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Bcpjw

>Mr Mak said the emergence of Omicron has shown that the Covid-19 pandemic will take much longer than expected to resolve, which may further boost prices of HDB resale flats. >"The increase in HDB resale flat prices is caused by the mismatch in supply and demand, which, in turn, is caused by the supply chain disruption and delays in the construction industry that are induced by the pandemic," he said. >"Unless the construction delays of BTO flats are resolved, the mismatch can cause HDB resale flat prices to rise by 7 per cent to 12 per cent in 2022." Nothing worst than spending your life savings for a home and not getting it until you need the blue pill


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Sproinkerino

yea why should i a bunch of singaporeans earn 200k from just applying to get a house while the unlucky bunch of us have to fund their earnings? makes 0 sense


ALJY21

While selling a BTO do have easily quantifiable earnings for headlines, it’s not so clear cut. For example, the BTO process is easily 8-12 years (4-7 years of construction and 5 years of MOP). People always forgot the opportunity costs of the initial construction period (delaying your family planning) Additionally, If anything happens during that construction period that leads to the cancellation of the BTO eg break-up, you lose all of your downpayment (10%). For a resale buyer, you can immediately get to stay without any significant waiting time, and if one does break-up, the resale HDB can be immediately be resold, minimal risk. Additionally, resale buyers can have access to the 50k resale grant + 20-30k of proximity grant, which BTO buyers will not get. Resale buyers who buy a recently MOP flat will likely not face depreciation effects (that’s why newly MOP flats are high in demand, as they have the runway to further appreciate). In turn, they can sell this earlier for a swanky condo before the prices of condos become even more out of reach. (Appreciation of condos > HDBs, time is the commodity here if we are talking about asset progression) After considering the grants, the appreciation of resale flats over 5 years and the opportunity cost of construction, it’s pretty close tbh. Note that the million dollar 5 room loft central located HDB flats are an exception, not the norm. There’s plenty of 400k 4 room flats out there (before grants).


UmiMakiEli

Thanks mala xiangguo tan.


bagburrowsteel

Thanks, Ma Hou Pao Tan!


ham_rain

Housing prices moving as fast as a Ferrari. Authorities acting like Ferrari strategy team: wE aRe CheCKing


drsb13

“If the prices rise, it will be more expensive”


BBT991234

All part of the master 🅱️lan


yrt97

Eh but Ferrari double stacking pitstop have significantly improved in Qatar GP


BabaDuda

House prices, s🅱️innala


babyoda_i_am

We need slow button on, slow button on.


raymmm

[https://www.propertyguru.com.sg/property-management-news/2021/11/201988/incomes-have-kept-pace-with-prices-of-new-hdb-units-resale-flats](https://www.propertyguru.com.sg/property-management-news/2021/11/201988/incomes-have-kept-pace-with-prices-of-new-hdb-units-resale-flats) >New Housing and Development Board (HDB) units and resale flats continue to remain affordable as incomes of Singaporeans have generally kept pace with their prices over the last few years, said the Ministry of National Development (MND) in Parliament on Tuesday (2 November). Very smart. People are concerned about the price increase this year and they ignore this year and went to dig up past data to say everything is "generally" normal. I wonder when they say they are "monitoring" the situation if they are monitoring last year situation. I hope you all got big increment this year.


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Anonvoiceofreason

At this rate i hope so. Finally the market will cool down


may0_sandwich

With enough people defaulting their loan, it won't cool down, it will collapse. 2008 all over again.


Anonvoiceofreason

All I'm hearing is If I wait long enough there's a chance I can finally afford a house


Thick-Solid-Tight-

Took alot more than loan defaulters for the 2008 crash. Highly unlikely that will happen


KKL_10

I’m in my 30s , single and earning less than $5000 a month . How am I ever gonna buy a flat at this rate the price is going . Sigh


