Your search results

Why Can’t More People Own Private Property?

Posted by Jayson Ang on April 2, 2024

| 0

TLDR

The blog post discusses the aspirations of individuals like Siti and Mr. Tan regarding property ownership in Singapore. Siti hopes for more land allocation for private properties, recognizing the potential impact on housing prices. On the other hand, Mr. Tan seeks eased restrictions on acquiring a second property. Experts highlight the complexities of increasing private property demand and pricing dynamics, with Mr. Lee emphasizing developers’ influence on pricing. The article also touches on Singapore’s high private home prices compared to median incomes and government policies favoring first-time homeowners. Lastly, it provides real estate advice and insights for readers navigating Singapore’s property market.

Under the alias of Siti, an undergraduate student expresses her aspiration to one day become a private property owner. She mirrors the sentiment of many in her age group, holding faith that private properties not only appreciate more in value but also endow a sense of personal accomplishment.

Siti articulates her receptiveness towards the idea of the government dedicating more land to private property development. She acknowledges the potential downside of this strategy, which could result in a general surge in housing prices, and labels this consequence as “less than perfect”.

Meanwhile, Tan Wei Ming, aged 45, his spouse and their two offspring reside in a public apartment. Mr. Tan and his wife harbor the dream of acquiring a second property as an investment, a dream that currently feels somewhat elusive.

Mr. Tan expresses his optimism that the government might ease restrictions regarding the purchase of a second property. Specifically, he hopes for the abolition of the waiting period for homeowners to acquire a second property after their first flat reaches its Minimum Occupation Period (MOP).

He argues that compelling homeowners to wait five years before they can invest in a second property could result in missed lucrative investment opportunities. Furthermore, Mr. Tan suggests that if the government allocates more land for private housing developments, the increased supply might trigger a decrease in prices.

Experts have indicated that relaxing the rules for purchasing private property could stimulate an increase in demand, thereby escalating the prices. They maintain that even if additional land is allocated for private development, it doesn’t necessarily mean that prices will plummet.

Mr. Lee from IPS noted that private market developers possess the freedom to determine prices according to their discretion.

“If the government sells more land to these private developers, can they really control the housing prices? Developers have the power to set any price they deem fit,” he elaborated.

While competition may exist among developers, this wouldn’t necessarily result in lower prices as their primary objective is to safeguard their profit margins. Moreover, developers would also need to consider the cost of bidding for land parcels for their construction projects, a factor that would influence the final selling price of the properties.

According to recent data from the Urban Land Institute (ULI) Asia Pacific Centre for Housing, Singapore’s median private home price ranked highest among 45 other cities. The report revealed that the median price of Singapore’s private homes was 13.7 times the median annual household income.

From a policy perspective, Mr. Lim stated that the government prioritizes first-time homeowners, making sure they can afford public housing.

“The aim isn’t to make private housing more affordable. That’s not our homeownership policy goal,” he stressed.

Should You Buy, Sell or Wait?

If you’re reading this, you must be trying to figure out the best course of action right now: is it the right time to buy or sell?

It’s difficult to give an exact answer since everyone’s situation is unique and what works for one person may not necessarily work for you.

I can bring you a wealth of on-the-ground experience and a data-driven approach to provide clarity and direction. From beginners to experienced investors, our top-down, objective approach will help you on your real estate journey.

I can help you by:

Offering Strategic Real Estate Advice – I can help create a comprehensive plan to guide you through your property journey.
Connecting Your Home with the Perfect Buyers – Through stunning visuals, an effective communication strategy, and an in-depth knowledge of the market, we’ll ensure your home is presented in the best possible way to fulfill your goals.

You May Also Like …

All Buying Tips Opinion

My 6 Factors to Consider When Buying a Property in 2023

Jayson Ang – March 11, 2023 –

As the housing market shows no signs of slowing down, many of us may feel left behind, questioning whether it...

All Buying Tips Opinion

What Is An Affordable Home In Singapore?

Jayson Ang – August 18, 2025 –

TLDR Affordable housing in Singapore is about more than just having a roof over your head—it’s about survival and opportunity....

