Singapore Govt keeping close watch on housing: Mah
ANYONE panicking that they may have missed the boat in the surging property market had some reassurance from Government on Saturday.
The Minister for National Development Mah Bow Tan said the housing sector is being closely monitored to ensure there is sufficient supply over the next two to four years.
Mr Mah told the media at a community event in Tampines on Saturday, said that ‘there is no need for people to panic’ or worry that HDB flats prices will get out of reach for the average Singaporean.
‘There is sufficient supply in the market…don’t feel that you have missed the boat because actually there are quite a lot of boats coming along,’ said Mr Mah.
The Government released 15 new sites under its programme to offer land for development last Thursday, bringing the total number of residential sites on sale in the second half of this year to 41.
This is the largest number since 1997.
Mr Mah said the land sales programme is very market-responsive.
Since the take-up rate for new buildings has been ‘very strong’ in the past year, the Government had decided to release more development land this time.
However, he pointed out that it is important the Government strikes a balance and provides just the right amount of land for development.
‘It is very important for us to make sure that the prices do not overshoot or race ahead of the real growth in the economy,’ said Mr Mah.
‘I think it is not sustainable in the long run and, of course, it is also not good for our competitiveness if prices and rental go up too fast.’
The Minister also said there was also no danger that the heat from the private property market would filter down to HDB public housing.
He cited the two five-room HDB units which hit the headlines last week for their unprecedented prices, pointing out that both were exceptional cases because of their good locations and renovations.
Source: The Straits Times, 17 June 2007
