Four ways to bring down flat prices

[Curahee]

Four ways to bring down flat prices

http://www.straitstimes.com/ST%2BFor...ry_430779.html

 

I APPLAUD the new measures by the Government to curb speculation in the property market and reinstate the Government Land Sales Programme.

 

However, they do little to alleviate the structural problems at the root of the resale HDB market and the frustrations of many home seekers. It is too easy to blame cash over valuation (COV) for the rampant rise in resale prices or repeat continuously that resale HDB flats are affordable.

 

Four measures could be taken to significantly improve the supply of resale HDB flats and thus lower prices.

 

 

HDB flats should be affordable housing only for genuine home owners who occupy the flats. They should not be used for investment or rental income.

 

The resale market is still tight because many owners, who have already moved out, are simply holding on to their property or hoping for a collective sale.

 

If owners do not live in their flats any more, they should be put on the market immediately.

 

 

There should be an income and assets cap for owners of HDB flats. If the owners are very successful in life after buying an HDB flat, they should leave their property on reaching a certain threshold and sell it.

 

It is not right that families with multiple properties and very high salaries are able to hold on to their HDB flats.

 

 

Have a staggered income ceiling instead of a blanket one of $8,000, applicable across all HDB flats ranging from $200,000 to $600,000.

 

For example, have an $8,000 income ceiling for flats valued below $400,000, a $10,000 ceiling for flats valued above that and below $600,000, and $12,000 ceiling for flats valued above $600,000.

 

 

Take property agents out of the equation. HDB should stimulate and facilitate direct owner-buyer contact.

 

I urge HDB to consider these measures to tackle the problem at its root and let go of its free-property-market thinking.

 

Lim Hing Kok

 

 

WHAT DO U ALL THINK OF HIS SUGGESTIONS?

[Wreckwrx]

My sources tells me that Edge-Dee-Bee has activated all their heads to come up with a suitable response due to what has been published in today's newspaper.... apparently they take this matter quite seriously....

[Sgnick]

My sources tells me that Edge-Dee-Bee has activated all their heads to come up with a suitable response due to what has been published in today's newspaper.... apparently they take this matter quite seriously....

 

U mean activate their heads to reply to this person's letter? Reply very easy mah, short and sweet -> "HDB is still affordable."

 

This type of reply just ask their toilet cleaner auntie to think out lah, no need to activate all their heads.

[Josho]

However, they cannot stop people buying property for investment tho, unless another rules apply.

 

 

[Throttle2]

Four ways to bring down flat prices

http://www.straitstimes.com/ST%2BFor...ry_430779.html

 

I APPLAUD the new measures by the Government to curb speculation in the property market and reinstate the Government Land Sales Programme.

 

However, they do little to alleviate the structural problems at the root of the resale HDB market and the frustrations of many home seekers. It is too easy to blame cash over valuation (COV) for the rampant rise in resale prices or repeat continuously that resale HDB flats are affordable.

 

Four measures could be taken to significantly improve the supply of resale HDB flats and thus lower prices.

 

 

HDB flats should be affordable housing only for genuine home owners who occupy the flats. They should not be used for investment or rental income.

 

The resale market is still tight because many owners, who have already moved out, are simply holding on to their property or hoping for a collective sale.

 

If owners do not live in their flats any more, they should be put on the market immediately.

 

 

There should be an income and assets cap for owners of HDB flats. If the owners are very successful in life after buying an HDB flat, they should leave their property on reaching a certain threshold and sell it.

 

It is not right that families with multiple properties and very high salaries are able to hold on to their HDB flats.

 

 

Have a staggered income ceiling instead of a blanket one of $8,000, applicable across all HDB flats ranging from $200,000 to $600,000.

 

For example, have an $8,000 income ceiling for flats valued below $400,000, a $10,000 ceiling for flats valued above that and below $600,000, and $12,000 ceiling for flats valued above $600,000.

 

 

Take property agents out of the equation. HDB should stimulate and facilitate direct owner-buyer contact.

 

I urge HDB to consider these measures to tackle the problem at its root and let go of its free-property-market thinking.

 

Lim Hing Kok

 

 

WHAT DO U ALL THINK OF HIS SUGGESTIONS?

 

 

 

very good. thumbs up.

 

 

[Schneider79]

Take property agent out... is he crazy ? Does he know how many people will go jobless or not first ? And are the enough jobs in the open market to facilitate these amount of people ?

[Wreckwrx]

U mean activate their heads to reply to this person's letter? Reply very easy mah, short and sweet -> "HDB is still affordable."

 

This type of reply just ask their toilet cleaner auntie to think out lah, no need to activate all their heads.

 

That may well be their response but at least it goes to show that they gave some thought to this....

 

So that they can start their reply saying, "After serious consideration, HDB is still affordable...."

[Wind30]

actually the letter is quite kuku.....

 

I thought the most obvious solution is for HDB to build more flats.....

 

The solutions suggested in the letter are sooo bad that I think ST publish it so as to make HDB looks good once they reply it.

 

1) All HDB must be owner occupied? no rental? does he know how drastic this is? Where is all the PR going to stay? condo?

 

2) Froce sale of your property when your income reach a certain ceiling???? are we living in a communist state where we punish people for being successful? Forcing a person out of his house is very drastic. very funny. imagine the income ceiling is set at 10k. I bet everyone will be refusing pay increments at 9.9k :)

 

3) staggered income ceiling is ok. This is what hdb is going to do anyway soon

 

4) no property agents... :) does he know he can sell his own flat without agents? why is he forcing other people to sell also without agents. Some of us unlike him have better things to do with our time.... there is a reason why property agents exist.

