GMS Selling Home To Contest Election 吴明盛破釜沉舟背水一战

[Ramseth]

Anybody read this evening's Shin Min? Tomorrow maybe Straits Times, I don't know.

 

[myfoot123]

[COLOR="_______"]It is now talk of the town. Straits Times is behind time in reporting due to the fact they are thinking how to twist the stories to make PAP looks good and GMS looks bad. Watch out for the turn of news from whoever came from the political desk in Shit Times.[/COLOR]

 

[Satan]

You are a joker! what rubbish kind self-sustainable businessman is that? My last Europe trip already cost more than $14k :oIo: pui

You mean 14k rupiahs is it? What a cheap skate you are. :oIo:

 

[toolanliao]

You mean 14k rupiahs is it? What a cheap skate you are. :oIo:

expected. all pap dogs talk big.

 

[Ramseth]

It is now talk of the town. Straits Times is behind time in reporting due to the fact they are thinking how to twist the stories to make PAP looks good and GMS looks bad. Watch out for the turn of news from whoever came from the political desk in Shit Times.

Both Shin Min and Straits Times interviewed GMS today. Shin Min published it this evening. Let's see what Straits Times do tomorrow.

 

[popdod]

Get ready the backlash of this news report.

:o :( :o

 

[Robert Half]

Both Shin Min and Straits Times interviewed GMS today. Shin Min published it this evening. Let's see what Straits Times do tomorrow.

You means Wednesday Straits Times 21 Apr 2010

 

[eatshitndie]

I reiterate my earlier example. Reperuse carefully. There's no assumption. The resale market will always have 80% unless HDB suddenly demolishes half or even a quarter or even tenth for redevelopment. That in practice is categorically impossible. Resale market flats are flats that are already there with occupiers having fulfilled occupany requirements.

New flats are realised onto market with buying conditions so that not everybody can come and buy again. However, after a few years, occupancy requirements are fulfilled and they become resaleable flats too, replacing that older flats being phased out. In that way, 80:5 is always maintained as an ongoing ratio, as 15% is always reserved for private.

theoretically yes, but practically no. eligibility for resale does not equate to the actual number for resale at any given moment in time. all the pros here who deal with property and real estate know that principle. if all eligible properties go on the resale market at the same time tomorrow, the market will have too much supply chasing demand causing a burst of the bubble.

 

[Ramseth]

theoretically yes, but practically no. eligibility for resale does not equate to the actual number for resale at any given moment in time. all the pros here who deal with property and real estate know that principle. if all eligible properties go on the resale market at the same time tomorrow, the market will have too much supply chasing demand causing a burst of the bubble.

That is correct. In practice, not all 80% eligible are available. It's the same as my earliear say, it's not possible for HDB to redevelop a huge chunk of the market at one shot. Similarly, it's not possible that a huge chunk of the market wants to sell at one shot. But also in practice, not all 5% new are desirable even at a supposedly subsidised price. These natural market mechanisms that ensure stable flow of supply and demand.

 

[RonRon]

If I am MBT i will shit in my pants now..NSP sure win!

 

[Zombie]

That is correct. In practice, not all 80% eligible are available. It's the same as my earliear say, it's not possible for HDB to redevelop a huge chunk of the market at one shot. Similarly, it's not possible that a huge chunk of the market wants to sell at one shot. But also in practice, not all 5% new are desirable even at a supposedly subsidised price. These natural market mechanisms that ensure stable flow of supply and demand.

it is a myth that as long as there aren't hugh chunk of the 80% selling, the market won't collapse...

there are averaging +/- 30k resales deals in a year and these transactions are the ones that move prices, ie you don't need a big, not to say a hugh chunk....

if you minus those hdb upgraders/hdb downgraders that net off demand-supply impact, the numbers could be much lower..

in 2009, hdb released about $14k new flats under BTO

thus, the ratio is only about 2:1 instead of the mystical 80% vs 5%

 

[Ramseth]

it is a myth that as long as there aren't hugh chunk of the 80% selling, the market won't collapse...

You keep addressing the supply. You forgot the demand. It's also impossible that a huge chunk of the population is trying to buy a flat at one shot.

 

[Zombie]

You keep addressing the supply. You forgot the demand. It's also impossible that a huge chunk of the population is trying to buy a flat at one shot.

people will sit and wait.. it had happened before about 10 years back.. people are just not buying and this time it could be worst when the saving is 6 digits..

but they will also make lots of noise...

