hdb: 5 equals 4

the latest announcement that hdb is converting its unsold 5 room flats into 2 x 2 room flats is another funny figure crunching. 5 rooms become 2 rooms. the only thing good is that the converted 2 roomers must be technically having 2 and a half room of a 5 room flats. so these flats must be bigger. just like a 5 room flat must be bigger than a 4 room flat. good buy. provided there are buyers. apparently so as the number of buyers for big flats have mostly disappeared and many are downgrading to smaller and smaller flats. so much for prosperity and a booming economy and good times. during good times people are all downgrading. what happens during bad times, all upgrading?


Matilah_Singapura said...

HAHAHAHAHA... it seems I'm missing all the "action" in S'pore.

I agree with your point: let's see if there are buyers, and let's see what prices these "new inventions" clear in the market.

Let's see if the govt "sweetens the pot" more by giving grants and subsidies to clear their unsold housing inventory.

or... this may just be another elaborate PAP scam. Who knows?

abao said...

The downgrading of HDB flats shows that people are not as rich as 10 years ago, when people are buying/investing in properties like mad.

Seems like Singapore is at its peak liaoz...

redbean said...

it will be interesting to see the actual pricing of the 2 room flats. will the price of 4 equals the price of 5? or would profit motives make the price of 4 more profitable than selling 5.

this will also give us an insight into the thinking and subsidy issues.

Matilah_Singapura said...

They're trying to "beat the market" too. Population is growing. The long term trend to real estate IMO is definitely up.