HDB flat value will rise as long as economy grows: MM Lee
Minister Mentor Lee Kuan Yew said prices of Housing Development Board or HDB flats will rise as the economy prospers.
Referring to how young couples say prices of HDB flats are too steep, Mr Lee said the rise in prices are inevitable.
"Well, they got to decide whether the country is going to go
up or down. If the country is going to go down, then economy will go
down, people’s incomes will be down, unemployment will be up then
property values will go down."
Mr Lee added that if the people have confidence in Singapore and works
with the government, then prices of public housing will go up.
And he pointed out that prices have been going up since Singapore broke away from Malaysia in 1965.
Speaking at the key handover ceremony to owners of units at The
Pinnacle@Duxton, Mr Lee reassured that young couples will get help.
"Young couples will receive sufficient help from the
Government to own their first flats. HDB will continue to build
affordable homes of good quality, so that each generation of
Singaporeans will continue to have a stake in the nation."
In his speech, Mr Lee said that HDB flats have to be priced according to market demand to reflect the flat's real value.
By liberalizing the resale market in the 1980s, home owners were able
to monetize their flats when they needed to Mr Lee explained.
Pointing out that Singapore has reached the land reclamation limit of
10 to 15 per cent, Mr Lee said the country can only expand vertically.
So Singaporeans can expect more old blocks like Duxton demolished, to make way for new quality public housing.
The Pinnacle@Duxton is the highest HDB block built at 50 storeys high.
Some 80 families were in the first batch of residents who received keys to their new homes.
--938Live