Home ownership in Singapore cracks 90% mark: Minister Khaw

Time to re-examine key policies.

According to a speech by Minister Khaw Boon Wan at Committee of Supply Debate, after 50 years of public housing, it is good to re-examine some old assumptions and re-visit some key policies. 

For certain, the next 50 years will be different from the last 50 years. First, home ownership has crossed 90%. "We have probably reached the limit of what is possible," he said.

Second, he added that the days of high economic growth of 7%, 8%, 9%, and hence strong wage growth, are over.

Here's more from his speech:

As property prices are closely correlated with economic growth, low growth means huge capital gains that our parents’ and our generation made through reselling HDB flats will now become less likely.

Third, Singapore’s population was young and rapidly growing in the past, but future growth will severely moderate.

Increasing singlehood and declining birth rates may persist though we will continue to persevere to reverse those trends. This has implications on family formation and household size.

Fourth, the biological ageing of our population and the physical ageing of HDB towns will become the dominant themes that shape and colour our community life. HDB estate layout and designs will need to keep pace with such major social developments.