Punggol East By-Election coming ? MP steps down
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Moonsun55:
[/quote]Errr......no. There is basis in economics for your example. It's like saying that a Lamborghini should cost 100,000 times more than a Honda.It is easy to just quote such example but what likelihood is such scenario going to happen? We know very well that likelihood of your example happening is almost zero. you forgot that given that there are 80% HDB & 20 privat properties, there are 4 fighting for 1 private so by virtue of economic theory, private to HDB prices should be 4:1 (hypothetically).
If 1,300 sf HDB flat cost $500k and 1,300 sf private condo in the same area also cost $500k, which one will you buy?pirate:
[quote=\"Moonsun55\"]Why private drop HDB will drop? I don't understand & can't see any logic. can explain?
pirate is saying HDB property prices are capped by private prices, and if you bring down private property prices, HDB prices 'should' follow. It's not a 100% correlation, but its there. -
PUNGGOL EAST SMC – PRELIMINARY UPDATE ON HANDOVER OF TOWN COUNCIL FUNCTIONS
(source: http://www.ahtc.org.sg/ahtc/media-release-31-january-2013/)
Arising from the outcome of the Punggol East SMC by-election on 26 Jan 2013, the Workers’ Party has commenced preparations to take over the town council functions from Pasir Ris – Punggol Town Council.
Preliminary discussions commenced on 29 Jan 2013 between the outgoing and incoming managements, and more status updates will be given in due course.
The incoming management will be applying for Punggol East SMC to be merged with the existing Aljunied-Hougang Town to form a new town consisting of Aljunied GRC, Hougang SMC and Punggol East SMC. This proposed merger will give rise to a mutually beneficial relationship between Aljunied-Hougang Town and Punggol East:
1. The proposed Aljunied-Hougang-Punggol East Town Council will now be bigger in size, giving greater flexibility to achieve higher operational efficiencies through process re-engineering, centralization of functions and specialization of work. While Punggol East SMC will be able to leverage on the economies of scale of a bigger town council, likewise, the Aljunied-Hougang Town Council will potentially be able to enjoy further cost savings arising from this merger.
2. Being part of the family, the Punggol East SMC will be able to benefit from the pooled experience and resources of both Aljunied GRC and Hougang SMC in town council management. For example, the existing standing committees of AHTC which are helmed by the various Members of Parliament, will be able to advise on the calling and award of contracts, financial matters, estate maintenance and improvement, etc.
A key aspect of the handover is the need for the incoming management to have office premises within Punggol East SMC to operate from as soon as possible, to effect preparatory works. As the existing town council office at Blk 156A Rivervale Crescent is within the boundary of Punggol East SMC, having the incoming management take over the office would be the most obvious option. We will work with the Housing and Development Board on this issue urgently.
We thank the residents of Punggol East SMC for their support and look forward to serving them in the coming years.
LEE LI LIAN, MP-ELECT, PUNGGOL EAST SMC
SYLVIA LIM, CHAIRMAN, ALJUNIED-HOUGANG TOWN COUNCIL -
concern2:
:goodpost:PUNGGOL EAST SMC – PRELIMINARY UPDATE ON HANDOVER OF TOWN COUNCIL FUNCTIONS
(source: http://www.ahtc.org.sg/ahtc/media-release-31-january-2013/)
Arising from the outcome of the Punggol East SMC by-election on 26 Jan 2013, the Workers’ Party has commenced preparations to take over the town council functions from Pasir Ris – Punggol Town Council.
Preliminary discussions commenced on 29 Jan 2013 between the outgoing and incoming managements, and more status updates will be given in due course.
The incoming management will be applying for Punggol East SMC to be merged with the existing Aljunied-Hougang Town to form a new town consisting of Aljunied GRC, Hougang SMC and Punggol East SMC. This proposed merger will give rise to a mutually beneficial relationship between Aljunied-Hougang Town and Punggol East:
1. The proposed Aljunied-Hougang-Punggol East Town Council will now be bigger in size, giving greater flexibility to achieve higher operational efficiencies through process re-engineering, centralization of functions and specialization of work. While Punggol East SMC will be able to leverage on the economies of scale of a bigger town council, likewise, the Aljunied-Hougang Town Council will potentially be able to enjoy further cost savings arising from this merger.
2. Being part of the family, the Punggol East SMC will be able to benefit from the pooled experience and resources of both Aljunied GRC and Hougang SMC in town council management. For example, the existing standing committees of AHTC which are helmed by the various Members of Parliament, will be able to advise on the calling and award of contracts, financial matters, estate maintenance and improvement, etc.
A key aspect of the handover is the need for the incoming management to have office premises within Punggol East SMC to operate from as soon as possible, to effect preparatory works. As the existing town council office at Blk 156A Rivervale Crescent is within the boundary of Punggol East SMC, having the incoming management take over the office would be the most obvious option. We will work with the Housing and Development Board on this issue urgently.
We thank the residents of Punggol East SMC for their support and look forward to serving them in the coming years.
LEE LI LIAN, MP-ELECT, PUNGGOL EAST SMC
SYLVIA LIM, CHAIRMAN, ALJUNIED-HOUGANG TOWN COUNCIL -
you get it, I am saying that there is no basis to support what pirate said. It seems more like we are seeing HDB flats transacting at close to a million $ & hence people think private at $1.5m is still very cheap. there are 7 cooling measures targeted at private & none for Citizens' HDB flats, may be govt targeted wrong segment & hence policy ineffective? But then again, probably they have fear of incurring anger for targeting the HDB? Have they become so soft & do what is popular to majority rather do what is needed?
