Read more at https://www.channelnewsasia.com/news/singapore/ndr-pm-lee-cost-of-living-housing-at-national-day-rally-2018-10626800
(Updated: )
Solving the housing problem - when HDB lease of 99 years is up :-
99-year-leasehold HDB flats will become zero value when the 99 year lease is up.
One way to ensure that its value will not turn to zero - is to enbloc them by allowing private developers to bid for it - but cap its price to be around the BTO prices.
In this way, owners of such flat can reap enbloc price per unit and private developers can redevelop the HDB flat that is reaching 99 years and resell it at the prevailing BTO prices.
By doing so, owners can retain HDB as an asset with values without becoming zero, and also the flat can be redeveoped into new flat and sell at a prevailing price with profit to developers --- and Government coffer will not be hurt.
This will also promote growth of the construction sector - with this enbloc scheme - and further contribute to the GDP of Singapore.
99-year-leasehold HDB flats will become zero value when the 99 year lease is up.
One way to ensure that its value will not turn to zero - is to enbloc them by allowing private developers to bid for it - but cap its price to be around the BTO prices.
In this way, owners of such flat can reap enbloc price per unit and private developers can redevelop the HDB flat that is reaching 99 years and resell it at the prevailing BTO prices.
By doing so, owners can retain HDB as an asset with values without becoming zero, and also the flat can be redeveoped into new flat and sell at a prevailing price with profit to developers --- and Government coffer will not be hurt.
This will also promote growth of the construction sector - with this enbloc scheme - and further contribute to the GDP of Singapore.
Some people may say, if we allow HDB flat to be enbloc, the younger generation will not be able to afford future HDB flats.
Can we solve this problem in this manner :-
(1) Developers who enbloc HDB flat of 13 floor will pay market price to HDB owners when 99 years lease is up.
(2) When the developers build new BTO flat - they must build a 26 floor flat. The first 13 floor can be sold at market price, but another 13 floor to be sold at subsdised HDB price to younger generation.
In this way, government will have sufficient flats for young generation at affordable prices, but at the same time, current HDB owners will not have their HDB value become zero.
Can we solve this problem in this manner :-
(1) Developers who enbloc HDB flat of 13 floor will pay market price to HDB owners when 99 years lease is up.
(2) When the developers build new BTO flat - they must build a 26 floor flat. The first 13 floor can be sold at market price, but another 13 floor to be sold at subsdised HDB price to younger generation.
In this way, government will have sufficient flats for young generation at affordable prices, but at the same time, current HDB owners will not have their HDB value become zero.
(3) the owners benefitted from the market price cannot buy flats at subsidised price but need to buy at resale prices.
(4) In future, when the 99 year lease is up, young owners (at the new 13 floor of flat) who bought at subsidised price can again enbloc at market prices.
Old owners (who occupy the other 13 floor of flat) will no longer be around.
Thus when enbloc again after another 99 year lease is up, the developers again build another 26 floor of flat - with 13 floor reserve for new batch of young owners at subsdised prices and another 13 floors to sell at market price.
In this way, there are 2 benefits :-
(1) Asset Enhancement of the HDB flat can be fulfilled,
(2) at the same time, young owners can afford to buy new HDB flats at a subsidised prices.
This scheme can continue to "recycle perpetually" --- hopefully the Government can considere this scheme for the just announced "VERs" programme by the PM.
Ricky Lim
As successfully piloted the open energy market in Jurong, will it be roll out to the rest of Singaporeans.
As many energy service providers will participate --- with energy sources generated not only by fossil fuel, but also by solar power, LNG, waste etc --- will this help to prevent a rise of electricity bill due to the volatile oil prices.
As many energy service providers will participate --- with energy sources generated not only by fossil fuel, but also by solar power, LNG, waste etc --- will this help to prevent a rise of electricity bill due to the volatile oil prices.
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