HDB flat prices up (record high)

[Veryfree]

from the way, gov replied in parliament, seems tat gov feels tat it is ok for sporeans to pay thru their noses for a HDB flat. flat prices has gone up by almost 90% but pay rises is only 3-5% per annum...new couples can really feel the heat, even some middle incomes oso find diff to upgrade..

 

well,gov oso says if cannot afford big houses then downgrade to smaller units lor,nobody force them to buy big houses in the first place! sounds sarcastic !

seems like gov cares more for $$, not welfare.

soon enough many of us will have to stay in pigeon holes, like in Japan & HKG

[Ngck]

seems like gov cares more for $$, not welfare.

soon enough many of us will have to stay in pigeon holes, like in Japan & HKG

 

 

They came up with CPF because they said they cannot trust singaporeans to save for their own retirements.

 

Then they allow 100% use of CPF ordinary account to pay for HDB flats so that the price keep pushing up

 

alot of ppl dun realize they are using their retirement income to pay for their current HDB flats

 

they keep thinkning "oh, CPF can cover loan = affordable"

Edited July 26, 2009 by Ngck

[Veryfree]

PR FT are buying up HDB like mad in order to secure their retirement income base on HDB rental.

 

Base on my property agent friend, 8 out of 10 resale HDB are bought by PR FT and they seems quite generous with their offers

 

and yes, they are not going to retire in singapore. my indonesian, malaysian, hongkong and indians associates said so

 

malaysians are getting smarter, they now focus on properties in malaysia

Sounds interesting. But HDB flats cost more than a bargain.

a cool $400k can buy a condo unit in prime area in KL, a landed property in

Jakarta near central. Of course, they do not have a good infrastructure to come with it, but

these 2 places are so close to SG, the comparison of prices is insane.

 

Still seriously think that HDB must take good care of welfare of SGeans who need a proper

shelter, it must be within a good reach of low-middle income earners.

 

[Ngck]

Sounds interesting. But HDB flats cost more than a bargain.

a cool $400k can buy a condo unit in prime area in KL, a landed property in

Jakarta near central. Of course, they do not have a good infrastructure to come with it, but

these 2 places are so close to SG, the comparison of prices is insane.

 

Still seriously think that HDB must take good care of welfare of SGeans who need a proper

shelter, it must be within a good reach of low-middle income earners.

 

 

rental income is different i think. loan also not as low as in singpore.

they are hoping with government quota on building new flats and the policy of importing FT worker, rental can maintain of even rise in the future.

 

then retiring in their home country will be a walk in the park. so far i already know 4-5 couples.

 

FT and locals "show hand" in order to buy a HDB. meaning no money to buy even furniture in the first 6 months

Bank totally empty

Edited July 26, 2009 by Ngck

[Veryfree]

They came up with CPF because they said they cannot trust singaporeans to save for their own retirements.

 

Then they allow 100% use of CPF ordinary account to pay for HDB flats so that the price keep pushing up

 

alot of ppl dun realize they are using their retirement income to pay for their current HDB flats

 

they keep thinkning "oh, CPF can cover loan = affordable"

you're right. SG gov knows that about 1 million SGeans will be more than 65 yrs old by Y2030.

Better use their CPF monies now than to vanish in Batam.

 

some datas i gathered. Y2008, 100k new PRs in SG, private developers have 60k units of

condos in the pipeline, HDB not announcing any new project yet, but mere 6k units in

SengKang/Ponggol/Woodlands. Looks like gov is still trying to jack up prices of property

to sell some lands.

Edited July 26, 2009 by Veryfree

[Nom107]

who can afford ??

300k alone w/o int is already $833/mth for 30yrs....

 

fyi my co FT is only $800/mth :angry: do u think they will get another sg wkr ???

 

so how to buy a hm

[Liuz0004]

the ST reported that HDB are now more "affordable" due to lower COV as valuation has increased resulting in lower COV.

 

i dunno how true is this because every seller is still asking the same COV!

 

eg: a 3rm value at $250k, COV $15k

 

now value at $260k, supposedly COV shld be $5k. but fact is, sellers are still asking $15k COV.

 

YET, there are still buyers willing to pay. and the vicious cycle repeats; valuation increases, again.

 

 

[Versionv]

PR FT are buying up HDB like mad in order to secure their retirement income base on HDB rental.

 

Base on my property agent friend, 8 out of 10 resale HDB are bought by PR FT and they seems quite generous with their offers

 

and yes, they are not going to retire in singapore. my indonesian, malaysian, hongkong and indians associates said so

 

malaysians are getting smarter, they now focus on properties in malaysia

 

But rental market are also mainly supported by FT / PR right...if all the PR went to buy their own flat..then who is going to rent from them...dont tell us next time we S'prean have to rent HDB flat from PR... sound possible given the continuous escalating prices of our PUBLIC HOUSNG...

[Drive_carcar]

the ST reported that HDB are now more "affordable" due to lower COV as valuation has increased resulting in lower COV.

 

i dunno how true is this because every seller is still asking the same COV!

 

eg: a 3rm value at $250k, COV $15k

 

now value at $260k, supposedly COV shld be $5k. but fact is, sellers are still asking $15k COV.

 

YET, there are still buyers willing to pay. and the vicious cycle repeats; valuation increases, again.

It's more affordable as in the cash upfront you have to fork out. For the scenario you have quoted:

 

Valuation $250, $15k COV -

 

Upfont Cash = $15,000 + $12,500 (5% of Valuation) = $27,500

 

Valuation $260, $5k COV

 

Upfront Cash = $5,000 + $13,000 (5% of Valuation) = $18,000

 

There's a saving of $9,500 of cash upfront, which can be used for renovation. The difference in the amount that one has to finance being spreaded out over a period of time (10 - 20 years), is also not that significant.

