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http://www.straitstimes.com/PrimeNews/Story/STIStory_670512.html
May 20, 2011
Analysts expect shift in housing policy
By Esther Teo, Property Reporter
SOME property analysts are anticipating policy shifts on HDB flats and mass market private homes, with the appointment of Mr Khaw Boon Wan as the new National Development Minister.
They say Mr Khaw, 58, the outgoing Health Minister, is known to be an effective game changer.
Since housing affordability was a hot-button topic during the elections, the analysts foresee Mr Khaw as being forceful on this issue, at least early on.
Analysts note that Mr Khaw had volunteered for the portfolio, replacing Mr Mah Bow Tan, who is retiring from the Cabinet and the post he has held since 1999.
They recall Mr Khaw was parachuted into the Health Ministry after the 2003 Sars crisis. The well-liked politician was instrumental in restoring confidence in charities after the National Kidney Foundation scandal.
DMG & Partners Securities research co-head Terence Wong said he would not be surprised if Mr Khaw shows determination to make housing more affordable for the young.
Mr Colin Tan, research and consultancy director at real estate firm Chesterton Suntec International, said Mr Khaw has his 'work cut out for him'.
'PM Lee did say that the changes will allow for a fresh slate that will look at everything from scratch, so it's possible that Mr Khaw will look towards reshaping and rethinking policies,' he added.
Industry players say, however, that while it is too soon to identify the changes Mr Khaw may make, his track record of working well under pressure and approachable public persona will stand him in good stead.
The Government may overhaul other policies - including its immigration policy - to prevent a further run-up in prices and to cater to the increasingly squeezed middle class, analysts say.
The aim will be to ensure prices rise - or fall - in line with general economic growth, with a focus on the HDB and mass market segments to ensure affordability for the masses, they add.
The Government had already pledged to review the $8,000 income ceiling for buying HDB flats - unchanged for the past 17 years for first-timers.
SLP International research head Nicholas Mak said, however, that the Government is unlikely to introduce sweeping measures that would cause a price slump as this would unfairly penalise sellers in the resale market.
However, it might look to bring down prices of new build-to-order HDB flats so as to draw demand away from the resale market and stem further price gains.
Last year, private home prices rocketed 17.6 per cent, while HDB resale prices surged 14.1 per cent, upsetting first-time home owners priced out of the market.
Chesterton's Mr Tan added that policies focused on helping the middle-income group satisfy their housing aspirations are also likely.
The Government has vowed to pay particular attention to the middle class as it represents 'mainstream Singapore'.
Property stocks have been weaker since news broke that the Government is reviewing the HDB income ceiling.
Counters like CapitaLand has lost 4.5 per cent since the May 3 announcement, while Keppel Land has dipped 3 per cent. While other factors could be in play, the Straits Times Index gained 0.6 per cent in the same period.
To make housing more affordable to the young, they should just:
1) Sell new bare-bone HDB flats based on construction costs + land costs (no other extra add-on) and eliminate DBSS HDB flats (since if people want quality and better environment etc, they can go for ECs & private properties).
2) Return 60% LTV to 90% LTV (since lower LTV means lower affordability)! :p
3) Increase huge supply of HDB flats to meet demand which sure make HDB cheap and then no longer need so low LTV of 60%! (can increase back to 90%).
If they want more support and votes, they should not just make housing more affordable, their housing policies should also be seen as fair and equitable to all, not just to please select groups (e.g. developers? :tongue3:), including:
1) Reduce that SSD which is not owners' friendly, not upgraders' friendly, and not fair and equitable to all.
2) New launch properties SSD should start from TOP date and not S&P date as not fair to resale property buyers (and also sellers vs Developers)! :simmering:
http://www.straitstimes.com/PrimeNews/Story/STIStory_670512.html
May 20, 2011
Analysts expect shift in housing policy
By Esther Teo, Property Reporter
SOME property analysts are anticipating policy shifts on HDB flats and mass market private homes, with the appointment of Mr Khaw Boon Wan as the new National Development Minister.
They say Mr Khaw, 58, the outgoing Health Minister, is known to be an effective game changer.
Since housing affordability was a hot-button topic during the elections, the analysts foresee Mr Khaw as being forceful on this issue, at least early on.
Analysts note that Mr Khaw had volunteered for the portfolio, replacing Mr Mah Bow Tan, who is retiring from the Cabinet and the post he has held since 1999.
