From a TRE reader
In his NDR speech, PM Loong gave an example of his AMK 4-rm residents, trumpeting how their flats can now fetch $400k when they’ve paid only $25k for their units 40 years ago.
Yes, no one will argue about this fact. First owners of HDB flats were able to make a huge profit from their flats purchased decades ago. This is possible only because they bought their flats cheap.
Leong Piah Mann
Yup, it was all about getting in at a great level and riding the Pacific wave.
But now
Govt ‘smartly’ pegged BTO flats to HDB resale price. Resale price is based on the flat’s valuation price. Owners were given high valuation for their units (and you know who valued your HDB and they BS you it’s about demand that your flat cost that much), so resale price kept heading skyward and BTO price follow suit to the delight of the greedy govt.
Entry point is “rigged”. So how to make money?
And what about the sucker buyer?
When PM Loong bragged about how much profit a AMK 4-rm flat first owner can make from selling his flat, PM made himself look so excellent, like a grade A, top notch leader, but he conveniently forgot to mention about the buyer of that resale flat. After paying $400k for an almost 40yrs old flat, how much will the buyer be able to sell his flat for as it continues to age and ending up as govt’s eventually?
Sorry jialat. Liddat why vote PAP so that $$G ministers also can be “Crazy Rich Asians”?
Related posts:
The real truths about public housing my summary of piece by “Tan Jin Meng, a postgraduate from the Lee Kuan Yew School of Public Policy. He has an interest in social policy and economics.”.
Why many PAP voters are ready to be flipped
New Hope: Why Dr Tambyah can flip PAP voters
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Leong Piah Mann’s comments in full
A Layman’s View On The Hot HDB Issue
I think people should stop arguing about whether we’re “owners” or “lessees” of HDB flats because the PAP and their lackeys can always defend the govt using all kinds of crooked logics. Fact remains, our HDB flats will belong to the govt after 99 yrs.
In his NDR speech, PM Loong gave an example of his AMK 4-rm residents, trumpeting how their flats can now fetch $400k when they’ve paid only $25k for their units 40 years ago.
Yes, no one will argue about this fact. First owners of HDB flats were able to make a huge profit from their flats purchased decades ago. This is possible only because they bought their flats cheap. This is possible only because our govt 40 yrs ago was genuinely caring. This is possible only because our 1G leaders’ main intention of building public housing was to let citizens have a roof over our heads. The Old Guards weren’t greedy. They didn’t price the HDB flats with the intention to make big profit from citizens or to let citizens make profits from their flats. More importantly, they never buy votes using the HDB flats upgrading or asset enhancement policy as election carrots.
As we can see, the situation now is no longer the same. The present govt has become too greedy that their greed has resulted in our public housing (amongst others) becoming so costly, in fact too costly!
Govt ‘smartly’ pegged BTO flats to HDB resale price. Resale price is based on the flat’s valuation price. Owners were given high valuation for their units (and you know who valued your HDB and they BS you it’s about demand that your flat cost that much), so resale price kept heading skyward and BTO price follow suit to the delight of the greedy govt.
When PM Loong bragged about how much profit a AMK 4-rm flat first owner can make from selling his flat, PM made himself look so excellent, like a grade A, top notch leader, but he conveniently forgot to mention about the buyer of that resale flat. After paying $400k for an almost 40yrs old flat, how much will the buyer be able to sell his flat for as it continues to age and ending up as govt’s eventually?
Mr Owner is lucky and happy but what about Mr Buyer? If VERS is real, how much will the govt compensate Mr Buyer in 30 yrs’ time? For sure he’s going to make a loss. And what if VERS is just an invincible election carrot? If Mr Buyer is 30 yrs old, by the time he’s 89 yrs old, his $400k would go up in smoke. Why didn’t PM Loong talk about Mr Buyer? Don’t tell me getting paid millions of dollars cannot even foresee such an obvious problem?
I’d definitely applaud the govt if Mr Owner is allowed to sell his flat back to govt at the market value of $400k. Then the govt sells that flat to Mr Buyer at $400k but renew the lease to 99 yrs.
Did the govt not plan to have HIP II? They can even have HIP III and HIP IV to keep the flats in good conditions. Continuous upgrading whenever necessary for our future generations to live in, is this not also being fair to our descendants? If there really is a must to tear down any blocks of flats due to safety reasons, then compensate the residents accordingly with SERS.
Our children and grandchildren are our future generations. Families are getting very small these days. Our children can inherit our old flats and continue to live in them. If our govt genuinely cares and thinks for the people, there’s really no need for all our flats to
go back to the state for the govt to redevelop the land and build new flats.
We first heard that CPF money is not our money. Now we realised our HDB flats will not be our flats eventually. What next?
Apparently the scariest thieves in sg wear white not black. So, Singaporeans beware! Please stop inviting thieves into our house and allow them to freely steal our belongings anymore.
Leong Piah Mann