying a 3-room
Your gross monthly household income must not be more than $3,000.

Buying a 3-room Premium, 4-room or bigger flat
Your gross monthly household income must not be more than $8,000.
If you are buying a flat with your extended family, your gross monthly household income must not be more than $12,000."

Source: HDB
URL: www.hdb.gov.sg/fi10/fi10201p.nsf/WPDis/Financing%20Your%20Home%20(e-Financing)Overview?OpenDocument#
Last accessed: 20/04/09

To buy a flat that fits your needs and affordability, financial planning is a crucial step. Also, you have to assess whether the housing loans from hdb or banks are manageble within your capabilites. There is a financial Planning - Step-By-Step Guide in the hdb website that you can refer to.
http://www.hdb.gov.sg/fi10/fi10201p.nsf/WPDis/Buying%20A%20New%20HDB%20Flat%20(e-Sales)eServices%20-%20Sales%20Financial%20Plan?OpenDocument&SubMenu=eServices

There is also the Cash Flow Planner to calculate your monthly expenses and cash available for loan instalment payments. URL: http://www101.hdb.gov.sg/hdbvsf/eampu100.nsf/0/w_FinCalc.htm