 

[Ramseth]

people will sit and wait.. it had happened before about 10 years back.. people are just not buying and this time it could be worst when the saving is 6 digits..

but they will also make lots of noise...

If you're not buying, there's no problem. If you're not selling, there's no problem. All live happily ever after. Don't know what's your problem and making noise all about. That was the scenario in the late 60s and early 70s with HDB carrying out it's original mission.

 

[popdod]

If I am MBT i will shit in my pants now..NSP sure win!

I'm not too sure about it..even though i wish GMS well.

Speak to tampines residents....are they unhappy in their ward?
The houses they bough long time ago and raise in value.
The amenities are quite well developed.
The place has lesser FWs compared to the western side of singapore.

So ...the next question is.....why would tampines residents vote MBT out??
when they are happy with their current situation?


:o

 

[Zombie]

If you're not buying, there's no problem. If you're not selling, there's no problem. All live happily ever after. Don't know what's your problem and making noise all about. That was the scenario in the late 60s and early 70s with HDB carrying out it's original mission.

there is an incentive not to buy in open market... 6 digits savings

there is no incentive not to sell in open market.... since there is no more buyers to support prices and market will soon be flooded with cheaper alternatives...

simple logic, cannot see meh...

Don't know what's your problem and making noise all about.

and what makes you different from the pap you are disagreeing with...

 

[Ramseth]

there is an incentive not to buy in open market... 6 digits savings

there is no incentive not to sell in open market.... since there is no more buyers to support prices and market will soon be flooded with cheaper alternatives...

simple logic, cannot see meh...




and what makes you different from the pap you are disagreeing with...

Yes, I agree, provided don't want to choose location or unit. It's very common even now, for those who don't mind the location or unit offered. Oh oh I'm hearing this, fussy, yah. Seller (government) tags to market price and expect buyers to be communist commune resident taker?

 

[Zombie]

....why would tampines residents vote MBT out??

no more bicycle on footpath....

 

[blueblobster]

the reason why people are so concern about hdb prices is because they are sensitive to it...

open market shares are determined by sellers as well as buyers... you think that buyers will still go around happily buying to continuously form the 80% market share?... if yes, you are already making the assumption.

and all you are relying is your restrictions.. with the checking of new PRs/FTs, new local buyers almost all taking the queue to buy from hdb (to save 6 digits figure), where do you find enough buyers to make up the 80% market shares?

when sellers outweigh buyers in the open market, what do you get?

If Ramseth made an assumption, it's a reasonable one.

For the sake of argument, let's say GMS won and managed to get his "Delink" policy through and new flats are going for 100k per unit. You need to remember that there is a limit as to how many new flats are available for sale. If a buyer (for whatever reason) needs a house to stay and he either missed out on the ballot to get the new flat or he does not qualify (e.g. second timer), he has no choice but to purchase from the open market.

Yes, as suggested by you, he can sit and wait. Also, he will not be "happily buying to continuously form the 80% market share". But because of the limited number of new flats available, the restrictions on new flat ownership, or even his bad luck at missing out on new flat ballots, he eventually has to buy a resale flat. The exception is if he has enough money to buy a private property but in this case, it's irrelevant to the argument because prices of new and resale HDB flats will not concern him. His income will also disqualify him from purchasing HDB.

Will GMS's policy cause disequilibrium? Possible but unlikely. Other than the lower prices of new flats in the above scenario, his policy is simply a continuation of the situation now with the new flat restrictions, limited numbers, etc. New flat buyers will still be a subset of all HDB flat buyers but the latter may not qualify to be part of the former. Like the situation now, this group of people will always need to buy resale.

This is of course only true if we assume (yes another assumption) that the HBD does not flood the market with new flats, remove all new flat ownership restrictions, tear down resale flats, impose new restrictions on resale flats, etc.

 

[Zombie]

You need to remember that there is a limit as to how many new flats are available for sale.

people were complaining that mbt was not doing his job because he did not produce enough new flats, and thus new buyers were forced to pay a high price...

and now you are saying that gms will be doing a good job because he will still keep a limit of new flats, so that enough new buyers are forced to pay a high price to support the resale market, while the lucky ones get preferential treatments...