Profit margins for DBSS developers 'look high'

[linchong84]

The difference between the Tampines BTO and DBSS is that :
those DBSS buyers get a big balcony and developer earns millions

Although you are right, but you didn't capture their MAIN difference which is the crux.. The main difference should be: govt doesn't get to earn from BTOs but they get to earn hundreds of millions from DBSS through land sales.. That's why they love DBSS deep deep!! you want them to abolish it?? hard lah..

[westman]

well, I am against DBSS. Yup, there are some who can't get BTO and move to DBSS instead. I am sure there are a handful.

Has our dear HDB lost it's mission direction on "public housing" for granting DBSS to private developer?

[devilplate]

Mbt make a mistake...he shd jus sell all those dbss sites to build condo or EC

I tink everyone agrees dbss

The whole debate started by a qn tat ask y hdb let developer make so much money from dbss....to me, doesnt make any sense....

The qn shd b y we nid dbss in the first place since we oredi got EC for sandwiched grp?

Intially dbss prices still ok bcoz income ceiling was cap at 8k....but duno y raise to 8-10k n on par wif EC

So can u imagine wat will happen to bto px after income ceiling raised to 10k? I will expect to see 700k 5rm bto flat.....whahaha....

[devilplate]

Has our dear HDB lost it's mission direction on "public housing" for granting DBSS to private developer?

Still got cheap bto la....dbss jus a small segment. Ppl can dun buy dbss wat n make the developer suxx thumb rite? Y must buy dbss from them? Y dun they buy bto?

Y u nvr question those ppl who bot dbss instead?

So many btos to choose from.....30%rejection rate somemore....y u nvr question them y they reject?

Low flr must reject meh? Really cannot stay meh? Punggol too far? Must die die stay near paremts, near town? Y u nvr question those who said tat?

[teddybear]

Ai yoh, nowsadays the Y gen thinks all of us own them a living mah. They not happy say vote for opposition thinking will scare the hell out of PAP. They think govt must gaurantee them cheap new HDB flats in mature estates that after they live for 5 years can sell for a huge profit like 20 years ago mah.
All those excuses like die die must live near their parents in mature estates so that parents can help to look after children else cannot give birth and blame govt for causing them not to give birth . Those living in Orchard must also be thinking Govt have to provide them properties in Orchard to live near their parents in Orchard too?

Still got cheap bto la....dbss jus a small segment. Ppl can dun buy dbss wat n make the developer suxx thumb rite? Y must buy dbss from them? Y dun they buy bto?

Y u nvr question those ppl who bot dbss instead?

So many btos to choose from.....30%rejection rate somemore....y u nvr question them y they reject?

Low flr must reject meh? Really cannot stay meh? Punggol too far? Must die die stay near paremts, near town? Y u nvr question those who said tat?

[kane]

Ai yoh, nowsadays the Y gen thinks all of us own them a living mah. They not happy say vote for opposition thinking will scare the hell out of PAP. They think govt must gaurantee them cheap new HDB flats in mature estates that after they live for 5 years can sell for a huge profit like 20 years ago mah.
All those excuses like die die must live near their parents in mature estates so that parents can help to look after children else cannot give birth and blame govt for causing them not to give birth . Those living in Orchard must also be thinking Govt have to provide them properties in Orchard to live near their parents in Orchard too?

they're probably eyeing redhill.

[august]

What has the number of years got to do with affordability?

you sure you dont know??

[devilplate]

you sure you dont know??

Its a matter of choice....i m sure 4rm flat still can service 20yrs loan at let say 350k purchase px

Abt 1500-1600/mth for 20yrs loan of 300k loan at 2.5% hdb loan int rate...a couple of 5k can well afford 1.6k installment which is abt 32% of their pay....still within 1/3 of their 5k pay....den those above 5k to 8k easy easy service the loan

[thomastansb]

No, really. I don't know.

To me, if one month is $500 from my CPF for 30 years, that is affordable.

If one month $1500 from my CPF + cash for 10 years, that could be a tiny problem but still manageable

If one month $5000 from my CPF + cash for 3 years, then my flat will be repossessed by the 3rd month

That is why I say, 20 years or 30 years has got nothing to do with affordability. If 20 years installment too high, go for 30. Still too high, go for 3 bedroom. Still too high, buy a 2 bedroom or studio or work harder. Studio only like 60-70k?

you sure you dont know??

