Shen Ying: Leung Man Fai's proposed plan does not help
Feb 9, 2023
Shen Ying: Leung Man Fai's proposed plan does not help Singapore
By   Internet
  • City News
  • Home Ownership Scheme
  • Commonwealth Housing Policy
  • Singapore Property
Abstract: Senior Parliamentary Secretary for National Development, Ms Shen Ying, has dismissed the Home Ownership Scheme proposed by Forward Party non-constituency MP, Mr Leung Man-fai.

She said the proposal is not in line with the objective situation and will not help solve the problem, but could exacerbate it by pushing up the demand for pre-purchased HDB flats.


Senior Parliamentary Secretary for National Development, Mr Shen Ying, said that the proposal by Singapore Forward's non-constituency MP, Mr Leong Man Fai, on housing policy would not solve the problem, but rather raise more questions.


Speaking during a parliamentary debate on a motion on the housing issue, Sim Ying said that in his speech, Leong mentioned the need to redress the public housing policy, yet he could not substantiate his position that "the public housing policy has gone terribly wrong".


"He also suggested ignoring the value of the land and drastically depressing the price of new HDB flats, which would need to be returned to the government if they were to be resold in the open market. This proposal, which is not in line with the objective situation and therefore does not address the symptoms, let alone the remedy, will not help the current shortage of housing supply, but may also stimulate more demand and may have a serious impact on resale prices, plus the plan itself contains some self-contradictory elements, thus raising many questions from MPs."


On the other hand, on the question of whether people are using too much CPF to buy HDB flats, Shen Ying said the CPF system was originally designed to achieve both a home for life and a monthly income for life in old age.


This is why there is a general account that can be used to buy a home, as well as a special account and a retirement account that cannot be used to buy a property. In addition, CPF members have limited access to their Ordinary Accounts.


She also pointed out that it is estimated that eight out of ten people who will reach the age of 55 in 2027 will be able to achieve a basic deposit and receive a monthly income commensurate with their income without the need to cash in on HDB flats.


At the same time, Shen said that Leung's constant speculation on the issue of the 99-year lease of HDB flats was intended to cause anxiety and discontent among people.


She said 99 years is a long enough period of time to cover the lifetime of a HDB buyer, and it is entirely possible for buyers to witness and enjoy the benefits of asset appreciation during their lifetime as long as they do not purchase a HDB flat with too short a lease.