They recall Mr Khaw was parachuted into the Health Ministry after the 2003 Sars crisis. The well-liked politician was instrumental in restoring confidence in charities after the National Kidney Foundation scandal.
DMG & Partners Securities research co-head Terence Wong said he would not be surprised if Mr Khaw shows determination to make housing more affordable for the young.
Mr Colin Tan, research and consultancy director at real estate firm Chesterton Suntec International, said Mr Khaw has his 'work cut out for him'.
'PM Lee did say that the changes will allow for a fresh slate that will look at everything from scratch, so it's possible that Mr Khaw will look towards reshaping and rethinking policies,' he added.
Industry players say, however, that while it is too soon to identify the changes Mr Khaw may make, his track record of working well under pressure and approachable public persona will stand him in good stead.
The Government may overhaul other policies - including its immigration policy - to prevent a further run-up in prices and to cater to the increasingly squeezed middle class, analysts say.
The aim will be to ensure prices rise - or fall - in line with general economic growth, with a focus on the HDB and mass market segments to ensure affordability for the masses, they add.
The Government had already pledged to review the $8,000 income ceiling for buying HDB flats - unchanged for the past 17 years for first-timers.
SLP International research head Nicholas Mak said, however, that the Government is unlikely to introduce sweeping measures that would cause a price slump as this would unfairly penalise sellers in the resale market.
However, it might look to bring down prices of new build-to-order HDB flats so as to draw demand away from the resale market and stem further price gains.
Last year, private home prices rocketed 17.6 per cent, while HDB resale prices surged 14.1 per cent, upsetting first-time home owners priced out of the market.
Chesterton's Mr Tan added that policies focused on helping the middle-income group satisfy their housing aspirations are also likely.
The Government has vowed to pay particular attention to the middle class as it represents 'mainstream Singapore'.
Property stocks have been weaker since news broke that the Government is reviewing the HDB income ceiling.
Counters like CapitaLand has lost 4.5 per cent since the May 3 announcement, while Keppel Land has dipped 3 per cent. While other factors could be in play, the Straits Times Index gained 0.6 per cent in the same period.
phantom_opera
20-05-11, 17:51
I think they will allow Singaporeans singles to buy BTO, may be 3r flat only. Many Singaporeans singles are quite pissed off that they cannot buy BTOs.
3r BTO below 200k is definitely affordable to this group of people.
They may also force existing owners of HDB with private properties to stay in HDB only i.e. HDBs can never be rented out unless you provide proof that you are overseas and don't own private properties in Singapore :tsk-tsk:
This will then moderate the prices of HDB resale flats and then existing tenants will be forced to rent condo instead so mass market condo prices will probably stay flat while HDB resale prices down 10-15%.
nobrainer32007
20-05-11, 22:42
And so cause existing hdb owners to be pissed off cos value of their properties plunge?
LPPL
I think they will allow Singaporeans singles to buy BTO, may be 3r flat only. Many Singaporeans singles are quite pissed off that they cannot buy BTOs.
3r BTO below 200k is definitely affordable to this group of people.
They may also force existing owners of HDB with private properties to stay in HDB only i.e. HDBs can never be rented out unless you provide proof that you are overseas and don't own private properties in Singapore :tsk-tsk:
This will then moderate the prices of HDB resale flats and then existing tenants will be forced to rent condo instead so mass market condo prices will probably stay flat while HDB resale prices down 10-15%.
tough...high prices..complaint
low prices also cannot
then? gahmen heads also big
kingkong1984
21-05-11, 00:17
easy.
just give more EC and keep it below a million.
tough...high prices..complaint
low prices also cannot
then? gahmen heads also big
govt can just say, these are artifically pushed up prices..so now we press down.
otherwise, wadever profits cash+cpf gotta dump back in the next assest.
no holding onto cash!
aiya, dont worry those scholars will work out to kill the market.
Pls hurry up go for the kill!!!!:D :D
kingkong1984
21-05-11, 08:03
Pls hurry up go for the kill!!!!:D :D
Hahaha... Hurry hurry!!!!!
If they want more support and votes, they should not just make housing more affordable, their housing policies should also be seen as fair and equitable to all, not just to please select groups (e.g. developers? :tongue3:), including:
1) Reduce that SSD which is not owners' friendly, not upgraders' friendly, and not fair and equitable to all.