[devilplate]

That is why I say, 20 years or 30 years has got nothing to do with affordability. If 20 years installment too high, go for 30. Still too high, go for 3 bedroom. Still too high, buy a 2 bedroom or studio or work harder. Studio only like 60-70k?

Studios only for above 55yo

Dun tink got 2rm flat liao....

Below 5k can apply 3rm flat, whereas 5-8k must buy 4 or 5 rm flat

So fairer to based on 5k income to calculate affordibility of a typical 4rm flat which cost typically 250-300k

[ysyap]

Ai yoh, nowsadays the Y gen thinks all of us own them a living mah. They not happy say vote for opposition thinking will scare the hell out of PAP. They think govt must gaurantee them cheap new HDB flats in mature estates that after they live for 5 years can sell for a huge profit like 20 years ago mah.
All those excuses like die die must live near their parents in mature estates so that parents can help to look after children else cannot give birth and blame govt for causing them not to give birth . Those living in Orchard must also be thinking Govt have to provide them properties in Orchard to live near their parents in Orchard too?

Those whose parents stay in Orchard road will have several other apartments nearby that their parents will give them as wedding gifts. Parents will not allow their kids to stay in HDB coz it brings down their social status! So they won't ask govt to build HDB in Orchard!

[devilplate]

Those whose parents stay in Orchard road will have several other apartments nearby that their parents will give them as wedding gifts. Parents will not allow their kids to stay in HDB coz it brings down their social status! So they won't ask govt to build HDB in Orchard!

no nid to be in orchard belt wat

havelock HDBs leh? Zion tat side aso got HDBs

can nvr satisy raising expectations....u give in 1 inch, they advance a mile....hehe

[thomastansb]

Fair enough. But what I meant is there are always other options available. Average income of 5k have no problem paying for a 4 bedroom. Period. But if we have those slightly lower income like 1k each, there are other options available.

Buy a Vios if you cannot afford BMW. That is all I can say.

Studios only for above 55yo

Dun tink got 2rm flat liao....

Below 5k can apply 3rm flat, whereas 5-8k must buy 4 or 5 rm flat

So fairer to based on 5k income to calculate affordibility of a typical 4rm flat which cost typically 250-300k

[august]

No, really. I don't know.

To me, if one month is $500 from my CPF for 30 years, that is affordable.

If one month $1500 from my CPF + cash for 10 years, that could be a tiny problem but still manageable

If one month $5000 from my CPF + cash for 3 years, then my flat will be repossessed by the 3rd month

That is why I say, 20 years or 30 years has got nothing to do with affordability. If 20 years installment too high, go for 30. Still too high, go for 3 bedroom. Still too high, buy a 2 bedroom or studio or work harder. Studio only like 60-70k?

hdb is not investment pty, loan tenure for own stay pty should therefore be kept as short as possible. stretching loan tenure in order to maintain same household cashflow just means inaffordability & less financial prudence.

[devilplate]

hdb is not investment pty, loan tenure for own stay pty should therefore be kept as short as possible. stretching loan tenure in order to maintain same household cashflow just means inaffordability & less financial prudence.

times changed...last time MOP 10yrs and cannot sublet out at all!! now MOP 5yrs only

mabe shd revert back to MOP 10yrs for selling and subletting since u say HDB is not an investment ppty and its for primary residence.....den can aso reduce the bto price at the same time.....but surely got ppl complain 10yrs so long!! blah blah....

how to satisfy everybody?

[august]

times changed...last time MOP 10yrs and cannot sublet out at all!! now MOP 5yrs only

yes times have changed, and public housing has become less and less affordable. no point denying this fact.

[devilplate]

yes times have changed, and public housing has become less and less affordable. no point denying this fact.

see my edited post....hehe

not sure who willing to sacrifice 5yrs MOP to 10yrs for a reduction in HDB prices?

[masterkey]

30 yrs is not affordable liao
Should be 20 yrs.

A Japanese friend paid off his house (not apartment) loan in 7 years. It was located within 1 hr from Shinjuku and he is a normal salaryman. So whether 20 or 10 or 7 years is reasonable?

