KHAW CONFIRMS VALUE OF HDB FLATS WILL BE ZERO AT END OF 99-YEAR LEASE

(12-02-2014, 08:03 PM)corydorus Wrote: Wonder is re-sale worth so high price now. People paying more than 1M for Bishan Resale ....
A case of mass market ignorant ?

I do not think we should not just look at price quantum, instead we should compare through Price per Square Foot (psf). Simply because old flats tend to be big. In addition, we should compare psf within the same district. This is because psf varies across districts due to their locality.

(12-02-2014, 05:46 PM)opmi Wrote: Flats built in the 80s has GPR 1+. Now flats have 2.8 to 3.5 (if near to MRT).
Take back 1, then built 3 more. Likely to SERS.

Punggol/Sengkang flats less chance for SERS when they already GPR 2 to 2.8x. Unless HDB follow HK, GPR 6-8x. Then those mature estates lagi SERS-able.

I rather stay in old, big resale flat than Punggol/Sengkang new flats.

Opmi, you are quite right. In fact most SERS have a huge single level carpark in between. This does not make sense for our land scarcity, with one being able to build 1-2 more blocks of flat in the place of this car parks. We can always build multi story car parks now.

Example of such SERS sites are the Ghim Moh SERS and Toa Payoh SERS

if khaw can say that, then why mah wanna mark it to market in the first place?
not many people are as sophisticated to play with the swing of the market price together with the leasehold characteristic. the govt should consider converting all leasehold hdb flats into freehold flats..that will be truly called "home ownership" - the vision set by our mm lee, isn't it?

to say all leasehold public flats will fall to zero really send a shiver down to those who can read and understand..there are many ignorant public masses who I bet even dunno what he was saying..

It is rather understood that 99 years lease means the tenant will own the lease for 99 years only. Khaw was right , this is clear and understood in any country , not just Spore.
If the gov don't need the land for other purpose, top up lease could be the option .

In this case, Khaw did no wrong, he actually did right by confirming what is already clearly spelt out.
Much like the 15/30/60/99 leasehold industrial land. The absolute value/quantum falls quite significantly as the property gets closer to the expiry of its lease.
Our cars are behaving the same, they are the most heavily taxed in the world but that did not stop the COE prices from hitting record levels.

Hmmm maybe that's why owning a home here has and always be "a vision".
To be fair china cities have prices not far from our prices and theirs is 60-70yrs lease.
Also, to have a 99 year lease is a relatively good deal if you look at what's happening around us.
60 years for new industrial land and the never ending rent hikes for properties owned by REITs.
Many countries do have plenty of freehold land but there is little value to them as infrastructure and economic activity is lacking.

how to ascertain and find out the GPR of a hdb housing block? is it available in the hdb website?

I feel when the lease tenure comes to zero, hdb has to find a basic to repossess back the flat, else the natural course will be to grant a fresh 99yo lease top up to the existing 'owner'.

so far my china contact told me, their govt has yet to re-possess back any house that comes to zero remaining lease. so everyone in china do not really care about short 60-70 leasehold

(13-02-2014, 07:50 AM)pianist Wrote: how to ascertain and find out the GPR of a hdb housing block? is it available in the hdb website?

I feel when the lease tenure comes to zero, hdb has to find a basic to repossess back the flat, else the natural course will be to grant a fresh 99yo lease top up to the existing 'owner'.

so far my china contact told me, their govt has yet to re-possess back any house that comes to zero remaining lease. so everyone in china do not really care about short 60-70 leasehold

look at URA Master Plan.

In PRC, when you are just trading, u dont care about the lease tenure.

(13-02-2014, 12:07 AM)pianist Wrote: the govt should consider converting all leasehold hdb flats into freehold flats..

I have only one word to describe this idea - madness. For a 700 sq km country, I cannot imagine all our current HDB estates become privately owned.

if a 99 leasehold hdb flat costs 400k now, i have no idea what a freehold hdb flat will cost. But it will certainly cause more pain for young blokes getting their keys, hence causing more political/social problems.

From a national perspective, it is better to have people "own" their flats - it gives them a vested interest to defend the island.

(13-02-2014, 12:07 AM)pianist Wrote: the govt should consider converting all leasehold hdb flats into freehold flats..that will be truly called "home ownership" - the vision set by our mm lee, isn't it?

To steal a quote from an infamous ex minister, your idea is equivalent to raiding the nation reserves.