2) New launch properties SSD should start from TOP date and not S&P date as not fair to resale property buyers (and also sellers vs Developers)! :simmering:It will never be fair. Is it fair to have lower class, middle class and upper class? The income ceiling already segragates the rich from buying a HDB and EC. Its not fair to the rich? If start SSD from TOP date for new launch also not fair to the buyers who cannot stay and cannot invest. Then he go buy resale coz want to be fair, then again its not fair to developers with new launches? How ever to be fair to all? :banghead:
Best remove both SSD and BSD. :spliff:
tough...high prices..complaint
low prices also cannot
then? gahmen heads also big
I think the best they can do is to moderate price increment and increase housing supply while waiting for the market to auto correct itself.
Just wonder how difficult it is for someone who just started working to save S$700 a month aside from CPF contribution? If someone, assuming started working at the age of 24, can save S$700 a month, in 3 years he/she can save around 25K, or 50K for a couple who is getting married. Together with the government grant and CPF contribution, they shall be able to afford a HDB flat around 350K-400K, am I correct?
My question is, is it really the problem of affordability or availability?
kingkong1984
21-05-11, 10:43
Very difficult
HDB also cannot finish paying in this life time, how to be able to afford condo?
rattydrama
21-05-11, 10:51
ramp up the supplies and slowly remove SSD. let the market currect itself. otherwise will leave alot of headache to the next ministers and future singaporeans...give grant to those who complaint most - i.e. the newly wed....
I would like to buy a HDB for self stay. gov can you hear me?
kingkong1984
21-05-11, 10:53
They heard u lah, just get rid of ur privates.
Whahahaha
Garment has a taste of his own medicine. They believe in meritocracy. What happen now is that the group of young working adults who are are armed with a good qualification cannot get what they aspire to have in a short period of time. Garment wants things fast and this is injected into them in the last 15 years of their education. All of them want to be instant noodle eater. People got frustrated when they cannot upgrade to a condo from HDB fast and cannot own a car fast.
Garment has a taste of his own medicine. They believe in meritocracy. What happen now is that the group of young working adults who are are armed with a good qualification cannot get what they aspire to have in a short period of time. Garment wants things fast and this is injected into them in the last 15 years of their education. All of them want to be instant noodle eater. People got frustrated when they cannot upgrade to a condo from HDB fast and cannot own a car fast.
With a goal of buying a flat, people shall work hard to achieve it, and at the same time shall adjust their spending patterns.
If you want to spend the money, which is supposed to be saved for the downpayment of your flat in 3-4 year down the road, on non-necessities such as branded goods and entertainment, who can help?
Again, I believe it is less of a problem of affordability, but more of a poorly managed public housing policy and supply
kingkong1984
21-05-11, 11:26
It's the que 'kill' system.
rattydrama
21-05-11, 11:45
with khaw boon wan by minister of MND, difficult to expect spikes in property price unless due to external forces. I think he is able to close the gap soon.
People may not want to work as hard as last time to make the money. They want easy and fast money. That is say but is happening.
With a goal of buying a flat, people shall work hard to achieve it, and at the same time shall adjust their spending patterns.
If you want to spend the money, which is supposed to be saved for the downpayment of your flat in 3-4 year down the road, on non-necessities such as branded goods and entertainment, who can help?
Again, I believe it is less of a problem of affordability, but more of a poorly managed public housing policy and supply
rattydrama
21-05-11, 12:24
They heard u lah, just get rid of ur privates.
Whahahaha
cannot leh, I want to retire without asking the gov to fund my health care cost and to burden my children.
so can gov hear me....:p :p :p
devilplate
21-05-11, 12:30
cannot leh, I want to retire without asking the gov to fund my health care cost and to burden my children.
