Hot on the heels of my last blog post on property prices in Singapore and whether more cooling measures are on the way, I came across an article in TODAY which reported that HDB slammed PropertyGuru for inaccurately reporting that it is more affordable to buy a private property than a resale HDB flat.
I am not really interested in their squabbles since it has no bearing on my life.
However, I am interested in the last three paragraphs of the article, especially the last two which should put to rest any doubt about the government's intention of driving down the prices of residential property in Singapore.
"One cannot deny the fact that in the last five years, income has not increased at the same rate as property prices," he (PropNex Realty chief executive Mohamed Ismail) said. "However, all property prices are subject to cycles and a correction is likely when the affordability ratio widens."
The HDB felt the rise in HDB resale and private property prices in recent years "is not sustainable".
"That is why the Government has been intervening with both supply and demand measures, in order to correct the imbalance," said the HDB. "The market has moderated considerably."
With all newly-wed first-timers "largely assured" of access to a new flat, the HDB said it would focus on helping second-timers this year. "As we assist second-timers in getting a new HDB flat, the impact will be felt in the HDB resale market," added the HDB.
"Meanwhile, URA (Urban Redevelopment Authority) will continue to push out land supply for new private property development, to match the demand. The affordability of housing in Singapore should further improve in the months ahead."
Source: TODAY, 24 March 2012.
PropertyGuru report misleading: HDB.
More cooling measures on the way?
Friday, 23 March 2012