![]() For 4-room HDB flats, median rents have risen by 22-50% in the last one year alone, with median rents up 29-68% in the last three years. Just a few days ago, Shin Min reported that a 74-year old HDB unit at Seng Poh Road was rented out at $6,200 a month. Private residential rents rose by 7.4% in just the most recent quarter alone, with rents up 30% in one year and 42% over the last three years! While the HDB does not publish a rental index, a comparison of median rentals across HDB towns paints a similar uncomfortable picture. The residential rental market is, for lack of a better word, in an even scarier situation. Importantly, there appears to be some signs of moderation in the private residential market, with prices up just 0.4% QoQ versus 3.8% a quarter ago. To put simply, resale HDB prices are rising far more rapidly compared to private residential prices. Private residential prices similarly rose in spite of rising interest rates, though the extent of increase is ironically nowhere near that of the public housing market, with 2022 price increases of 8.6%, while in the last three years, prices were up by 22.8%. In the last three years, HDB resale prices rose by a whopping 31%! For the full year 2022, HDB resale prices saw another year of double-digit price increases at 10.4% compared to a year ago. This was in spite of the cooling measures introduced in September 2022. In the latest 4th quarter 2022 housing data release, HDB resale prices continue to remain firm, rising 2.3% from the last quarter, with the increase higher than the 2.1% Quarter-On-Quarter (QoQ)increase initially estimated for the quarter. It is not difficult to see manifestations of the severe demand-supply imbalance in our housing market today. The objective of my speech today is thus a very simple one: for the Government to urgently execute on the policy to boost the supply of housing to address the shortfall in the market today.ĪDVERTISEMENT Manifestations of a demand-supply imbalance ![]() I say that there is a clear need today for not just 100,000 flats in total from 2021 to 2025 but certainly more, and it is clearly necessary to make adjustments urgently. Yet following multiple Parliamentary Questions and speeches by myself and other fellow MPs, iterations of statements quoting the “up to 100,000 flats” from 2021 to 2025 figure remain. We had another round of cooling measures in September 2022, with a particular focus on the HDB market. These statements was first made known in December 2021, after a broad suite of property cooling measures were introduced. HDB will continue to monitor housing demand and make adjustments, where necessary. ![]() ![]() HDB is prepared to launch up to 100,000 flats in total from 2021 to 2025, if needed. Mr Speaker, “Insanity is doing the same thing over and over and expecting different results.” This saying is usually attributed to Albert Einstein, but one might argue also appears to be the current approach to the multitude of housing related issues we are seeing in Singapore today. Mr Speaker I would like to first declare my interest as an equity research analyst in a financial institution, covering the real estate industry.
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