so can gov hear me....:p :p :p
Gov gona make us repent for 5yrs....its too late
Best is to make developers complete their new projects before they can sell so that people can see how the units will ultimately be like and not cheated by modifications and show-room tactics? Furthermore new sale and resale all on same footings, SSD start on the day they take over the property, all have to pay 40% cash upfront (or 20% for first time buyers), all can start to live in or rent out at the point of take over. :p Otherwise, return LTV to 90% and remove SSD will be fairer. :cheers1:
It will never be fair. Is it fair to have lower class, middle class and upper class? The income ceiling already segragates the rich from buying a HDB and EC. Its not fair to the rich? If start SSD from TOP date for new launch also not fair to the buyers who cannot stay and cannot invest. Then he go buy resale coz want to be fair, then again its not fair to developers with new launches? How ever to be fair to all? :banghead:
Best remove both SSD and BSD. :spliff:
For HDB new flats, the real problem is actually availability (cannot even get balloted a new HDB flat, and then many of these available are in lousy locations far from MRT stations, and even when balloted still need to wait 3+ years!) and not so much of affordability (although everyone will hope to buy at $8 and sell at $1m)! :p
Just wonder how difficult it is for someone who just started working to save S$700 a month aside from CPF contribution? If someone, assuming started working at the age of 24, can save S$700 a month, in 3 years he/she can save around 25K, or 50K for a couple who is getting married. Together with the government grant and CPF contribution, they shall be able to afford a HDB flat around 350K-400K, am I correct?
My question is, is it really the problem of affordability or availability?
devilplate
21-05-11, 12:48
Best is to make developers complete their new projects before they can sell so that people can see how the units will ultimately be like and not cheated by modifications and show-room tactics? Furthermore new sale and resale all on same footings, SSD start on the day they take over the property, all have to pay 40% cash upfront (or 20% for first time buyers), all can start to live in or rent out at the point of take over. :p Otherwise, return LTV to 90% and remove SSD will be fairer. :cheers1:
When and how did developer started to sell floor plans?
devilplate
21-05-11, 12:53
For HDB new flats, the real problem is actually availability (cannot even get balloted a new HDB flat, and then many of these available are in lousy locations far from MRT stations, and even when balloted still need to wait 3+ years!) and not so much of affordability (although everyone will hope to buy at $8 and sell at $1m)! :p
Shd increase application fee to let say 1k...
Availability is not the problem....
Cheaper...further....fair
Best is to make developers complete their new projects before they can sell so that people can see how the units will ultimately be like and not cheated by modifications and show-room tactics? Furthermore new sale and resale all on same footings, SSD start on the day they take over the property, all have to pay 40% cash upfront (or 20% for first time buyers), all can start to live in or rent out at the point of take over. :p Otherwise, return LTV to 90% and remove SSD will be fairer. :cheers1:
All small developer without the cash-flow will surely go bell up. It would mean zero leverage fo them.
Have lah, even if we A&A landed we can also borrow from banks, what's more for developers?
All small developer without the cash-flow will surely go bell up. It would mean zero leverage fo them.
Have lah, even if we A&A landed we can also borrow from banks, what's more for developers?
You can get A&A loan because you have steady sources of income. For them the need reconstruction loan and if they don't have steady income stream, who will lend them?
Individual A&A loan rate is better than commercial lending rate.
You can get A&A loan because you have steady sources of income. For them the need reconstruction loan and if they don't have steady income stream, who will lend them?
Individual A&A loan rate is better than commercial lending rate.
That's a reflection of the risk factor. That's why it may be easier for individuals to get A&A than small developers getting construction loan.
Shd increase application fee to let say 1k...
Availability is not the problem....
Cheaper...further....fair
Any artificial depression on the housing market will just create more unfairness to those who already own property(ies) as their wealth is essential destroyed by the government's action
While providing a steady and well-planned supply of public housing products, the gov can also modify the CPF plan for those first time HDB buyers: subject to a upper limit, for each dollar you save in the CPF account towards your HDB flat downpayment, gov will match. the more you save, the more subsidy you get.
Of course the scheme need to be refined, the idea is to encouraging saving for the housing needs. No one can help you if you don't plan for yourselves
Change in housing policy should favour first time hdb owners in particular the lower income households.
Change in housing policy should favour first time hdb owners in particular the lower income households.
I can't see it happening any other way given all the feedback.
Geylang OKT
22-05-11, 01:42
Yup, property is on a downward spiral for the next few years.
Yup, property is on a downward spiral for the next few years.
confirm, double confirm.?:D
Change in housing policy should favour first time hdb owners in particular the lower income households.But the papers have been reporting that its the middle income who'd benefit most.. :o
Yup, property is on a downward spiral for the next few years.HDB has always been focused on affordability from 1960s and 70s so yes it may go down but it certainly cannot go down too much otherwise those who bought $700k BTO over the last 4 years will :scared-3: . I suspect more help will be given instead of bringing prices down.
I am actually more interested with new policies for private housing market... hmm... :spliff:
Guess not much change for private housing but more policies for the public housing. As I have said before, special rebates for certain group of new buyers of public housing. Rebates will be based on mean test like hospital wards. Beds in hospital is like pigeon holes in flats.
