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PM Lee: HDB flats are ‘affordable’ for first time buyers

Posted by temasektimes on September 29, 2012

Though the prices of HDB flats have almost doubled in the last decade or so, they remain ‘affordable’ to Singaporeans, insist Prime Minister Lee Hsien Loong.

Speaking to queries from the media, PM Lee acknowledged that public housing has become more expensive, but is adamant that it remains ‘within the reach’ of young Singaporeans.

“We’re building for Singaporeans. So if Singaporeans say they can’t afford to buy the flat, who can afford to buy the flat?” he said.

PM Lee added that the government will continue to build flats and sell them to Singaporeans at an ‘affordable’ price:

“It’s not my purpose to build flats and leave them on the shelf. It’s my purpose to build flats and sell them to Singaporeans at a price which they can afford, which is what we’re going to do.”

Till today, the construction and land cost of HDB flats remain a mystery as the elected ‘opposition’ dare not raise the question in parliament. It is not known how much monies HDB has made from the building and selling of HDB flats.


24 Responses to “PM Lee: HDB flats are ‘affordable’ for first time buyers”

  1. Lim said

    I read in STOMP a 5-room Tiong Bahru new flat is sold by HDB at $750,000 after subsidies and grants. A far-flung 4-R flat in Punggol end costs $310,000. I wonder who is inflating and profiteering? Sporeans can’t afford but still got to buy because HDB is a monopoly and they are burdened in debt for 30 years with couple both working, loans up to their necks until they retire with no CPF savings. PM Lee – is this your idea of affordable flats?

    • Daft Peasant said

      to Ah loong, its still affordable……when you full loan 30/35 years….. as for when retirement age comes, cpf no money you can jolly well mortage your hdb flat……

      nothing is yours in sinkie land……

  2. joker said

    1 million $ 1 unit, affordable?

  3. Pink Panty Loong said

    Is this idiot living on Mars or what? How come he is so blardy disconnected & detached from reality one?

  4. Pink Panty Loong said

    Oh, I forgotten, he is so used to seeing million-dollars houses that afew hundred thousand is definitely affordable & CHEAP to him.

    • Naivety said

      Pinkie is used to be paid more than $3 Million dollars a year as PM of Sinkapor before the recent salary revision.
      Off course, a few hundred thousand dollars HDB flat or even a million dollars 5-Rm Flat is small change to him as he can more than well afford it!

  5. Goondu said

    We try to believe you PM. You build flats so that you can cream as much as possible from Singaporeans. Let me illustrate the difference. During the oil crisis in 1973, ( I choose this period because it was the highest rate of inflation our young country has experienced, prices were much lower before this period), a single storey terraced house cost about $70,000 (private property). A graduate from the university earns $1200 per month then. A simple calculation shows the house is about 58 times of his monthly salary. Currently a government build “affordable” HDB (public housing) costs $268,000. A fresh grad salary starts at $2800. That is about 95 times his monthly salary.

    Come on PM don’t kid us.

  6. sporeoboriginal said

    Duhh.. My grandmother told me that our family land and home last time was in geylang. Then came a time when the gahmen were building flats. So my grandma was “asked” to leave the land and kampung house in “exchange” for a hdb flat. When my family moved in to the flat, they still need to pay for instalments on the new concrete home. Where did the “exchange” go? No monies for taking over of land? Did the gahmen assumed family land is belong to country and suka suka jus take?my grandma is SO alive to testify that. Looks like uneducated kampung people will always be cheated. Especially

  7. nb la said

    ask himself who he is selling to. define affordable. it is almost required to borrow/take from parents to buy HDB is not affordable. need 2 income as compared to 1 income in the past is not affordable.

    Is his purpose to profit very significantly from HDB? offered at a discount as compared to nearby prices is not affordable. We have no choice but to wait for 3yrs because the government refuse to build in anticipation. 3yrs is more than enough to sell all 100% units fully.

    when the PM need to ask who can afford, he should ask himself if it is really affordable to the masses instead of compared to his salary. Assuming a 30+% of monthly salary for HDB loan installment is not affordable, because all are pegged to 30yrs loan, perhaps 50yrs in future to show greater affordability.

  8. Jackie said

    We must send Dr Chee to Parliament so that he can ask for us how much money does HDB earn from us!

