Buyers enjoy subsidy when they buy new flats: Mah Bow Tan
New flats are sold below prevailing market rates so buyers enjoy a
market subsidy when they buy the flats.
And these market rates are based on the resale prices of other
properties in the area, not the land and construction costs.
National Development Minister, Mah Bow Tan, said this in a
parliamentary written response to MP for Hong Kah GRC, Zaqy
Mohamed.
Mr Zaqy had asked how the HDB sets markets prices at subsidised
rates for new flats since both the land and the new flats are
priced by HDB.
According to Mr Mah, the market value of a property depends on the
resale prices of other similar properties in the area.
And these vary depending on the flat's location, floor area and
storey height. - CNA/ch
