I refer to “Buying an old HDB flat? Here are some things to consider” dated 13 April. (link)
1. According to the article, there are:
– One million HDB flats.
– 70,000 flats (7%) are older than 40 years.
– 280,000 flats are between 30 and 40 years old.
2. From the above figures, there are 350,000 flats older than 30 years or constructed before 1987. This contradicts HDB figures.
3. According to HDB statistics (pg 4-5), 547,867 flats were constructed between 1960 and 1985. Assuming a pro-rated number of 47,883 flats (119,708/5 X 2) constructed in 1986 and 1987, the total number of flats older than 30 years should be 595750 (547867 + 47883).
4 However, we have to take into account 115,363 flats (1107835 (total constructed) less 992472 existing flats) have been SERSed, demolished or privatised. As these are probably flats constructed before 1987, the net total should be about 480,387 (595,750 – 115,363) HDB flats at least 30 years old.
A summary of the figures in the table below:
5 Minister Lawrence Wong has cautioned against buying older resale flats, giving the prudent example of purchasing a 10-year old flat. But if it’s not prudent to select from 480,387 older units – almost half the number of HDB flats – does it not mean that public housing meant for ordinary citizens is unaffordable?
6 Or does it mean that our CPF scheme is flawed since it is unable to ensure retirement adequacy despite contributing 37% – highest globally – of our monthly wages?
Just how many flats are older than 30 years – 350,000 or 480,387? HDB should clarify.
By 2030 when our population hits nearly 7 million, an additional 328,738 resale HDB flats will turn 30. In total, 809,125 flats will be at least 30 years old. Minister Wong would prefer buyers to go for resale flats of about 10 years old but how many are there and where are they located?