  9. Jack said

    You for Singaporeans? Or new Singaporeans? $1k can buy flat, right?

  10. SCORE POINTS said

    “…….as the elected ‘opposition’ dare not raise the question in parliament. ”

    Another ‘additional sentence’ written by the mod to bash the WP. LOL!!

  11. alamak said

    If ‘first time buyer’ be FT now becoming citiyzen, off corse can afford lah.If go buy flat for $750K , so only need pay back 30-year loan mean $2K over installment every one month.come. Only question how many old Singapoor cityzen got that kind of gaji? Whaddo u think?

    • HousingDetentionBarrack said

      Maybe is ASSumed affordable coz one can service to pay installment entirely thru cpf with no cash top up. But 30yrs loan.

  12. Invictus said

    Leftover units at Queenstown and Holland V is selling at $685K (5 room) and $500K (4 room) respectively. This is in the HDB website. How is this affordable according to the PM.
    Of course a new family can buy in a less expensive estate. But it is still costly for a uoubg family.
    Now when these family is ready to start a family and need a bigger home, they will have to go to the open market. When units are selling at the current rate, how does one really afford this. Many financial advisors advocate us not spending more than 25% of our income on housing but at these astronomical prices, this prudent advise is out of the window. Bear in mind, we too need to set aside for other expenses and responsibilities, incl saving for old age.
    Public housing must remain affordable. Stop people from profiteering from public housing (they can go to the private market) so that rices remain sane.

  13. Tan Yan Ren said

    Sir, you are out of touch with Singaporeans, at least you Ministers and and your subordinates are NOT doing their jobs by gathering facts and analysing these datas and advising you the right course of action …at least far sighted ..nOT Sightedness and also ensure the DATAS collected are accurate and genuine…Let me tell you the a ministry that i know which has destroyed the Singaporean’s opportunities and thus their lives and thanks to the ex ministers of manpower and the NTUC for allowing this to happen…their policies and the policing of these policies were totally ineffective , whether intentionally or not , i will refrain from spelling it out but if given the immunity of lawsuit…like a national conversation with the ex MOM minister, I will FORCE his resignation in disgrace…invite me PM for a dialog or conversation and have it all recorded and you will understand and get to hear the real stuff…not the bulshit you heard from your subordinates…The Present Minister Manpower is not to be blamed for these mess unless he does something in the right direction which i think he is ,at least the measures he is taking …i am watching and studying closely….FOR SINGAPOREANS

  14. Robin hood said

    our legs are being pulled TOO long already. Ask any man on the street how much does it cost build a 5th flat at Tiong Bahru.After gazing the sky and ground, he is likely to say, “at today’s prices of labour, materials, plant, etc and land cost, it will not be more than $150,000. Unlike a landed property, There are many floors up over the same plot of land. So the land cost is divided equally.

    Singaporeans are taken for a ride by their leaders and no one to help them.

  15. fpc said

    reading his comments, you will see that he thinks he has done his job. he doesn’t even consider metric of affordability . ask him to ask the ex chief economists of gic.

  16. People Inaction PArty said

    He still doesn’t get it. Sigh…

  17. Tommy Seah said

    Loong Loong should have the courage to open the costing of HDB flat for public scrutiny. Inserting notional cost as part of overall cost is simply taking away from Singaporeans what belongs to Singaporeans in the first place. I said, there should be transparency and more Power to the People !

  18. Henry said

    Mr Lee, you’ve gotten it all wrong. HDB was building flats and selling it at subsidized pricing to help the people get a home. This is because the people of Singapore needs your leadership and sponsorship to survive. IRAS will eventually recover the subsidy. But today, the tax man taxes us more and more, and the pricing of HDB flats have sky rocketed … Please, Mr lee, please try to have some compassion for the man in the street. A humble appeal …

  19. Steve said

    HDB flat is “Affordable” for Singaporean, TT reader you must agreed with our PM Lee, it was affordable only with Loan and it take many years for you to work and save up the 20% downpayment of the BTO flat, and it take your spouse and you the sharing of CPF money hence he is right, indeed it is affordable. Many Singaporean can buy a flat, but they must do financial planing, this is our government definition of “affordable”…

  20. Terence said

    Can afford HDB flat but cannot buy cause not married, think they should make the system fair for all Singaporeans, whether married or not I am still a Singaporean.

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