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Flexibility in public housing policy is critical

I refer to the letters “Barring private owners from HDB market is the right call”, “Flats should be for those with real housing needs” and “Change of rule may help solve the glut of flats” (Nov 25).

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Ng Swee Shoon

I refer to the letters “Barring private owners from HDB market is the right call”, “Flats should be for those with real housing needs” and “Change of rule may help solve the glut of flats” (Nov 25).

Let us first be clear that the policy for owning a Housing and Development Board (HDB) flat is not for profit-making. It would be ill-conceived to allow flipping for monetary gain. Public housing is subsidised by taxpayer money, with special grants to ensure affordability for most Singaporeans.

While I agree that “HDB dwellers may one day have enough to invest in private property”, the policy should also allow for flexibility for those who suffer a reversal in fortunes and are looking to downgrade to more affordable housing.

HDB dwellers should be allowed to buy a private unit subject to their giving up their public flat within six months of receiving the keys to their new home.

Likewise, those living in a private property should be allowed to buy a public flat, subject to an income ceiling and giving up their private unit.

In land-scarce Singapore, this would ensure that our limited HDB flats are utilised for the purpose for which they are designed.

As one of the writers mentioned, it could help find equilibrium between supply and demand for both private and public housing.

Another approach to reducing the likelihood of HDB dwellers profiteering from public housing is to have the HDB act as the intermediary between buyer and seller, where the sale price is pegged to an inflation-adjusted cost of the unit.

This sends the right message to all that the intended purpose of public housing is to provide affordable, quality homes while ensuring vibrant towns and focusing on the community.

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