I once heard the saying that in Singapore, if you buy a HDB flat, you’ll never own the flat. I’m beginning to feel it more and more.
What essentially happens is you pay a rather high rental (about S$300k for a 4-room in the outskirts, S$450k for a 4-room in good locations) and you get to stay there until the 99-year lease expires and the higher authorities decide that the land has a higher calling.
So what happens next? Well, the authorities will offer to relocate your family at a subsidized market rate. In other words, you get a new place and continue a new leash of rental (At below market rate! Esp important when the market is inflated.). Nice.
The HDB is the platform of the higher authority. It aims to provide affordable quality homes, ensure vibrant towns and focus on the community. However, it cannot be lost on the citizens that the recent spate of housing control measures came out pretty near elections timing. Also, what happened to this:
“In 1964, the government introduced the Home Ownership for the People Scheme to give citizens an immovable asset in the country, a means of financial security and a hedge against inflation.”
We certainly don’t own homes any more. We merely occupy (Yes, that’s why there’s the Minimum Occupation Period.) the space for a maximum of 99 years and govt-willing, until the land is redeveloped and re-redeveloped. And re-re-re.
I’m just ranting I guess.
Please show me a get-rich-quick scheme with no risk. Please.