All Buying Tips

5 Reasons To Invest In UK Property In 2024 Instead Of Saving

Jayson Ang – February 8, 2024 –

TLDR Investing in UK property in 2024 offers significant advantages over saving due to the potential for long-term value growth,...

Mandarin Top 5

5 Impacts Of The Singapore Government’s Cooling Measures On Property Investing

Jayson Ang – May 30, 2024 –

The Singapore government has implemented several cooling measures over the years to regulate the property market and prevent it from...

All Blog Posts

Singapore Private Residential Market Outlook 2023

Jayson Ang – January 8, 2023 –

TLDR The Singapore residential property market has shown resilience in 2022, with price growth in both private housing and HDB...

Mandarin Top 5

Top 5 Reasons : Why is Supply so tight for Singapore Property?

Jayson Ang – January 22, 2025 –

Singapore's property market has been experiencing a tight supply in recent years, leading to increased demand and rising property prices....

Mandarin Top 5

Top 5 Case Study : The Dark Side of Property Investing in Singapore: Scams, Fraud, and Risks

Jayson Ang – October 1, 2024 –

Singapore's property market has long been considered a lucrative investment sector, attracting investors and speculators looking to profit from the...

All Blog Posts Opinion

Singapore Property Price Set to Explode Upwards in 2024?

Jayson Ang – March 10, 2023 –

TLDR Understanding the factors influencing property prices in Singapore for 2024 can help in making informed decisions. Despite high rental...

Buying Tips Mandarin Top 5

5 Reasons Why Timing the Singapore Property Market is a Risk You Shouldn’t Take

Jayson Ang – June 28, 2023 –

5 Reasons Why Timing the Singapore Property Market is a Risk You Shouldn't Take Entering the Singapore property market can...

All Buying Tips

Superstitions in the Real Estate Market : How Does it Impact Resale Value?

Jayson Ang – June 20, 2023 –

TLDR When navigating the Singapore property market, it's crucial to consider various superstitious beliefs that can impact your decisions. From...

Mandarin Top 5

Top 5 : Dangerous Ideas Singapore Property Investors Have

Jayson Ang – March 5, 2025 –

Singapore's property market has long been considered a safe and lucrative investment option for both local and foreign investors. The...

All Blog Posts Buying Tips

Discover How The CPF Accrued Interest Can Impact Your Property Sale Proceeds

Jayson Ang – April 12, 2023 –

Singaporeans are renowned for being smart and savvy - especially when it comes to selling their homes, whether it's an...

All Buying Tips Opinion

What Factors Contribute To Singapore’s Real Estate Market Exhibiting Less Volatility Than Other Major Cities?

Jayson Ang – November 12, 2023 –

TLDR The Singaporean real estate market has remained stable due to government cooling measures. These include Additional Buyer's Stamp Duty...

All Blog Posts Buying Tips Opinion

I Decided to Pay the Additional Buyer’s Stamp Duty to Purchase a Condominium While Retaining My HDB: My Reasons

Jayson Ang – October 15, 2024 –

TLDR Despite a 20% Additional Buyer’s Stamp Duty (ABSD) for second properties in Singapore, Yang chose to hold onto his...

All Buying Tips Opinion Selling Tips

HDB Owners Have Identified This Reason as the Primary Barrier to Upgrading in 2024. Surprising? Not Really.

Jayson Ang – November 25, 2025 –

TLDR High property prices in Singapore make it difficult for most to upgrade from HDB flats to private condos, despite...

Mandarin Top 5

Top 5 Best Hidden Photography Locations in Singapore

Jayson Ang – October 3, 2024 –

Singapore, a vibrant city-state known for its iconic landmarks and bustling urban landscape, is also home to numerous hidden gems...

Buying Tips Mandarin Top 5

5 Reasons Why You Should Consider Investing In Singapore Real Estate

Jayson Ang – August 1, 2023 –

TLDR Investing in Singapore real estate offers attractive tax incentives, low cost of living, high rental yields, market reliability, diversification...