But a more important wuestion which no one has asked (or no one has dared to publish?) is why are we handing out PRs? Isn’t it supposed to be a first step to citizenship? If so, why do we have a whole bunch of people who remain PRs forver and never take up citizenship. Even worse, disappear back to their own country and legally let out their HDB flats, depriving honest citizens. And why does the government allow it? Three years should be long enough of a transition. Anyone who then doesn’t take citizenship should have their PR status taken away

Part of the way to solve the problem is to only allow HDB purchase or rental if one or both applicants are SCs. Unfortunately, this will dampen demand so some may not be to happy about this, but we can’t have everything in life. We have to decide.

It can also help with the FT sintuation because anyone coming here to work alone or with his family must factor this higher cost of housing before accepting employment here. Employers must decide who they want to hire – locals who need a higher liveable salary, or FTs for whom he may have to include a housing component on top of the salary acceptable to the FT.

Same principle should apply for school fees and medical fees in Gov’t clinics and hospital.

Its the same for Singaporeans when we are hired to work overseas. We have to ask for a package that includes housing, medical, schooling fees if we want to take our children along, etc….

If the employer really needs the FT because they need the often tauted “higher skills” or “better” attitude, they must be willing to pay for this premium.

I have a 5 room flat in Punggol and have been renting out for the last 7 years as I have been posted to work overseas every since I got the flat. I have applied to HDB to legally sublet our the room. Also, I have exhausted my CPF savings and as such, I am paying the loan with cash every month.

My question is if I can sell my flat in the open market. Can HDB allow case like mine? My house would be better off for people who really need a house to stay in and I can benefit from the selling.

If yes, I look for an agent to assist me with this.

Eugene

Why?

“Since foreigners do not need to contribute to CPF, they generally may have more cash to pay for the COV, when they become PRs.”

Then, since foreigners do not need to contribute to CPF, they also don’t have the quick access to pay the downpayment from the CPF Ordinary Account. Paying COV doesn’t help if you don’t have enough for the downpayment in the first place!

“When they become citizens, they can buy their second flat of any size and get a HDB loan.”

If Singaporeans want to buy their first…and second.. and third… and nth flat without a HDB Concessionary loan, no-one will stop us. And when we want to buy the (n + 1)th flat (OF ANY SIZE) using HDB loan, we will still qualify!

“PRs just buy any size resale flat that they can afford. Even if a PR earns $1 million, he can buy a 2-room resale flat as there is no Income Ceiling for resale.”

Singaporeans earning a million dollars are also free to buy 2-room resale flat as there is no Income Ceiling for resale. what’s your point?

“Some Singaporeans also perceive that it is better to get a CPF Housing Grant. But you may have noticed in recent years that every time the grant is increased, the prices of new flats increase by even more.”

It’s every Singaporean’s right to refuse CPF Housing Grant. No-one forces it on any of us! It’s like this: Singaporeans are offered a cake, and PRs are not. Whether we want to eat it or not, it’s our choice. Why blame the PRs, who are not even offered this choice? Also, you said “every time the grant is increased, the prices of new flats increase by even more.” Actually, it’s the other way around: every time the prices of new flats increase, the grant is increased by more! That’s the whole point! To make it easier for Singaporeans to buy their flats, even when prices rise! You want the CPF grant to increase, but not HDB prices? You thought the CPF grant is free money?

Please don’t make Singaporeans sound like a spoilt lot. We are generally lucky to have the HDB option. Many people in other countries have to rent a home all their lives, because their government does not want to get involved in housing them, and leaves it to private developers who charge a bomb!

In 2005 when PRs and singaporean private property owners were allowed to buy resale flats, hdb resale prices never looked back. 2007, property prices peaked, most surpassing the 1997 peaks.

If the PRs and singaporean private property owners were not allowed to buy resale flats back then, the liquidity from the enbloc boom could have caused the private property to increase even further, and the average hdb dweller will never materialise their condo dream. The policy made a lot of hdb upgraders dream come true, so they will love the old man for it.

It was a political move to me and I don’t foresee the policy to be retracked.

A PR doesn’t immediately become PR upon arrival in Singapore. First, s/he works as a Foreigner that does NOT buy into CPF. … did you read the article or not?

Quote from Article: Since foreigners do not need to contribute to CPF, they generally may have more cash to pay for the COV, when they become PRs.

PRs will not come to Singapore if they need to pay levy of $100,000 or prove their loyalty in order to buy a house in Singapore.

PRs must not be loyal to Singapore because they are citizens of their own countries.

Singaporeans must guarantee that they will ensure all PRs are safely escorted out of the country before a war erupts, or else no PR will come to Singapore.

http://singaporemind.blogspot.com/2010/01/high-hdb-prices-curbing-surge.html

The ascertion that PRs have more cash to spend on Singapore Real-Estate because they do not have CPF (first I assume it means “CPF for as along as citizens”, since PRs also buy into into CPF) does not hold water.

Now the statement would assume that PRs, like Singaporeans, would put all their retirement savings into Singapore real-estate.
I would hope that they are smarter than that and that they would have invested a good portion of their money elsewhere, hence reducing their cash available for real-estate money.

In fact it is the Singaporeans who would have the most money to spend on Real-Estate and would be inflating the prices *because* their CPF money can mostly be spent into real-estate.

that what they did to the hongkies immigrant.. the hongkies snapped all the 2ndhand 3 room flats @ high prize..we even sell them shops way above market rates @ lauya spots…
now the hongkies left 1 by 1

But citizens themselves are ‘forced’ along the route to take the subsidies due to having lesser cash (locked in CPF). The choice is, as i said before, not equal. All things being equal, why would anyone want the ‘citizen’ route which gives you a roof only after 8 years, during which 7 of those years, you can be earning rent?

But..the problem is, they made so many people bankrupted and there is the 1997 crisis, it contributed to one of the worse policies ever.

You must know that HDB controlled the price, it will never drop cos they decided it.

So they decided to control the prices by having a policy of rise only. But in 2006, when the HDB increased too fast, and the country poor and medium class is still trying to recover from the 1997, 2001 (911), 2004 (Sars), alot of people couldnt afford Houses and they have many unsold HDB.

This pissed them off, so they come out with BTO scheme so that HDB houses would be further filled in while at the same time, they can increase the prices.

That is why PR regarded HDB as a safe investment. It have better annual appreciation rate than even the property properties for the last 2 years in fact.

A PR with the cash, can pay 400k for a house (Condo) and then resell it instantly 3 months later or 1 year later (HDB), to reap profits. In the meantime, they can also rent their HDB away…it may be illegial but anyway, most r doing it and the gov wont want to catch these cash cows.

And the problem is , if a citizen took a loan of 400k, the bank immediately make a loan of 600k to the citizen for 30 years. So even if a citizen sells his flat for 500k 5 years later, he have to pay the bank 600k first and he end up losing 100k with a 30 months ban and he cant own another HDB flat. By then, HDB price will further increase.

The real question is not PR but why is the gov encouraging speculators and make HDB such a insane appreciation.

A queentown 5 rm flat is priced at 600k, and taking a 600k loan means u have to borrow 1mil from the bank becos the bank will calc 30 years later with immediately effect before they divide it by 360 months, to tell u how much u need to pay.

Citizens r suckers.

good what..than again singapore leadin politicians are afraid of death..
last hear rumoured that even when they go to the jumbuan..they must have an armed bodyguard to tag along…