 

[Drive_carcar]

But rental market are also mainly supported by FT / PR right...if all the PR went to buy their own flat..then who is going to rent from them...dont tell us next time we S'prean have to rent HDB flat from PR... sound possible given the continuous escalating prices of our PUBLIC HOUSNG...

It's the fresh imports of FT that's keeping the demand for rental high now. Eventually some of these FT's will graduate to PR, and start to buy their own pigeon holes. And then new FT's will come in to rent, thus keeping the price of HDB high.

 

For local S'poreans if they are too poor to buy their own piegeon holes, they'll probably rent from the HDB's Transitional Housing Scheme (those 1 room flats), and if they can't really improve their financial situations, they will remain in such housing for the rest of their lives. They will not be able to afford renting directly from HDB owners, as the rentals would be keep high by the steady influx of FT.

 

So my point is, it is highly unlikely S'poreans would rent from private owners, although not impossible. Just that there are probably better choices.

 

 

[Drive_carcar]

you're right. SG gov knows that about 1 million SGeans will be more than 65 yrs old by Y2030.

Better use their CPF monies now than to vanish in Batam.

 

some datas i gathered. Y2008, 100k new PRs in SG, private developers have 60k units of

condos in the pipeline, HDB not announcing any new project yet, but mere 6k units in

SengKang/Ponggol/Woodlands. Looks like gov is still trying to jack up prices of property

to sell some lands.

The deal for Sporeans is simple. If you have not already got your HDB flat, quickly get get married, then apply for a pigeon hole. Then slog the rest of your live to pay the mortgage. When it's time to retire, then reverse mortgage the flat to HDB for a pittance to sustain your old age. Do not procrastinate because they (the Govt) will do their darnest to prevent HDB prices from dropping, and the afforability of the pigeon hole will slip further and further into the distance.

 

It's just the harsh realities of life here.

 

 

[Drive_carcar]

They came up with CPF because they said they cannot trust singaporeans to save for their own retirements.

 

Then they allow 100% use of CPF ordinary account to pay for HDB flats so that the price keep pushing up

 

alot of ppl dun realize they are using their retirement income to pay for their current HDB flats

 

they keep thinkning "oh, CPF can cover loan = affordable"

It's just the typical short term thining, the types that counts for 66.6% of the people.

 

What they care and worry about is now and the immediate future. If they wait, price go up how? Can they get a smaller flat? How small can they get?

[Guest Julio369]

you're right. SG gov knows that about 1 million SGeans will be more than 65 yrs old by Y2030.

Better use their CPF monies now than to vanish in Batam.

 

some datas i gathered. Y2008, 100k new PRs in SG, private developers have 60k units of

condos in the pipeline, HDB not announcing any new project yet, but mere 6k units in

SengKang/Ponggol/Woodlands. Looks like gov is still trying to jack up prices of property

to sell some lands.

 

I think even before yr 2030, a lot of these 1 million aging S'porean will try to cash out their HDB 5 room & exe flats, condo, or freehold....and buy small HDB unit to retire & cut cost....... but by than, the market will be flooded with big houses but noboday will want to buy, all old S'porean will tio tia with worthless big houses....

 

even now HDB 3-4 rm are more demand that bigger flats.

Edited July 26, 2009 by Julio369

[Jacf]

3 room flats are intended for low & lower middle income groups who cannot afford 4 rm and above types... but if prices of 3 rm flats oso keep going up with the rest of the flat types, then the poor will be poorer as they be pumping more $$$ into the housing loan rather than using it for daily needs.. more poor than ever..

some checks should be in place to prevent those rich ppl from competing with the poor for the housing.

 

 

 

[Ace]

the ST reported that HDB are now more "affordable" due to lower COV as valuation has increased resulting in lower COV.

 

i dunno how true is this because every seller is still asking the same COV!

 

eg: a 3rm value at $250k, COV $15k

 

now value at $260k, supposedly COV shld be $5k. but fact is, sellers are still asking $15k COV.

 

YET, there are still buyers willing to pay. and the vicious cycle repeats; valuation increases, again.

 

that y our govt is smart, only report the median and not the mean COV

[Drive_carcar]

3 room flats are intended for low & lower middle income groups who cannot afford 4 rm and above types... but if prices of 3 rm flats oso keep going up with the rest of the flat types, then the poor will be poorer as they be pumping more $$$ into the housing loan rather than using it for daily needs.. more poor than ever..

some checks should be in place to prevent those rich ppl from competing with the poor for the housing.

There's an arbituary figure of $8k income ceiling, if your income is above that you can't buy new HDB 3, 4 & 5 room flats brand new. However you can still buy EA or EC, or buy from resale market. Households with income not more than $2,000 and $3,000 can buy brand new 2 or 3 room flats.

 

There are policies, but rather minimal. Because too much can have other side effects of artificially depressing capital appreciation of HDB flats.

[Ngck]

But rental market are also mainly supported by FT / PR right...if all the PR went to buy their own flat..then who is going to rent from them...dont tell us next time we S'prean have to rent HDB flat from PR... sound possible given the continuous escalating prices of our PUBLIC HOUSNG...

 

 

how many "poor" people are already renting? can't we see the truth?

 

are they too poor or pay too low cannot afford basic housing? think about it

[Ngck]

I think even before yr 2030, a lot of these 1 million aging S'porean will try to cash out their HDB 5 room & exe flats, condo, or freehold....and buy small HDB unit to retire & cut cost....... but by than, the market will be flooded with big houses but noboday will want to buy, all old S'porean will tio tia with worthless big houses....

 

even now HDB 3-4 rm are more demand that bigger flats.

 

a sucker is born every minute. government just have to think of a new story to spin

 

dun worry