Can MBT explain how "affordability" can equate to high HDB prices

From: Zanzibar
Subject: Can MBT explain how "affordability" can equate to high HDB prices.

Mah recently keep harping on his usual argument in that it is
affordability level of the HDB that is still affordable.

Can Mah please explain to the people as to how can one affords to
purchase the same flat of the same size at the same level when the
price of that flat of the has already doubled in the last three years,
and that when there was no change of his salary or for couple, there
was no change on their combined salaries in the appllication of formig
of a family nucleus.

For example, let say a resale flat of 3 rm flat was, let say, 170,000
dollar. A family or a single who want to buy that flat, would, let
say, need up to 40% of their income to pay for it.

But if now after 2 years passed, the flat's price jumped to 100% more,
does that mean it was still affordable when instead their repayment
jumped to 80% on their income.

Because of the high gearing, those intending to buy at this price wlll
not be qualified to purchase it. This means that people who qualifed
themselves in meeting the criteria in the pruchasing of flat will now
no longer qualify for it.

Thus, affordabilty is not a good measures for HDB flats. It does not
address the rising prices of the HDB flats.

From: "Jam"
Subject: Re: Goh Meng Seng takan pap "caught off guard" minister

When these men in white paid themselves indecently, they are all busy
counting their pay each month and tending to their investments. where got
time for the homeless? Their solution is to get the police to round tem up!
"truth" wrote in message

> truth comment: good on u goh meng seng. whack them hard.

> Mr Mah's high and mighty status does not however mean that he is always
> right and that ordinary citizens should not speak up when they see him
> pursuing polices which have caused great hardship to many Singaporeans. Mr
> Mah's first policy failure is that he built an insufficient number of HDB
> flats to meet the needs of Singapore's population. From 2003 to 2008, the
> total population of Singapore increased by 17.6%. The number of HDB flats
> increased by only 1.2%.

> The shortage of HDB flats has caused a destructive boom-bust housing
> bubble to be formed. The prices of resale HDB flats have skyrocketed
> beyond the means of many Singaporeans. New "subsidised" flats from the HDB
> have an over subscription rate of 5 to 10 times. If you succeed in getting
> a flat, you have to wait 3 years or more before you are able to get your
> flat.

> The huge demand for HDB flats is largely due to the increase in
> population. Over the past 5 years, Singapore's population has increased
> tremendously due to the Foreign Talent policy. Given Mr Mah's senior
> position in Cabinet, it is uncertain how Mr Mah could have missed this and
> be "caught off guard". This is not something that just happen overnight.
> It has been a steady phenomenon for the past 5 years.
> A well documented consequence of the Foreign Talent policy is that it
> depresses wages in Singapore. Based on CPF data, the number of active CPF
> members (ie Singaporean Citizens and PR) who earned less than $800/ month
> increased by 36.8% to 214,448 in 2008.

> At current prices, a HDB flat is NOT "affordable" to a family that earns
> less than S$1,500 a month. The rise in the number of people earning less
> than $800/mth means that there is a significant rise in the incidence of
> families that earn less than $1,500 a month and cannot afford a HDB flat.

> Such families typically have to rely on renting heavily subsided flats
> from the HDB. It is here that Mr Mah made his second policy failure. It
> seems that Mah Bow Tan's HDB does not think it should rent flats to
> Singaporeans who could no longer afford a decent flat. This is further
> reiterated by MM Lee recently that PAP's direction is that they do not
> want to rent flats to Singaporeans as far as possible. In fact, even when
> people are forced to sleep in the wild, in the parks, along the beaches...
> etc, PAP has maintained such a strong stand ever. They would rather rent
> HDB flats to foreign workers than renting them out to Singaporeans. The
> Online Citizens' article has a special report on this unusual phenomenon
> happening in Singapore, under the nose of PAP governance.

> Statistically, from 2003/2004 to 2008/2009, HDB decreased the number of
> rental flats by 45.5%. As a result of this hard hearted policy, the
> waiting time to rent a subsidized flat from HDB has jumped to between 17.5
> months and 25 months. Just not so long ago, right after GE2006, HDB has
> announced the demolition of a few blocks of rental flats in Mr. Low Thia
> Khiang's Hougang constituency. I also know that HDB is actively trying to
> get people who are staying in rental flats to get out. It is interesting
> to know that while HDB is actively reducing the number of rental flats for
> Singaporeans, they have been actively increasing rental flats for foreign
> workers here. It really makes me think about whether HDB's priority is to
> serve Singaporeans' housing needs or rather, the foreigners. This long
> waiting time for Singaporeans to rent a subsidized flat is in sharp
> contrast to foreigners who come to Singapore and work in the integrated
> resorts. These have been offered subsided housing IMMIDIATELY in the prime
> Toa Payoh district. For more details, please refer to the following
> article.

> Unable to "afford" a flat (because of Mr Mah's HDB policy) and unable to
> rent a subsidized flat (also because of Mr Mah's HDB policy), the natural
> outcome of such disadvantaged Singaporean families is to become homeless.
> Singapore does not publish statistics on the homeless. The official
> position of the Singapore Government is that there are no homeless people
> in Singapore. The recent tent shanty which sprouted in Sembawang Park,
> Changi Beach, East Coast Park, West Coast Park etc shows that this is not
> true. How many how many people have you seen sleeping in the common areas
> when you walk through the HDB estates in the small hours of the morning?

> Mr Mah's policy failures have given rise to a small but growing number of
> homeless Singaporeans. Closing his eyes and pretending that they don't
> exist will not make these homeless Singaporeans go away. Given his track
> record of monumental policy failures, would you want to entrust
> Singapore's future to him? Maybe he will just give the same old catch
> phrase, "I am CAUGHT OFF GUARD" that his HDB policy has resulted in this
> growing number of homeless people.

1 comment:

  1. Mr Lee Kuan Yew always indicate that we must pay market rate (salary) for the ministers of good calibre. But we are paying for one who is not so great after all (Mr Mah Bow Tan). He did not do his homework or check with the immigration department on the forsee increase in the populations. His way of building the flats only when there is a demand is wrong with the encouragement for the young to tie the knots. Sack him through the next General election. Be this a wake up call to those ministers who slack and lack of vision.