Mah Bow Tan's comments will further fuel the property price hike
Posted: September 2, 2009 by fievel in Labels: Housing, SingaporeI refer to Mah Bow Tan's comment on Singapore's HDB market on Straits Times today
'The flat prices would probably go up ... by 1 per cent, 2 per cent,' said Mr Mah. 'It will just keep on going up if the economy recovers as people expect, and if confidence returns but affordability will always be there."
As it is, Singapore is seeing record prices on HDB scored during a global economic crisis and this is obviously a failure on HDB's part in matching supply with the increased demand. Mah, as the Minister for National Development, has not acknowledged this and instead, attributes this to the "confidence" and "recovering economy"?
With the number of newly minted PRs and natural rate of demand for housing (arising from Singaporeans marriage and single Singaporeans reaching the age of 35) easily outstripping the supply of flats several times over I feel it is his responsibility to manage the situation and take some due heat for dropping the ball this time.
Instead, he made an entirely unsubstantiated statement about how "affordability will always be there", as well as the below curious little statement. He says...
'We subsidised you when you buy and we increased the value of your flat when you live in it and... facilitate you to monetise it when you grow old. This is the best form of investment and welfare for the people.'
A few questions spring from this. Who is "we"? Who is "you"? It reeks of snobbishness and it irks me no end. With the acute lack of affordable housing for this current generation of first time buyers, HDB provides no solution when they decided to whip out another paltry 1400 flats, this time in an even more "ulu" part of Punggol. These flats require 3 years or more to get to the market. The failure of supply meeting demand is NOW. It is a mistake already committed by HDB and Mah.
With respect to the claims that HDB's prices act as a welfare from him/HDB/PAP (whoever wants to lay claim to this credit pls go ahead) to the people, I'd much rather my Singapore be not as congested as his or their version which then lends to the increased in prices, I'd much rather being able to retire with my own savings I managed to put aside (because my mortgage didn't cost me as much money ) than to rely on what is potentially a transient government policy to buy back the tail end of my flat's lease. Will you, Mr Mah, guarantee that the policy will always be there in 30 yrs when the generation Xers and Yers are looking to retire?
Mr Mah, we are not talking about a handful minority of poor and destitute here (which is another can of worms), we are talking about 80% - 85% of Singaporeans here. We ARE the people you are supposed to serve, and WE don't like to rely on events outside of our own control for retirement planning. Nor do we like to count on downgrading our flats in our twilight years in order to retire. I mean, would you like to be in the people's shoes?
With all due respect, Mr. Mah, we (grudgingly) pay you good money, more than 2 million Singaporean's taxpayers' dollars every year, to do a good job for us. Housing inflation during a recession is no good. An untimely comment like this from you will only further worsen the situation.
Maybe you have been too busy focusing on the dazzling casinos. But please have a heart and start "convincing us that our lives will improve" as SM Goh has suggested.
you siao ah. 90% homeowners all enjoying and richly benefited from the brilliant garmen wealth enhancing programs and here you are, probably a home owner too, slamming the garmen for political mileage?
i think you need to check whether your cheeze has become mouldy or not.