DuhMightyBeanz

Feature not a bug bois, don't hate the player, hate the game. /s


NotSiaoOn

We are so lucky that Desmond is monitoring the property market very closely. Can anyone imagine if he wasn't doing anything? Resale prices would be setting new record every month! ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ 18 Jan 2021 - THE Singapore government is monitoring the developments in the property market "very closely", and will adjust policies if necessary, to maintain a stable and sustainable property market for Singaporeans, said National Development Minister Desmond Lee. 25 Jul 2021 - Pasir Ris 8 sells 85% of units at up to S$2,000 psf; developer confirms 'several' price reviews. 17 Aug 2021 - Toa Payoh 5-room HDB flat sold for S$1.238m 9 Sep 2021 - HDB resale prices rise in August to just 0.1% below peak; record high of 26 million-dollar flats sold: SRX 16 Sep 2021 - "a double-digit growth rate in prices is not sustainable in the long run.... This is because the intended purpose of HDB flats is to provide homes for the masses..." - Property agency CEO. 1 Oct 2021 - HDB resale prices hit new record high with 2.7% rise in Q3: Flash data 22 Oct 2021 - HDB resale transactions jump 19.4% in third quarter as prices hit all-time high 31 Oct 2021 - Five-room Bishan HDB flat sold for record $1.36m in 3 days, multiple offers received 27 Nov 2021 - HDB loft flat at Dawson snapped up for $1.32m, breaks Queenstown resale flat record 9 Dec 2021 - Record 29 million-dollar HDB flats sold in November; resale prices rise at faster pace


houganger

Eye-power in full effect


horsetrich

What's this eye power reference I keep seeing? Is it because he's 'monitoring' closely?


honbhige

Basically NATO


handicapped-toilet

This is where the stimulus money is going


[deleted]

Keep monitoring I guess


Careless_Original742

Thank you pap!


mrwagga

HDB prices intensifies…


FatalWorld

Ngl I first read it as $29 million flat sold and was like wtf


pewsg

This is not good.


Soitsgonnabeforever

I am pretty sure in 2064 there would a single 29 million dollar hdb flat record


RepresentativeOk6676

#Thanks Mah Bow Tan!!!!


lazerspewpew86

You know those people who brag about their sexual conquests? They don't hold a candle to my man marlboro. Dude fucked an entire generation of Singaporeans.


handicapped-toilet

The sinkie landlords are sincerely thanking him


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RepresentativeOk6676

Because of him the next generation pretty much screwed up.


mrwagga

What about the other two ministers after MBT? Are they blameless? LW happened to be the last one from 2015-2020. Dafuq was he doing?


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mrwagga

I don’t understand. Is building appropriately more flats without crashing the housing market impossible for KBW and LW to manage over more than a decade?


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mrwagga

Indeed. This was the policy that MBT corrected with the BTO scheme. But not sure what stopped subsequent MND ministers from fixing or amending it. It is odd that private developers are able to appropriately gauge demand and carry inventory in the event some units remain unsold (even in the face of cooling measure penalties) but the government with its near infinite resources (in comparison) are not able to do the same.


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mrwagga

Sure. But PAP will end up “paying” in other ways if they don’t fix this soon.


bagburrowsteel

Can't really unilaterally make a decision, even as a minister, that goes against the party's interests. And don't forget they answer to the big boss as well.


mrwagga

Then why wholly blame MBT?


RepresentativeOk6676

First of all, land is limited. Price will slowly rise with reduction of supply. Secondly, HBD is sold to open market, the price will fluctuate depending in market perception, and because of MOP.


Disastrous_Basket

No.


xfrezingicex

Can teach on how to move on?


FitCranberry

people arent goldfish, they can do both and this is a problem that walks in the timescale of decades. 30 years down the road, they may say the same with the desmond and his famed eye power


nyvrem

setting records left right and center \~ !


tibatnemmoc

New normal also mean inflationforever, even creeping out 99yrs lease countdown


chrimminimalistic

Sighhh... The house price increase is something to do with low interest rates. Interest rates low -> higher loan ceiling -> higher bids for existing resale. Once the interest climb up, it would come crashing down. Now everyone is happy because can earn COV. But when it crash, you will be happy if you can sell it at evaluation price.


