Sporns Priced Out of "Affordable" HDB PHoles!

[makapaaa]

<TABLE border=0 cellSpacing=0 cellPadding=0 width="100%"><TBODY><TR>Aug 22, 2009
HIGH HDB PRICES
</TR><!-- headline one : start --><TR>Squeezed even harder
</TR><!-- headline one : end --><!-- show image if available --></TBODY></TABLE>




<!-- START OF : div id="storytext"--><!-- more than 4 paragraphs -->THE HDB resale price index has surged relentlessly since 2007. Since the first quarter of 2007, the index has increased 35.3 per cent and is now at a record high, even though the economy is still recovering from downturn.
This is an anomaly the Government should examine.
The recent Punggol Residences launch by HDB, which drew seven applications for every unit on sale, is another case to show the Government needs to increase supply to prevent housing prices escalating further.
While there is the additional housing grant to help the lower-income group, I urge the Government not to overlook the sandwich class group - those who are not eligible for subsidised public housing, yet cannot afford private housing. The escalation of mass market property prices has made the dream of owning a private property even more distant.
I urge the Government to reconsider the income ceiling of $8,000 as a criterion to be eligible for the Central Provident Fund (CPF) housing grant, which has been in place since 1994. Since 1994, the CPF Ordinary Account contribution rate has decreased from 30 per cent to 23 per cent and the HDB resale housing index has almost doubled from 75.5 to 140.2.
The supply of executive condominiums has also come to a halt. For those who aspire to condo living, Design, Build and Sell Scheme units launched by private developers range in prices from $550,000 to $720,000. Given the income ceiling of $8,000, couples who buy such flats must take huge loans which may not be proportionate to their income.
I urge the Government to look into the following to help the sandwich class:

Raise the income ceiling of $8,000 to take into account the almost doubling of housing prices, as well as general inflation;

Increase the supply of executive condominiums;

Increase the supply of new public housing so unsuccessful applicants for new HDB flats will not put additional upward pressure on the resale housing market; and

Implement anti-speculation measures to cool down private property prices.
Given that the HDB resale index may be a lagging indicator since resale transactions entered by buyer and seller may take up to three months before HDB approves the resale application, the housing price index is even higher than it appears. It is already common in the resale market for sellers to ask cash over valuation ranging from $15,000 to $30,000.
The Government is encouraging families to procreate, but imagine what future generations will have to fork out to own a place that they call home.
Chew Kim Cheer

 

[Tiu Kwang Yew]

HDB pigs will response!

anyway, Straits times old newspapers cannot wrap ifre, it will burn inside.

even if the papers can hold out awhile, it will burn out.

tragic story for local sporns becos of one old idiot !

 

[po2wq]

... but imagine what future generations will have to fork out to own a place that they call home.
Chew Kim Cheer

ah cheer ...

future generations? ... watzat? ...

me collect my million $ pay now ... who cares who's goin 2 carry all ze sh*t after me ...

 

[besotted]

good lah

squeeze all the young fresh grads and wake them up

old ones already bought long tgime ago

 

[singveld]

you know why PAP do this
this is the massage the figure of GDP, to make it as if singapore have many better years.

 

[chinkangkor]

The HDB flat prices are not supported by wages but due to a shortage by a deliberate govt policy to under build flats and high demand from PRs.

 

[coolguy]

This is the first time I have heard people say "higher supply Pigeon Holes = higher sinkies procreation." Wahahahaha.
What kind of economic logic is this?
LHL is correct. Sinkies are hopeless.

 

[desirenlure]

Actually the solution is really quite simple: for all Singaporean first-timers, regardless of current family income level while still keeping the race quota, offer new flats at a discount not based on current market value but by the HDB cost price + sustainable margin or a subsidy of amount equivalent to a new flat for first-timers opting to buy a resale flat. But it comes with a holding period of 10 years to enjoy the full subsidy; if the family choose to sell in <10 years, the amount of subsidy will be pro-rated; HDB will deny a transaction if this amount cannot be fulfilled. This prolicy has many benefits:

1. Maintain the policy to give Singaporean a privilege in housing;
2. Keep flats affordable for young couples;
3. Eliminate the question surrounding the "income" criteria to be fair to all Singaporeans;
4. Take into consideration families in financial difficulty, bankrupt, low income group and downgraders from private properties who are never first-timers;
5. Easy to implement and understand by the general public.

 

[johnny333]

Actually the solution is really quite simple: for all Singaporean first-timers, regardless of ......

