Any singles frustrated we cannot get an apartment until 35?
I know the government prioritize married couples because of birth rate etc because if I am the government I will do the same. But restricting singles from getting 2-3 room flats till 35, feels like they don’t give two hoots about us.
And yes the option of buying a condo is there, I have no money for that. Other singles who have toxic parents are renting or putting up with them.
Realistically, can anyone with an economics background explain what will happen if they lower the age of getting an apartment? So I can understand their thought process better.
- Unfortunately, I don’t think we can do much about it. Unless a policy change.
The revision in starting salaries prompted the increase in CPF contribution ($6000>$8000) thingy. But the income ceiling for singles to entitle for a BTO and grants is still $7000.
If a fresh uni grad earns $5k already at age 25, then he must not earn more than $6-7k including bonuses each month when he hits 35. (That’s a ten year gap)
If he’s good and can get a promotion or higher salary job, he couldn’t qualify for BTO cos by then his salary would more likely exceed $7k. But money still not enough for resale/condo at the pace of rising property prices. (Esp now even a 3-room can price up to $400ishk)
Frustrating for the single and neither poor nor rich enough.
- Priority is definitely heavily for families, especially with the plummeting birth rate.
I don’t have an economics background, but if they lower the age of getting an apartment, even more people will flood into the BTO application process, which is already insanely crowded at this point because HDB has been dropping the ball on supply for the better part of a decade (presumably to ensure that housing prices keep going up, since that’s important to a lot of Singaporeans who already own a home). They want to drop the application count so that people who really need the place can get it and ideally have children.
- If the age requirement is lowered, demand for HDB Resale flats will surge and you’ll see even higher prices than today. HDB 3-room resale flat at $500,000 will likely be the norm, and only singles earning $6k to $7k per month will be able to afford these flats.
Herein lies the difficulty. Many singles wish that:
- Maintain or lower resale prices so that it remains within their reach.
- Able to buy resale flat at an earlier age.
2 and 3 cannot exist in the same universe.
Note: I’m aware that increasing supply will help to exert downward influence on prices. However, at the current rate of BTOs built and land allocated for public housing, it is unlikely to be able to meet the demand generated from the lower age requirement.