HDB blames Singaporeans for not selecting flats when given the chance
February 10th, 2010 | 
Author: Written by Our Correspondent
Faced with mounting questions over the inadequate number of new flats being built to meet increasing demand, HDB has replied through its Deputy Director (Policy & Property) Lily Wan in the Straits Times Forum.
Ms Wan wrote that HDB “has already ramped up the supply of new flats” in response to strong demand.
She explained that the oversubscription for BTO launches is not due to inadequate flat supply but because many flat buyers do not select a flat when they get the chance.
“Last year, almost 50 per cent of first-time applicants in BTO launches did not select a flat upon invitation. So it is not true that there is inadequate supply of new flats,” she added.
It is most disingenuous of Ms Wan to pin the blame for the oversubscription solely on Singaporeans when the fault lies entirely with HDB for not building sufficient flats between the years 2006 – 2008 when the demand was already on a rise due to the relentless influx of foreigners.
Only 3,183 new flats were built in 2008 when there were over 90,000 PRs and 20,000 new citizens in the same year:
[Source: HDB Financial Report 2008/2009]
It doesn’t take a statistician to come to the conclusion that the number of flats built were grossly inadequate to meet the demand of a rapidly increasing population.
The decrease in the number of new flats built by HDB coincides with the sky-rocketing prices of resale flats as Singaporeans needing a roof over their heads are forced to purchase a more expensive flat in the resale market thereby contributing to the overall price inflation:
Since new flats typically take about three to four years to build, had HDB built adequate number of flats in the last few years, Singaporeans will not end up with the current predicament they are in now.
Though HDB is now “ramping up the supply of new flats”, it is too late to meet present demand and Singaporeans will have to pay a hefty price for its lack of foresight in building more flats earlier to cater to the needs of a growing population.
Ms Wan also claimed that citizens make up 95 per cent of flat owners and 80 per cent of resale flat buyers to counter the pervasive public perception that PRs are largely responsible for the rising prices of resale flats.
From the data provided by HDB, we can assume that 20 per cent of the resale flat buyers are PRs.
20 per cent represents a significant share in the market and is more than enough to have an impact on the prices of flats.
Furthermore, some may but the flats as PRs, but take up citizenships later, thereby artificially decreasing the actual figures.
HDB should stop obfuscating the matter and come clean with Singaporeans on why only less than 12,000 flats were built between the years 2006 and 2008 when there are more than 100,000 new arrivals in one year alone.
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14 Responses to “HDB blames Singaporeans for not selecting flats when given the chance”
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Typical arrogance of government-linked entities. Bad enough they don’t apologize, but they instead play the elitist card and blame Singaporeans.
The PAP will definitely have to answer for this, if not soon, then through the ballot box.
HDB, I challenge you to reduce the price of new flats by 30% and then see if there are still people who are “choosy”.
Also, do not come up with complicated system where people have to repeatedly apply for the same old recycled flats, especially those 10-20 years old flats. Once the initial balloting is over and no one take up flats, put these flats on the open market on a first-come-first-serve basis 365 days a year and I guarantee you someone will take up the flat. If after one year a unit is not being selected, keep reducing the price by 10%.
If really, really, really, really, really, really, really no one select a certain unit, rent the unit out cheap to needy citizens. Thousands are waiting to move in.
When there is a will there is a way.
You cannot always parade the same dusty goods at original mark-up price and still expect people to bite.
if a shoe shop owner tells her customer that i have shown you many shoes already, why don’t you pick one, why are you so choosy?
what do you think the customer will do? most probably, leave for another shop where she is treated better.
unfortunately, HDB is a monopoly, customer has no choice but to shop at hdb.
It is a bubble economy instigated by policy failures.
Come on, admit that you are caught off-guard just like MBT has said so. You have failed in doing your job and be prepared to get your head chop including MBT at the ballot box!
Ms WaN, the reasons you gave seems so lame and loony lar and or could it be that you are somewhat deluding yourself that the public would buy these LIES. It is not going to work anymore lar.
Do you expect a prospective buyer to willy-nilly pick a HDb unit and later wonder why one compromised when especially it is a long-term commitment in so many ways than simply accepting
what has been told by the HDB.
It is cos of the monopoly that HDb is that it is so very condescending in its stance. I am not surprised cos the Minister in charge is from a party that is arrogance and the very epitome of disdain!
Singapore wake up lar – from CPF,SMRT,Starhub,HDb – it is all the same – the usual condescending attitude.
Why?
Simple lar – one party system and the effects of it lar.
So how?
Vote this buggers out and when i say votE – VOTE IN WAY THAT THE WHOLE LANDSCAPE IS TRANSFORMED.
Singaporeans tiok blame again. What have Singaporeans done right so far? Vote for PAP?
Buying a house has been a major issue when people are negotiating into a relationship, aka getting married. A common question asked to a newly wed or engaged couple will be have u got a house already. And being the biggest land lord in Singapore, what has HDB done to help?
Applying for BTO is a long and tiresome process that stretches for months. And it takes years for the units to be built. During the process, how can we help these newly established family unit cope with the situation on hand.
What situation you may ask, since the SA (Situational Awareness) of most Government bodies are not very high.
