This sinkie still refuses to accept that HDB flats are affordable

[Leepotism]

How are prices of new flats derived?


Published on Jun 18, 2013


LAST week, I accompanied my mother to select a flat and I was astounded by the prices of flats.
A four-room, 85 sq m unit in Clementi cost nearly $500,000.


I wonder how an average person and the younger generation can afford these flats.
Does this mean all Singaporeans will have to take a 30-year loan to repay the cost of their flats?


Can the relevant authorities explain how the prices of new HDB flats are derived?
Tan Kah Hong

 

[DuYunQi]

At least this one has suddenly woken up.. 60+% could still be dreaming..

 

[Leepotism]

ya, it's very difficult to wake them up.

 

[winnipegjets]

If the government doesn't increase the price of flats, then the skeleton in the closet will be exposed; CPF is bankrupt!

 

[Leepotism]

If the government doesn't increase the price of flats, then the skeleton in the closet will be exposed; CPF is bankrupt!

Chee to Goh: Where's our money?

 

[Dark Knight]

4 room flat cost $500,000.
Let's say "only 5%" down payment, it's already $25,000.
Not many local Sillyporeans even have $25,000 savings at that young age.

 

[Leepotism]

4 room flat cost $500,000.
Let's say "only 5%" down payment, it's already $25,000.
Not many local Sillyporeans even have $25,000 savings at that young age.

True. Let's say government give $40,000 grant subsidy for first time buyer, it is still very very expensive at $460,000 for a pigeon hole.

 

[laksaboy]

Keep reading this until you get it.

http://www.tomatobubble.com/id39.html

The "business cycle" is very simple. When the rate of growth in money supply (debt supply) exceeds the rate of growth in the general economy (GDP), the excess "money" has to go somewhere. It creates an illusion of prosperity. Artificial bubbles will form either in housing, stocks, currency, etc. Eventually the market always corrects for these phony excesses and the bubbles burst. (just like the poker game.)

GDP growth is fueled by "consumer spending"(consumption) and the constant borrowing which enables it. This is why economists, politicians, and other assorted lunatics are so obsessed with constant GDP growth.

 

[Physiocrat]

Keep reading this until you get it.

http://www.tomatobubble.com/id39.html

Thanks for the article. The analogy is much clearer as compared to what I have seen from other sites which touches on the same subject.

 

[I_Hate_Pappies]

$500k is just half of a million. Relax lah. By the way, Mr Tan and his family voted for who?

 

[escher]

Every time you see the fucking word affordable used by PAP cockroaches and maggots, you know for sure that you are being
screwed and fucked by them for more billions into smear of shit on sole of shoe LKY Stinkapore sovereign fund.

Go check the tenders awarded for construction of HDBs
The construction cost per 4 room/5 room unit will be about 65 thousand only.

YOU ARE PAYING AND PAYING FOR THOSE FUCKING PAP MINISTER PAY AND PAY TO KANGAROOS AND CIVIL SERPENTS AND STINKAPORE SOVEREIGN FUNDS

 

[The_Hypocrite]

I hope not to offend many here but I want to raise this point.

500K @2.5% interest is 12500/year. So plus property tax lets say is 13k payments per year. In clementi some more.

In Oz..the cheap 4 bedroom 2 bath room house on no land and far away from the city. To get anywhere, Take bus cos u a bomb...drive car traffic jam is about 360K. I am comparing averages as singapore the average living accomodation is a flat. In Perth its a house. with the interest rate in Oz now at about 5.5% is $19800. So In oz,,house is cheaper,,u borrow also less,,but the fucking interest rate is the highest in the OECD and it cos u more. On the average wage before tax is about 45K. After tax is about 34 K..No damn way the bank will lend you to get a house. So u are basically stuck,,,

Guess the world is becoming more fuck up...

 

[mulvi74]

If the government doesn't increase the price of flats, then the skeleton in the closet will be exposed; CPF is bankrupt!

This is spot on ... to stop having to pay out the CPF they increase the price of the HDB by so much that people have nothing left after buying house. If HDB flats were at a proper market price and there were a claim on CPF funds the gahmen would be bankrupt. As it is now it's a book entry.

 

[The Penetrator]

Don't worry the haze will make property price go down soon !

 

[Shi Jin]

They will tell him off saying that if you cannot afford 4 room you should lower your expectations. Plus if you are low wage workers there are other "schemes" that can help you.