HDB has always been focused on affordability from 1960s and 70s so yes it may go down but it certainly cannot go down too much otherwise those who bought $700k BTO over the last 4 years will :scared-3: . I suspect more help will be given instead of bringing prices down.
I am actually more interested with new policies for private housing market... hmm... :spliff:
Guess not much change for private housing but more policies for the public housing. As I have said before, special rebates for certain group of new buyers of public housing. Rebates will be based on mean test like hospital wards. Beds in hospital is like pigeon holes in flats.Then based on that calculation, if heart bypass cost $10k (not sure the exact cost) and a HDB cost $400k, then $8 heart bypass will translate to $320 HDB apartment... huat ah...
How about this: 1st time buyers who have been citizen >10 years get to buy with no CASH downpayment, HDB grant loan 100% at discounted interest rate pegged to 1-year SIBOR (vs bank loans). :D First time buyers who are loyal citizens for >10 years happy, but yet don't affect resale market. New citizens of <10 years scale proportionally, while new citizen of <5 years cannot buy new HDB flats, can only buy resales. PRs cannot buy HDB flats, can only rent. :cheers1:Families with >=2 kids get a 2nd chance to buy new HDB flats to upgrade to bigger units (encourage more kids).
Sale system follow private, first come in queue can choose units, but units priced differently based on floor levels, different facing etc. So want higher floor, better facing, pay more lah! Want better located also more much much more lah! HDB flats go back to bare-bone structures, people can borrow from HDB for renovation loans also at discount rates to banks. :D
Then based on that calculation, if heart bypass cost $10k (not sure the exact cost) and a HDB cost $400k, then $8 heart bypass will translate to $320 HDB apartment... huat ah...
How about this: 1st time buyers who have been citizen >10 years get to buy with no CASH downpayment, HDB grant loan 100% at discounted interest rate pegged to 1-year SIBOR (vs bank loans). :D First time buyers who are loyal citizens for >10 years happy, but yet don't affect resale market. New citizens of <10 years scale proportionally, while new citizen of <5 years cannot buy new HDB flats, can only buy resales. PRs cannot buy HDB flats, can only rent. :cheers1:Families with >=2 kids get a 2nd chance to buy new HDB flats to upgrade to bigger units (encourage more kids).
Sale system follow private, first come in queue can choose units, but units priced differently based on floor levels, different facing etc. So want higher floor, better facing, pay more lah! Want better located also more much much more lah! HDB flats go back to bare-bone structures, people can borrow from HDB for renovation loans also at discount rates to banks. :D
Don't think it's appropriate to create discrimination among citizens, while I totally agree that PR shall not be allowed to purchase HDB flat at all, and housing grant shall be used as an incentive to encourage birth rate
Maybe it needs to expand beyond HDB. Market is too heated now. Else end up with citizens & PR living in HDB while other foreigners domanating condos... Citizens and PR pushed to lower class in SG :beats-me-man:
My 2cents
Don't think it's appropriate to create discrimination among citizens, while I totally agree that PR shall not be allowed to purchase HDB flat at all, and housing grant shall be used as an incentive to encourage birth rateI see so so many opportunities for govt to tap on to encourage fertility.
1. Housing grant to be pegged with number of babies. Some rebates will be dished out for housing grants with each birth along with the baby bonus.
2. Then also more babies means higher up in the queue for pri 1 registration.
If only govt can tap on these opportunities 20 years back, they'll not need to bring in so many foreigners today. Anyway, it's never too late to start now... :D
Maybe it needs to expand beyond HDB. Market is too heated now. Else end up with citizens & PR living in HDB while other foreigners domanating condos... Citizens and PR pushed to lower class in SG :beats-me-man:
My 2centsmiddle class singaporeans pushed to ECs. Poorer Singaporeans stay in HDB and BTOs. Upper class pushed to private. PRs > 5 years can buy resale HDB. PRs < 5 years can only rent HDB. Foreigners can only rent HDB. Private is open to everybody to buy or rent... :D
middle class singaporeans pushed to ECs. Poorer Singaporeans stay in HDB and BTOs. Upper class pushed to private. PRs > 5 years can buy resale HDB. PRs < 5 years can only rent HDB. Foreigners can only rent HDB. Private is open to everybody to buy or rent... :D
PR > 5 years should become citizen, then can buy HDB.... Can't let them have the best of both world... keep their original citizenship and still stay here. Let go back to what public housing should be.... public housing.... nothing more, nothing less.....
