Now that Permanent Residents (PRs) have to wait 3 years upon receipt of their PR status before purchasing their first resale HDB flat, will they opt for the quicker route to owning property in Singapore and go private?
If they do, the private mass-market condominium and EC (executive condominium) market will happily reap its fruits. While the possible decrease in demand for resale HDB flats may mean that Singaporeans hoping to upgrade to the private property sector may now find it difficult, more PRs may be taking their place in keep demand for non-landed properties high.
The HDB resale market is expected to drop 15 to 25 per cent, according to industry experts. But they are hopeful that suburban residential private condominiums will continue to pique the interest of PRs who might not want to spend money they will never get back on rental and would rather invest in new developer homes.
Has the price gap between public and private housing widened? Or the better question might be, is this widening the desired effect? What about the government’s objective of helping Singaporeans upgrade from HDB to private property? Not forgetting the in-between housing category of executive condominiums (ECs), are the ECs filling up that gap efficiently and reasonably enough?