Edited September 18, 2009 by Wind30

[Kangadrool]

Lim Hing Kok tok cxxk

[Tarzan666]

I think more should be done to weed out unscrupulous agents.

Those not acting on best interest of their clients, we should have a disciplinary body for this, those found guilty should be disbarred.

 

During my search for a unit, have seen many such agents, u c in stomp oso can find agents send vulgarities,insulting sms to customers...wtf.

 

Complaining to their agency, is like talking to the wall.

 

I oso feel that agents earn too much...maybe a fixed fee..like

HDB - $1000

Condo - $2000

Landed - $3000

[Ahyoo2002]

Build more flats, end of story.

 

Based on number of new Citizen, we need at least 500 flats per year. And plus couple who want to get married and have their own house. Building 8000 HDB flats per year is confirmed not enough.

[Tunge]

Build more flats, end of story.

 

Based on number of new Citizen, we need at least 500 flats per year. And plus couple who want to get married and have their own house. Building 8000 HDB flats per year is confirmed not enough.

 

 

actually buidling more flats may or may not solve the problem. the issue here is there r a group of newly weds or soon to be wed who need to get a HDB and there are a group of opportunitst who can afford private/landed but still buy HDB for investment. so competiton happens no matter what. more flats

 

the suggestions by TS is to stop the 2nd group of people, although the suggestions are flawed, it's a good starting point.

 

maybe another suggestion to increase the minimum years b4 flat can be sold example 10yrs?

Edited September 18, 2009 by Tunge

[Babyt]

when building and rebuilding hdb flats...just make sure it is at least 50 storeys high....den we have alot of units to sell, lower the market value mah.

 

since sg has limited land space, all hdb flats sld build as high as possible.

[Tonyhawk]

actually the letter is quite kuku.....

 

I thought the most obvious solution is for HDB to build more flats.....

 

The solutions suggested in the letter are sooo bad that I think ST publish it so as to make HDB looks good once they reply it.

 

1) All HDB must be owner occupied? no rental? does he know how drastic this is? Where is all the PR going to stay? condo?

 

2) Froce sale of your property when your income reach a certain ceiling???? are we living in a communist state where we punish people for being successful? Forcing a person out of his house is very drastic. very funny. imagine the income ceiling is set at 10k. I bet everyone will be refusing pay increments at 9.9k :)

 

3) staggered income ceiling is ok. This is what hdb is going to do anyway soon

 

4) no property agents... :) does he know he can sell his own flat without agents? why is he forcing other people to sell also without agents. Some of us unlike him have better things to do with our time.... there is a reason why property agents exist.

 

 

Personally, it actually boils down to what the HDB is supposed to be. Or what mission it seeks to achieve.

 

I believe it HAS provided affordable housing for everybody, EVERYBODY is entitled to buy it from the HDB directly, rich or poor, subject to income ceiling rules, which is fair. Remember HDB has provided the flats at affordable prices, it is now the FREE MARKET that determines the resale prices.

 

When it started out, it sold in tiong bahru, queenstown, toa payoh, at affordable rates. Eventually, they ran out of space and so moved to bishan, angmokio, still at affordable rates. Then came sengkang, punggol etc, still very affordable. In fact, Jurong west choa chu kang etc. also very affordable what.....

 

The problem is people want cheap, want near, want everything and blame the HDB. HDB provides cheap affordable housing, but it didnt mean to provide them in the bloody CBD/Orchard Road. They try their best where land is cheap (where it is affordable).

 

Since when did HDB become a regulatory body?

 

 

[Sgnick]

I think more should be done to weed out unscrupulous agents.

Those not acting on best interest of their clients, we should have a disciplinary body for this, those found guilty should be disbarred.

 

During my search for a unit, have seen many such agents, u c in stomp oso can find agents send vulgarities,insulting sms to customers...wtf.

 

Complaining to their agency, is like talking to the wall.

 

I oso feel that agents earn too much...maybe a fixed fee..like

HDB - $1000

Condo - $2000

Landed - $3000

 

 

Problemetic agents do get sacked by their agency, but the problem is they can just join another agency the very next day and continue their dirty practices. They can even start their own company. So how to stop them?

Edited September 18, 2009 by Sgnick

[Rayoh]

Good suggestions. Will keep the property prices in check.

 

However, I would say this Lim Hing Kok is dreaming.

 

For the fact that H Dee Bee is operating like any other companies out there, which stresses very much on the performance, results, P&L etc...

Providing affordable housing????? Well, maybe that will come at the very end after their long list of priorities!

[Sgnick]

Good suggestions. Will keep the property prices in check.

 

However, I would say this Lim Hing Kok is dreaming.

 

For the fact that H Dee Bee is operating like any other companies out there, which stresses very much on the performance, results, P&L etc...

Providing affordable housing????? Well, maybe that will come at the very end after their long list of priorities!

 

I feel like working for HDB. Maybe can get 12months bonus.

[Bigass]

People like me who is young and both my partner and I have just started working all feeling the pinch. Condo is unrealistic and trying to be realistic the current price of the flat is totally impossible for 2 of us. Hence our timing of marriage has to depend on the property market