PR > 5 years should become citizen, then can buy HDB.... Can't let them have the best of both world... keep their original citizenship and still stay here. Let go back to what public housing should be.... public housing.... nothing more, nothing less.....Yes yes... citizens can buy HDB le...
linchong84
22-05-11, 22:37
middle class singaporeans pushed to ECs. Poorer Singaporeans stay in HDB and BTOs. Upper class pushed to private. PRs > 5 years can buy resale HDB. PRs < 5 years can only rent HDB. Foreigners can only rent HDB. Private is open to everybody to buy or rent... :D
Middle class push to EC? Not a good idea.. Middle class is a huge majority, there won't be so many ECs to satisfy the demand.. Besides, ECs if launch in great scale, is as good as a CM, cos it will 'kill' the potential upward appreciation of nearby pte condos.
Middle class push to EC? Not a good idea.. Middle class is a huge majority, there won't be so many ECs to satisfy the demand.. Besides, ECs if launch in great scale, is as good as a CM, cos it will 'kill' the potential upward appreciation of nearby pte condos.There are not enough ECs to cater to the huge number of middle class in Singapore. Don't worry. The higher middle class will still be above the income ceiling set by govt. These will still veer towards the private condos coz no choice. Those who qualify may well settle for ECs so the income ceiling is extremely crucial to steer the housing market in Singapore... :D
linchong84
22-05-11, 22:51
There are not enough ECs to cater to the huge number of middle class in Singapore. Don't worry. The higher middle class will still be above the income ceiling set by govt. These will still veer towards the private condos coz no choice. Those who qualify may well settle for ECs so the income ceiling is extremely crucial to steer the housing market in Singapore... :D
My feel is EC and mass market condo can only support each other's price if the ceiling is set at the right level.. For eg, if govt increases the ceiling to, say 15k, EC's prices might rise but mass market might fall cos i suspect a good proportion of mass market condo buyers belong to >15k.. So this number is very crucial
My feel is EC and mass market condo can only support each other's price if the ceiling is set at the right level.. For eg, if govt increases the ceiling to, say 15k, EC's prices might rise but mass market might fall cos i suspect a good proportion of mass market condo buyers belong to >15k.. So this number is very crucialTotally agreed... Thus I've always been for the idea that the income ceiling if needed, be raised only marginally to maybe $11k or 12k. Govt should instead provide more tangible housing rebates and subsidies pegged to two things, 1st, the number of children for the couples and 2nd, period of MOP, the longer MOP, the more rebate.
This method of subsidy should also be introduced for the HDBs. :spliff:
There are not enough ECs to cater to the huge number of middle class in Singapore. Don't worry. The higher middle class will still be above the income ceiling set by govt. These will still veer towards the private condos coz no choice. Those who qualify may well settle for ECs so the income ceiling is extremely crucial to steer the housing market in Singapore... :D
that's where the DBSS comes in.
ask KBW remove the clause of disposing pte within 6 mths if buy resale hdb!!! is unfair for ppl who want to stay hdb but invest in pte
I see so so many opportunities for govt to tap on to encourage fertility.
1. Housing grant to be pegged with number of babies. Some rebates will be dished out for housing grants with each birth along with the baby bonus.
2. Then also more babies means higher up in the queue for pri 1 registration.
If only govt can tap on these opportunities 20 years back, they'll not need to bring in so many foreigners today. Anyway, it's never too late to start now... :D
fertility really a big headache. u want to encourage birth and yet must be well receive by the right target. govt cannot give too much freebie to encourage birth or freebie will be well received by the wrong group. maybe govt should zoom at the childless/one child target group individually and work out special packge for them :D so every package suit different ppl
ask KBW remove the clause of disposing pte within 6 mths if buy resale hdb!!! is unfair for ppl who want to stay hdb but invest in pteGovt wants to restrict the market players to only private ppty so only the rich gets to play. Having said that, it also meant that rich people shouldn't own HDB... :D
Govt wants to restrict the market players to only private ppty so only the rich gets to play. Having said that, it also meant that rich people shouldn't own HDB... :D
but not all who own pte are rich leh. many sandwich hor :spliff:
but not all who own pte are rich leh. many sandwich hor :spliff:Yeah lor... but those who buy private and are middle class probably squeeze like crazy lor... so same, govt don't want these to own HDB too... so the only way now to overcome this is to own HDB first then buy private... :o Maybe KBW will do something different? :D
Yeah lor... but those who buy private and are middle class probably squeeze like crazy lor... so same, govt don't want these to own HDB too... so the only way now to overcome this is to own HDB first then buy private... :o Maybe KBW will do something different? :D
buy hdb first, 5 yrs cannot buy pte right?