Firstly, getting married without their own lodging means moving into one of the parents or relative’s house. Chinese saying, “相见容易，同住难。”It is easy to meet up but not easy to stay together. Please be mindful that the newly wedded couple already need to get used to one another’s habits and lifestyle on top of that situation has it that they have to get accustomed to other family members’ lifestyle and habits. Inevitable conflict will arise. To add on to this problem is when the newly wed is expecting to carry on the family line. How to squeeze so many people under one roof?
The next point is if we are expecting more people coming to work in Singapore from all over the world and they are expected to stay and encouraged to be a PR or a Citizen in Singapore, then should we not have a longer plan and projection towards the amount of units needed for the nation? Yes, now these people have to rent or buy private units but are we going to be so myopic about this?
What I used to admire about the ruling party in the past was its foresight in what is upcoming. They were able to envision what is going to happen in the next 15 years or so. But these days, everyone is only concerned about their immediate gains. It really seems to answer my doubt that was cast upon me years back, if these leaders were intending not to stay for long but to make enough, then move on the corporate ladder to become some CEOs and then migrate to a safe haven leaving those people behind suffering from the policies that they set years back.
We live tomorrow today.
Cheers!
in 2007, i’ve got many friends intending to get married, but they all faced one common problems, they either can’get a new flat as HDB was not building too few flats and trying to get rid of their existing stocks. else they also can’t afford the high COV asked by all sellers!
so they had only 2 options -wait and wait , or move in with parents first.
who’s to blame? A no brainer question!
HDB sucks big time, they must answer for their failed policy ,get the head of HDB to resign first follow by the next higher head!
“Last year, almost 50 per cent of first-time applicants in BTO launches did not select a flat upon invitation. So it is not true that there is inadequate supply of new flats,”
What is this utter rubbish that HDB is sprouting? Selective choosing of statistics to suit them ? If there are 10 units availabe, 50% of first 10 applicant turned it down. This is the statistic they want us to see
How about the rest of the 1000 applicants behind the first 10 applicants who wish to have a HDB flat? How can they conveniently blame it on Singaporean when it is clearly their fault !? On the personal basis, I have applied but did not even get to choose and hence, I am feeling very angry over this comment.
ENOUGH OF FLIPFLOPPING AND BLAMING SINGAPOREANS !! Frankly speaking, I can’t wait for the next election to come but I fear that HDB might asset strip us.
“Last year, almost 50 per cent of first-time applicants in BTO launches did not select a flat upon invitation. So it is not true that there is inadequate supply of new flats”
So she’s trying to mean that if 50% of the visitors in Orchard ION (might include her) eventually didn’t spend money in Orchard ION(window shoppers) means these shoppers wun shop in other shopping centres along orchcrd road? And hence, the sales in Orchard ION is bad (no demand) because the visitors didn’t shop?
She’s obviously trying to hide the FACT that most BTO projects last year were near to 100% taken (mostly 90+%) and taken by second timers or others. I wonder how can top management people interpret statistics like tat… 50% of first timers didnt take up means there isnt demand.
How about I give her the real FACT: “There is a strong demand for hdb flats based on the overwhelming subcription to last year BTO projects and near 100% for MOST BTO PROJECTS.”
HDB Ms Wan,
Will you buy a new HDB 5rm flat at 2nd sty not near to MRT station but located at Queenstown area for SGD527k?
If yes, sorry to say that you are a daft buyer!
If no, stop blaming your fellow S’poreans taxpayers whom are your paymasters!
I think it is irresponsible to deflect the underlying reason for the HDB fiasco. It’s all about demand and supply..
What can we expect of Ms Lily Wan response? She is just an employee of HDB and is paid to sing to HDB official tune. Faced with the situation of the employer, the employee must sing the same song officially in order to keep the job. Let’s not blame Ms Wan as she is a messenger not the decision maker.
Anyway through this fiasco, fundamental weaknesses of HDB decision making process vis a viz its political master is now exposed.
It is time HDB take responsibility for the mistake and stop blaming everyone else except themselves (HDB decision makers). We know that the Titanic being the biggest and most advance ship of its time, was sunk by iceberg. Is it the fault of the iceberg for floating in its path or the misjudgment of the captain? HDB believe it is the iceberg.
If HDB continue on their usual line of reasoning they will have to accept the same fate as Titanic since they don’t understand the underlying currents, and that is only the tip of the iceberg.. More to come, just wait and see.
The political equation cannot be solved by stringing unrelated variables or parroting the overused phrase of “buyer choosy” etc. This is so out of date and out of touch with the people.
If I am HDB, and I give you this kind of misleading statistic like:
“Last year, almost 50 per cent of first-time applicants in BTO launches did not select a flat upon invitation. So it is not true that there is inadequate supply of new flats,” she added.
what does it show about what kind of intelligence I think you common people have in your little brains?
and if i think of you as these kinds of people with little brains, what does it show about the instructions my boss gave to make me give such a statement?
what does my entire administration take you for?
akan datang:
BTO Flats. Only 25% of applications were received after 1 hour of announcing the launch of BTO. This shows there is DISMAL SUPPLY in your little Singapore.
watch me announce this. i dare me.