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Type of home no longer an accurate measure of wealth

I refer to the letter “Review choice of home used in means-testing” (April 14). Living in a public flat is no longer a sign of an inability to afford private property.

I refer to the letter “Review choice of home used in means-testing” (April 14). Living in a public flat is no longer a sign of an inability to afford private property.

Today’s flats are a gold mine, with some selling for up to S$1 million, and it is not uncommon to see luxury cars in public housing car parks.

Obviously, many of their owners earn more than their public dwellings may imply. It is thus wrong to associate dwelling type with overall wealth.

It is more accurate and possibly more equitable to take into account all assets owned, such as cars, stocks, other homes and cash in banks, to determine a person’s net worth. This method is similar to the Total Debt Servicing Ratio used in assessing a person’s liabilities and ability to repay any debt.

Also, the authorities should stop across-the-board utilities rebates for bigger flats owned by well-heeled individuals with good incomes or flashy cars. They do not need the subsidy.

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