Tag Archive | "singapore HDB flat"

Singapore property prices set to dive in 3 years

Singapore property prices set to dive in 3 years

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Singapore’s property market is set to crash over the next three years, reported the Wall Street Journal.

According to analysts interviewed, the dual impact of dampening demand and a supply flood will lead to the city-state’s real estate market to plummet 20% to 30%.

Though these party poopers are still a minority, an increasing number of observers note that the factors driving the property market upwards – tight supply and high demand – are about to be reversed.

On the demand side, recent government restrictions on migration are expected to crimp the population growth. Political pressure from concerned citizens has forced the government to make it tougher for foreigners to work in Southeast Asia’s financial capital, resulting in population growth slowing to less than 2% per year.

Combined with an expected slowdown in the country’s gross domestic product growth, the high demand for homes is expected to dampen.

On the supply side, the number of unsold properties is rising and expected to continue climbing. According to a Standard Chartered report, more than 100,000 new residential units are scheduled to be completed by both public and private sector developers over the next three years.

One creeping indicators that demand and prices could tip soon: In October, pre-sales for lower-priced projects were stronger than for luxury projects, suggesting that consumers are becoming more price-sensitive.

This is a summary of the original article.

Smaller flats lead to better quality of living

Smaller flats lead to better quality of living

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Letter reply to HDB CEO

By Modern Singaporean

Postmodern living

I agree with Dr. Cheong that smaller flats today have actually led to better quality of life. Back in my mother’s time, my parents and their 6 children had to squeeze into one room within a flat. I remember I slept underneath the bed just so my dad could have a space on the floor.

Young Singaporeans don’t know how good their life is. Now the average occupant in a family of 4, living in a 5-room HDB flat has 27.5 square metres of living space each. That’s 5 metres by 5 metres, and then some.

Families that are not rich enough to purchase 5-room flats would have 16.25 square metres per person in a 3-room flat.

That’s 4mX4m. You could have 6 people sleeping within the allocated space of one person! Of course, that’s provided your flat is bare with no sofa, dining table, stove, or any of those unnecessary things that take up floor space. Toilets as well.

Young people have too many things at home these days. They also don’t appreciate what the HDB has done for the upkeep of their homes.

Dr. Cheong says that:

“residents often expect their flats to be serviced by HDB beyond the one-year defects liability period…. [HDB is therefore ] very conscious of building in such a way that minimises potential problems in the long term”.

The problems include ensuring construction that is durable, and minimising dis-amenities such as water seepage, overlooking and noise.

How can home-buyers depend on the HDB to ensure that the flats are durable after a year? And for heaven’s sake, how could they expect the HDB to bother about water seepage after they’ve passed the house keys over?

Such wear and tear of infrastructure is the will of nature. If the government can’t even prevent Orchard road from flooding, how could they prevent leaky pipes, for example. Compared to places like Hong Kong and New York, young people here only pay $350,000 for a flat with 65 square metres. They don’t know how fortunate they are.

Furthermore, back in my mother’s time, she had to contend with rats, roaches, power outages and so forth. Today prices may have risen but you’re paying for quality. Pricier HDB flats come with maintenance services which ensure that roofs do not leak when it rains.

We ought to be thankful of the HDB for building us world class flats, and for reminding us about how lucky we are to have 20 square feet per person of living space at home.

Read the original article here.