HDB will review policies to ensure stable public housing market

We refer to the commentary by Mr Ku Swee Yong (Prepare for supply avalanche as ageing HDB flat owners die; March 5) and the letters by Dr Thomas Lee Hock Seng and Mr Teo Kueh Liang (Glut of HDB resale flats may not materialise, and Policy tweaks can prevent supply avalanche; both published on March 7).

With regard to the concern about a future glut of Housing Board flats, we would like to assure Singaporeans that HDB calibrates its supply of new flats carefully, not just to meet housing demand in the short term, but also with a view towards longer-term demographic and population trends.

In planning the new supply each year, we account for the existing flats that will be released into the resale market due to situations such as the demise of sole owners.

This ensures that the pace of supply injection is sustainable for the entire housing market.

Besides determining the flat supply, we also have other measures such as financing rules and ownership conditions.

For instance, we tightened financing rules for HDB flats in 2013 to temper market exuberance and encourage financial prudence among homebuyers.

We will continue to monitor the housing market closely and review our policies to ensure they remain relevant, and to promote a stable and sustainable public housing market.

Ignatius Lourdesamy

Director (Marketing & Development)

Housing and Development Board

A version of this article appeared in the print edition of The Straits Times on March 19, 2018, with the headline 'HDB will review policies to ensure stable public housing market'. Print Edition | Subscribe