Moonsun55:
It is easy to just quote such example but what likelihood is such scenario going to happen? We know very well that likelihood of your example happening is almost zero. you forgot that given that there are 80% HDB & 20 privat properties, there are 4 fighting for 1 private so by virtue of economic theory, private to HDB prices should be 4:1 (hypothetically).
Moonsun55:
Why private drop HDB will drop? I don't understand & can't see any logic. can explain?
pirate:
If 1,300 sf HDB flat cost $500k and 1,300 sf private condo in the same area also cost $500k, which one will you buy?
3Boys:
Errr......no. There is basis in economics for your example. It's like saying that a Lamborghini should cost 100,000 times more than a Honda.
pirate is saying HDB property prices are capped by private prices, and if you bring down private property prices, HDB prices 'should' follow. It's not a 100% correlation, but its there. -
Moonsun55:
you get it, I am saying that there is no basis to support what pirate said. It seems more like we are seeing HDB flats transacting at close to a million $ & hence people think private at $1.5m is still very cheap. there are 7 cooling measures targeted at private & none for Citizens' HDB flats, may be govt targeted wrong segment & hence policy ineffective? But then again, probably they have fear of incurring anger for targeting the HDB? Have they become so soft & do what is popular to majority rather do what is needed?
Moonsun55:
It is easy to just quote such example but what likelihood is such scenario going to happen? We know very well that likelihood of your example happening is almost zero. you forgot that given that there are 80% HDB & 20 privat properties, there are 4 fighting for 1 private so by virtue of economic theory, private to HDB prices should be 4:1 (hypothetically).
[quote=\"Moonsun55\"]Why private drop HDB will drop? I don't understand & can't see any logic. can explain?pirate:
If 1,300 sf HDB flat cost $500k and 1,300 sf private condo in the same area also cost $500k, which one will you buy?
3Boys:
[/quote]Ok, I get you.Errr......no. There is basis in economics for your example. It's like saying that a Lamborghini should cost 100,000 times more than a Honda.
pirate is saying HDB property prices are capped by private prices, and if you bring down private property prices, HDB prices 'should' follow. It's not a 100% correlation, but its there. -
toddles:
Anyone read Colin Tan's commentary in TODAY? \"Premature to dismiss housing market\"
Everytime I read news articles (under the guise of \"commentaries\") on the ppty market by real estate folks, it's just so blatantly obvious that they are trying to buoy/talk the market up! E.g. oh there is genuine demand, these cooling measures will have no effect, ppty market still heading up up up! :siao:
Totally self-interested! Wonder why they continually get published. Should be classified with Big Bold Header as \"ADVERTORIAL\".
Tragedy is that the man on the street might actually lend credence to their words when what they're saying is totally self serving.
Of COURSE he'll say that lah. He's working for a real estate consultancy, and it's to their interest to keep the market rocketing, no? -
Moonsun55:
you get it, I am saying that there is no basis to support what pirate said. It seems more like we are seeing HDB flats transacting at close to a million $ & hence people think private at $1.5m is still very cheap. there are 7 cooling measures targeted at private & none for Citizens' HDB flats, may be govt targeted wrong segment & hence policy ineffective? But then again, probably they have fear of incurring anger for targeting the HDB? Have they become so soft & do what is popular to majority rather do what is needed?
Since you put it this way, yah you are right. To keep HDB flats affordable, the government must target HDB flats, which the Minister has just said they have been doing since 2011 by keeping BTO prices stable instead of referencing resale prices and by increasing BTO supply.
But the market for private properties does have an effect on the HDB resale market, by driving buyer sentiments. Nobody would be chasing ever higher COV if the private property market is collapsing.
It is therefore important for the Minister to assure Singaporeans that BTO prices are somehow correlated to income and not to market sentiment. Yah, I know he does not want to say 'peg to median household income' because that's what the WP said so cannot agree right?
HDB's previous policy of pricing BTO flats by referring to resale prices is actually letting the tail wag the dog. -
pirate:
good points. bto, as basic public housing, should keep pace with income, rather than inflation and private housing market forces.
It is therefore important for the Minister to assure Singaporeans that BTO prices are somehow correlated to income and not to market sentiment. Yah, I know he does not want to say 'peg to median household income' because that's what the WP said so cannot agree right?
HDB's previous policy of pricing BTO flats by referring to resale prices is actually letting the tail wag the dog. -
The difficulty is that Govt. has allowed the impression that you can continually upgrade although u should start small with a 3room flat. The problem with upgrading is that as the flats to upgrade to are in the resale market and seem to track pte prop. prices so boh pian current house must try and sell at much higher price or else cannot upgrade. So every owner thinks that way and the house price mechanism becomes a self-fulfilling and self-perpetuating monster.
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Just relax:
The difficulty is that Govt. has allowed the impression that you can continually upgrade although u should start small with a 3room flat. The problem with upgrading is that as the flats to upgrade to are in the resale market and seem to track pte prop. prices so boh pian current house must try and sell at much higher price or else cannot upgrade. So every owner thinks that way and the house price mechanism becomes a self-fulfilling and self-perpetuating monster.
So maybe one solution is to allow people to trade in their 3-room to the HDB, and top up $x for a BTO 4 or 5-room? HDB can then release that 3-room again to somebody else, whether as a rental or sale of balance flats unit? Working out what that $x is could be a problem, but I suppose it is not unsolvable. Whether that will dry up the supply of 3-room flats in the resale market is another question.
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