Tag Archives: Khaw Boon Wan

Govt not doing enough to curb soaring house prices: survey

The government’s recent cooling measures to moderate property prices are still not enough, according to 60 percent of the 662 online respondents in PropertyGuru’s latest Property Sentiment Survey for the second quarter of 2013.

This is 13 percent higher than the 47 percent recorded previously in Q1.

There was some good news though. The Property Affordability Sentiment Index (ASI) was up at 87 from 80 in the previous quarter, reflecting a ‘cooling off’ from the sky-high prices seen since Q2 2012.

This was supported by the larger number of Singaporeans who believe that property prices are unlikely to rise. Compared with last quarter, 10 percent more respondents do not expect prices to move up further.

But only 19 percent plan to make property purchases in the next six months even though prices are not expected to grow.

At the same time, the majority still feel that property prices are costly. For HDB flats, 37 percent reckon that prices are too expensive with 36 percent saying they are expensive. A significant number (84 percent) feel that private apartments and condominiums are pricey.

Overall, Singaporeans were less satisfied with the real estate climate in Q2 with only 24 percent satisfied with the property climate, the second lowest level recorded since Q3 2011. 75 percent of those dissatisfied said properties are overpriced, while 64 percent pointed to prices being expensive.

Meanwhile, those who are satisfied highlighted the country’s healthy economy (40 percent), good capital appreciation in property investment (39 percent) and low mortgage / interest rates (38 percent).

Generally, satisfaction in the real estate climate is declining again, clearly seen in the higher proportion of Singaporeans still very dissatisfied.

Source – PropGuru – 21 May 2013


Resale HDB flat prices to drop?

Prices of resale flats could change in the coming months as 50,000 newly-built flats are handed over to their owners, said National Development Minister Khaw Boon Wan.

At a recent dialogue session, he noted that the government has indirect influence on home prices even if buyers and sellers are the ones who set the trends.

Attended by over 40 participants, the dialogue focused on housing issues, reported My Paper.

Mr Khaw also clarified his previous comments on the executive condominium (EC) scheme, stating that they were wrongly reported. He said that it was not about the money EC owners could make when selling their properties, but the subsidy they get from the government as compared to other new flat buyers.

He explained that even if EC units are bought from developers, the land is still from the government, restricting them to build ECs and not private condominiums.

“This market subsidy, compared to the subsidy given to someone who buys a (new non-EC) three- or four-room flat, is much more,” said Mr Khaw, adding that it would be unfair if a higher-earning EC buyer receives a larger subsidy compared to someone who earns less and purchases a new non-EC flat.

Separately, the Minister also visited two HDB blocks in his constituency to distribute dengue-prevention leaflets in line with on-going awareness against the problem.

Source : PropGuru – 7 My 2013