What makes you think they are looking for some kind of solution to a problem

HDB, CPF, GST, ERP, COE, .... are bringing in lots & lots of $$$$ & the familee has picked up expensive spending habits

 

[DIVISION1]

Oh dear. Oh really?

 

[R4g3]

The magic word is "Affordable"

even it means a much bigger portion of your income is use to service the loan, and a longer period.

 

[eeoror88]

Actually the solution is really quite simple: for all Singaporean first-timers, regardless of current family income level while still keeping the race quota, offer new flats at a discount not based on current market value but by the HDB cost price + sustainable margin or a subsidy of amount equivalent to a new flat for first-timers opting to buy a resale flat. But it comes with a holding period of 10 years to enjoy the full subsidy; if the family choose to sell in <10 years, the amount of subsidy will be pro-rated; HDB will deny a transaction if this amount cannot be fulfilled. This prolicy has many benefits:

1. Maintain the policy to give Singaporean a privilege in housing;
2. Keep flats affordable for young couples;
3. Eliminate the question surrounding the "income" criteria to be fair to all Singaporeans;
4. Take into consideration families in financial difficulty, bankrupt, low income group and downgraders from private properties who are never first-timers;
5. Easy to implement and understand by the general public.

Dung Goo Goo !!

 

[po2wq]

Oh dear. Oh really?

yes, xpensif ... yes, truly ...

 

[po2wq]

Dung Goo Goo !!

goo goo jiao! ...

 

[Leegimeremover]

Did anyone go do an international comparison or a breakdown of housing expenditure vs lifetime income and effective annual disposable income over a life time, counting from when you start working? This will tell you how many children you could possibly have or otherwise in a clear and undeniable manner. If we do a quick one of lifetime income at 2k/mth over effective 30 years of working (factored in unemployment and old age unemployability) you get 720K. If you suay are single and need a place to stay, a shit place could set you back 220K, around 30% of your lifetime income. If you suay live till 80 and started work at 25, your average annual income over your lifetime is 9K or . 757SD/mth or 24SD/day. Current calculations are before taxation. I consider HDBs as a forceable tax to stay in prison(do not get caught walking naked in your prison cell). Sleeping in public is an offence. This is a rough but already very clear picture.

 

[eeoror88]

goo goo jiao! ...

jiao jiao meow

 

[Blue6]

Did anyone go do an international comparison or a breakdown of housing expenditure vs lifetime income and effective annual disposable income over a life time, counting from when you start working? This will tell you how many children you could possibly have or otherwise in a clear and undeniable manner. If we do a quick one of lifetime income at 2k/mth over effective 30 years of working (factored in unemployment and old age unemployability) you get 720K. If you suay are single and need a place to stay, a shit place could set you back 220K, around 30% of your lifetime income. If you suay live till 80 and started work at 25, your average annual income over your lifetime is 9K or . 757SD/mth or 24SD/day. Current calculations are before taxation. I consider HDBs as a forceable tax to stay in prison(do not get caught walking naked in your prison cell). Sleeping in public is an offence. This is a rough but already very clear picture.

You should break down your analysis into paragraphs, don't you think it would be easier to digest?

 

[angry_one]

It's horrible that so many sinkees cannot even afford a home in the place they grew up in! In the resale market you need at least 15K cash over value even for a fucked up apartment. Many take loans, but people like me refuse to. There is no way a normal sinkee can really pay off a HDB flat... he can only sell it if a profit comes and downgrade.

I have also noticed throughout my experiences with HDB that their staff are rude and condescending to flat buyers. Even the frontline counter staff talk down to you, like how a schoolteacher talks down to students, even though buyers are in 30s and 40s.

I suspect they think if you're buying HDB you don't deserve respect... they only want to lick the balls of condo and landed property buyers.

 

[Leegimeremover]

You should break down your analysis into paragraphs, don't you think it would be easier to digest?

Young boy, I did a quick and dirty here in the same time that I typed it. Why don't you do the calculations and research yourself. I offer free service for the poor and challenge here using my DVD/coffee/net surfing time. My consultation rates for proper stuff is not cheap at all.

You should try doing some analysis and put it up here, August newbie. Do you not think it will make you more credible? Putting cheap one liners are only good for PAP and PAP wannabes. Are you one?

Most PRCs in Singapore and in PRC can count and rationalize better than you. Do you not think so, kid?

 

[Blue6]

Aren't you being overly sensitive and prickly? It was just a suggestion. Deriding someone constitutes maturity? And I had thought your post was eye opening!

An afterthought. I should state I take no offence at your reply. It's a misunderstanding due much to the simmering tensions we live under today in Singapore.