linchong84
23-05-11, 12:28
Yeah lor... but those who buy private and are middle class probably squeeze like crazy lor... so same, govt don't want these to own HDB too... so the only way now to overcome this is to own HDB first then buy private... :o Maybe KBW will do something different? :D
He dun throw in more CM you should feel happy liao.. dun need to even dream that he will relax any exisiting restrictions because that's the last thing he'll do..
buy hdb first, 5 yrs cannot buy pte right?Yes.. minimum MOP requirements...
I am interested in buying a mass market resale condo with 2 bedroom that costs around 600K. Right now impossible to find. But with this new policy change will I be able to get my condo in 6 months time ? :confused:
Unlikely... buyers have good holding power, unless another recession for 1 year+.
Unlikely... buyers have good holding power, unless another recession for 1 year+.
I see more and more real life cases around me whereby families with not much earning power taking on a BIG loan, just because interest rates are ridiculously low.
I see household income around 6k taking close to 1million loan....
I see more and more real life cases around me whereby families with not much earning power taking on a BIG loan, just because interest rates are ridiculously low.
I see household income around 6k taking close to 1million loan....
didnt bank have some kind of assessment?
Most should b able to hold. Maybe some firesales if recession + interest rates increase. With QE3 coming, interest rates r likely to remain low this yr, unfortunately for savers n forutunate for borrowers.
ask KBW remove the clause of disposing pte within 6 mths if buy resale hdb!!! is unfair for ppl who want to stay hdb but invest in pte
Why is it "unfair". Like I said... HDB should be public housing and nothing more. Public housing for people who have no other alternatives for housing, not for people who can afford private housing.
HDB is not for people to make a quick buck.:tsk-tsk:
I see more and more real life cases around me whereby families with not much earning power taking on a BIG loan, just because interest rates are ridiculously low.
I see household income around 6k taking close to 1million loan....
Wind30, just take note of your friends/acquaintances who take this kind of risk, when downturn comes, volunteer to help them relief their debt burden.
If you warned people now, and nobody will thank you for it.
households earning 6k most likeley have graduate degree. let they pay their financial education.
Why is it "unfair". Like I said... HDB should be public housing and nothing more. Public housing for people who have no other alternatives for housing, not for people who can afford private housing.
HDB is not for people to make a quick buck.:tsk-tsk:Well like i said, guai guai stay in HDB for 5 years already then go buy private lor... not the other way round coz if its the other way round, it means you already can afford private, so its a no no for HDB for u. But if you already staying in HDB, and by some stroke of genius financing, you can subsequently afford private, good for you... :D
Why not? Still affordable wah. Who knows? May be the household got other side income or got $1m in the bank or in liquid assets?
I see more and more real life cases around me whereby families with not much earning power taking on a BIG loan, just because interest rates are ridiculously low.
I see household income around 6k taking close to 1million loan....
didnt bank have some kind of assessment?
Banks dont care much. They know that you have made a downpayment of 20% so if interest rates go up and people cannot pay the installments any more back will seize the property and the owner will lose the deposit as well as what has already been paid.
As long as the property value doesn't crash by more than 20% banks are safe.
In US mortgage crisis banks lent in some cases 100% of the value and then prices fell 40-50% in some cases hence the borrowers found it better to default than to continue making payments as the homes are worth lesser than the bank outstanding.
Wish such a scenario happens here in SG and then those greedy people who borrow more than what they can get burnt badly
Wish such a scenario happens here in SG and then those greedy people who borrow more than what they can get burnt badlyThese greedy people are ok... if kanna burnt badly, they just declare bankrupt and stay quiet and start over again. Its the banks that will suffer... cannot get back the money... :banghead:
These greedy people are ok... if kanna burnt badly, they just declare bankrupt and stay quiet and start over again. Its the banks that will suffer... cannot get back the money... :banghead:
Those people will lose their downpayment. Banks will auction off the property and get back their money.
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