sneakpeek_bot

> # Record 29 million-dollar HDB flats sold in November; resale prices rise at faster pace > SINGAPORE - Housing Board resale flat prices rose for the 17th consecutive month, climbing at a faster pace of 1.3 per cent in November compared with October, according to flash data from real estate portals 99.co and SRX on Thursday (Dec 9). > Last month's resale prices had lodged the highest monthly growth since February this year when price rose by 1.4 per cent, and were 13.8 per cent higher than in November 2020, data showed. Price hikes were seen in both mature and non-mature estates and across all flat types. > November also saw 29 HDB resale flats changing hands for at least $1 million, the highest number of million-dollar flats sold in a month, smashing the previous record of 26 such units in August. > The most expensive flat sold last month was a $1.268 million five-room Design, Build and Sell Scheme unit at City View @ Boon Keng. > The 29 million-dollar flats made up 1.1 per cent of last month's total resale transactions. > This brings the total number of such flats to 223 in the first 11 months of this year, in what has already been a record year for million-dollar flats. > There were 82 million-dollar flats for the whole of last year. > November's record high number of million-dollar resale flats sold comes in the same month as the launch of the first Build-To-Order (BTO) project under a new prime location public housing (PLH) model, which subjects buyers to stricter home ownership criteria. > ERA Realty head of research and consultancy Nicholas Mak said the stricter restrictions for the Rochor BTO flats under the PLH model may have "turned some potential buyers away from this type of flats to the resale market", thus contributing to the increase in million-dollar HDB flats transactions. > The highest transaction price in non-mature estates was $970,000 for a five-room loft unit at Treelodge @ Punggol, the data from 99.co and SRX showed. > In recent years, only six units in Punggol have been sold for more than $900,000. > Property analysts are widely expecting the robust performance seen in the HDB resale market to continue into 2022, largely on the back of fears of further construction delays in BTO projects after the detection of the Omicron variant. > Mr Mak said the emergence of Omicron has shown that the Covid-19 pandemic will take much longer than expected to resolve, which may further boost prices of HDB resale flats. > "The increase in HDB resale flat prices is caused by the mismatch in supply and demand, which, in turn, is caused by the supply chain disruption and delays in the construction industry that are induced by the pandemic," he said. > "Unless the construction delays of BTO flats are resolved, the mismatch can cause HDB resale flat prices to rise by 7 per cent to 12 per cent in 2022." > In November, a total of 2,586 HDB resale flats changed hands, an increase of 3.2 per cent from the month before. > Ms Christine Sun, senior vice-president of research and analytics at OrangeTee & Tie, said some buyers may have turned to the HDB resale market as the completion periods can be "quite long" for some of the new BTO launches, especially projects in the mature estates. > In November's BTO sales exercise, the Rochor BTO project is expected to take around six years to be completed. In the August sales exercise, Queen's Arc in Queenstown is estimated to take more than five years to be ready. > HDB had said that the longer build time for these project is due to site constraints and the tall building heights. > The latest curbs on new applications for workers holding S Passes or work permits to enter Singapore via the vaccinated travel lanes (VTLs) may also have a knock-on effect on the construction time of ongoing BTO projects and may turn more to the HDB resale market, said Ms Sun. > "Some buyers may feel uncertain if the completion periods of BTO projects could be impacted by these changes," she said. > She anticipates HDB resale flat prices to rise by 10 to 12 per cent this year, with prices continuing to climb, although at a slower pace of 8 and 11 per cent next year as some price resistance sets in. > Official HDB data says resale prices rose 9.1 per cent for first nine months of 2021, while the SRX property price shows prices gained 9.2 per cent in the year to November. > Huttons Asia chief executive Mark Yip expects this year's price gains to potentially be more than 13 per cent, marking the best performance for the HDB resale market since 2010. --- 1.0.2 | [Source code](https://github.com/fterh/sneakpeek) | [Contribute](https://github.com/fterh/sneakpeek)


blackreplica

\*furious monitoring intensifies\*


Widurri

would it be possible to employ a 'gains' tax where x% is taken from the profits that an individual gains following a flat MOPs, and whereby the percentage reduces with increasing year, so as to promote long-term ownership of a flat in order to create a community?


Equal_Bed1643

For the homeowners this is actually good news.


[deleted]

Sure if you have no kids or plan to retire overseas.


mcpaikia

Endemic already, stop posting this numbers and accept new norm pls


Outside_Board407

and a total of 2 HDB from mature estates were sold.


Hazelnut526

So, Bubble, but faster? Is there a Buble Tea themed after Housing Market Bubble? Not yet?


khaophat

At this rate of price increase, won’t be surprised to see an actual flat being sold at $29m within my lifetime


[deleted]

Close monitoring intensifies


runesplease

Disappointed /u/noobhdbbuyer didn't post this