[august]

A Japanese friend paid off his house (not apartment) loan in 7 years. It was located within 1 hr from Shinjuku and he is a normal salaryman. So whether 20 or 10 or 7 years is reasonable?

i pay for my own stay pty with full cash, no loan, does it mean pty prices is therefore reasonable? lol

[devilplate]

not sure whether really HDB is getting less affordable....i remember my childhood days, majority of my frens staying in 1 or 2room HDB flats with family of 6 at least.....most of them cannot even afford to lay tiles and do up proper kitchen.....i am sure u still can see some old 2/3rm flats in original HDB condition(bare ground without tiles)

few of my childhood frens from such family background....super poor....den now staying and upgraded to at least 4rm flat.....so whether HDB flats is getting less affordable is really questionable

standard of living changed....lifestyle changed.....so dun expect the same kind of prices previously.....

[masterkey]

i pay for my own stay pty with full cash, no loan, does it mean pty prices is therefore reasonable? lol

Read - "normal salaryman". Forgot your reading glasses?

[devilplate]

A Japanese friend paid off his house (not apartment) loan in 7 years. It was located within 1 hr from Shinjuku and he is a normal salaryman. So whether 20 or 10 or 7 years is reasonable?

does it mean tat we shd invest in Japan ppty now?

japanese used to take few generations to pay off housing loan....now 7yrs only for normal salaryman!

[masterkey]

see my edited post....hehe

not sure who willing to sacrifice 5yrs MOP to 10yrs for a reduction in HDB prices?

Quite, quite... so the mindset is, HDB please sell me cheap at good location and high floors, but I want to resell asap to move on to condo?

[ysyap]

hdb is not investment pty, loan tenure for own stay pty should therefore be kept as short as possible. stretching loan tenure in order to maintain same household cashflow just means inaffordability & less financial prudence.

You are right to point that out but only if you have that option not to stretch the loan tenure. Some already using 50% of household income on housing loans so no choice but to stretch lor... then again if those who can afford to reduce tenure should seriously consider.

[masterkey]

does it mean tat we shd invest in Japan ppty now?

japanese used to take few generations to pay off housing loan....now 7yrs only for normal salaryman!

Not sure about the investment part, but the point is, what is affordability for a home (not an investment vehicle)?

If a normal salaryman in first world japan can afford to own his home in 7 years, is 20 or 30 years too long for Singapore?

[ysyap]

Quite, quite... so the mindset is, HDB please sell me cheap at good location and high floors, but I want to resell asap to move on to condo?

This mentality is instant noodle mentality and unfortunately its plaguing many young people today, especially in Singapore. I think its good idea to peg MOP to how much further subsidy a buyer can receive from govt. 10yr MOP and cheap vs 5yr MOP and more expensive... brilliant!

[ysyap]

Not sure about the investment part, but the point is, what is affordability for a home (not an investment vehicle)?

If a normal salaryman in first world japan can afford to own his home in 7 years, is 20 or 30 years too long for Singapore?

Affordability takes on very different and varied meanings for different people along with their family dynamics and other financial commitments like looking after aged or siblings, etc. Anyway, people can always start with 20yr tenure then when their financial status changes, they can pay off everything 5 years into the tenure is totally up to them. Just don't over-commit!

[devilplate]

This mentality is instant noodle mentality and unfortunately its plaguing many young people today, especially in Singapore. I think its good idea to peg MOP to how much further subsidy a buyer can receive from govt. 10yr MOP and cheap vs 5yr MOP and more expensive... brilliant!

i tink KBW shd seriously consider our 'brilliant' proposal! hehe

current bto scheme pegging to resale flats wif a discount remains.....but give more options of 5yrs MOP and 10yrs MOP....den see those yng gen how to complain?

[masterkey]

This mentality is instant noodle mentality and unfortunately its plaguing many young people today, especially in Singapore. I think its good idea to peg MOP to how much further subsidy a buyer can receive from govt. 10yr MOP and cheap vs 5yr MOP and more expensive... brilliant!

Good idea...wonder if the brilliant scholars in the ministry examined it...perhaps they had but found it against the gov's "social objectives".

[linchong84]

The SPH journalist was requesting for MOP to be removed so that she can rent out the BTO immediatly.. Now you want to increase to 10 years, she angry how?? Then she will write more articles to agitate the forumers here.. Some people here are quite old already, cannot be agitated too much..