Being in the property sector, I am usually the first person my friends turn to for property advice. Most common questions put across to me are:
– How is the property market?
– Is it the right time to buy? When is the right time to buy?
– What should I do, I need a house urgently and balloted 10 times for the a new flat and failed to get a no.?
– What should I do, I just pass the income ceiling of $8,000?
I do find myself repeating the same answer again and again. The thing is, I don’t have a perfect answer nor the perfect solution, but one thing for sure, I am not agreeable with government policy with regards to the housing policy.
Here is one post I replied to on a local forum asking “Will COV come down?”
People who live through the 1997 Asia Finance Crisis ,2001 Gulf War, 2003 SAR, 2007 Mortagage Crisis will testify that sentiment changes very fast.
The concept is alien to a lot of Singaporean, but in other countries, it is very common for young couples to be renting their first house and subsequently purchase their house few years later. Key is to time the market.
Public Housing was first mooted in the early 60s as a mean to encourage people to move away from the kampongs and provide them with a sense of ownership to the country. That is why public housing were affordable to all Singaporean then. There were only few trading of the flats and very little market forces to push the prices up solely because they are ‘public housing’, as the name implied, a affordable house for the masses to stay, provided by the government.
Now, it is quite sad to see young couple breaking their bank to buy their first house and competing with the PRs to buy a flat. Public housing seeems to lose its mandate that was first mooted. Government’s policy of allow market forces to dictate the pricing not only artifically creates wealth for existing owners, but also puts the burden of the ever-increasing prices to the younger generation.
It is very sad to see my friends struggling to find a decent roof over their head and have to take those condescending replies from the government on their plight.