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Singapore Housing Is ‘Seriously Unaffordable’ According to International Survey

Although prices of Singapore properties have fallen in recent months due to the stringent cooling measures by the government, housing here remains “seriously unaffordable” with a score of 5.0, according to findings of the 11th Annual Demographia International Housing Affordability Survey 2015.

The study used the “Median Multiple” which is the median house price divided by gross annual median household income to rate housing affordability across 378 cities in nine countries, with a grade of 3.0 and below being affordable, 3.1 to 4.0 (moderately unaffordable), 4.1 to 5.0 (seriously unaffordable) and 5.1 and above (severely unaffordable).

In a statement, Demographia said this method of calculating housing affordability is widely used for evaluating urban markets, and is recommended by the World Bank and the United Nations.

Aside from Singapore, the report also tracked property markets in Australia, Canada, China (Hong Kong), Ireland, Japan, New Zealand, the UK and the US.

Singapore was surprisingly rated more favourably than some other markets traditionally seen as less pricey such as Australia (6.4) and New Zealand (8.2). With a rating of 17.0, housing affordability in Hong Kong has spiralled out of control.

“Singapore has been far more successful in controlling housing affordability than in markets that have followed the British urban containment model,” said the Demographia report.

“Further, as is typical in urban containment markets, governments have failed to bring the housing cost escalation under control by liberalising land use regulations,” it added.

Restrictions on foreign buyers were credited for shielding the city-state from skyrocketing prices seen as the result of globalisation of real estate markets.

For instance, foreigners have to pay an Additional Buyer’s Stamp Duty (ABSD) of 15 percent when purchasing a private residential unit.

Meanwhile, the Housing and Development Board (HDB) which is responsible for public housing was singled out for praise. “Singapore has an overall 88 percent rate of homeownership, the highest of any country in the survey. Buyers are free to sell their own houses, without any further intervention by HDB,” stated the report.

According to preliminary data from the housing board, prices of resale HDB flats fell 1.4 percent in Q4 2014 from the previous three-month period. As for private units, URA flash estimates revealed that in the last quarter of 2014, prices dropped by 1.0 percent, higher than the 0.7 percent decrease in the quarter before.

Data from both HDB and URA shows a price decline over the past five consecutive quarters.

Romesh Navaratnarajah

* The author is the Singapore Editor at PropertyGuru. To contact him about this or other stories, email [email protected].

Source: www.tremeritus.com

January 22, 2015
Public Transport Fares Will Be More Expensive From 5 Apr 2015

There will be an overall increase of 2.8 per cent to public transport fares following the conclusion of the 2014 Fare Review Exercise, the Public Transport Council (PTC) announced on Wednesday (Jan 21).

How the 2.8 per cent figure was calculated: By aggregating the 3.4 per cent fare adjustment quantum carried over from the 2013 Fare Review Exercise with the -0.6 per cent figure from 2014, the PTC said.

But fares for senior citizen, and existing monthly travel concession prices will not rise, said the PTC. The Transport Ministry separately announced on Wednesday that fares for lower-wage workers and persons with disabilities will not increase, while the monthly concession pass for persons with disabilities will remain at S$60 per month.

“In total, more than 1.1 million commuters will see their fares unchanged,” the PTC said in a press release.

FARE CHANGES FROM APRIL

From Apr 5 this year, adult card fares for buses and trains will increase by 2 to 5 cents, while student concessionary fares will increase by 1 cent, the PTC announced. Cash fares for adult bus and train rides will increase by 10 cents, while senior and student cash fares will remain unchanged.

The prices of all monthly concession passes for adults, National Servicemen and senior citizens will remain the same, it reiterated.

The PTC said bus and train fares will continue to be affordable, even for lower-income groups, as household income growth has generally outpaced household expenditure in public transport.

For instance, in 2013, the second quintile (the 21st to 40th income percentile) and second decile (11th to 20th income percentile) of households in Singapore spent 2.2 per cent and 3.1 per cent of their monthly income on public transport, respectively. These were down from the 3.2 per cent and 4.6 percent, respectively, in 2003, it said.

Said PTC Chairman Richard Magnus: “In approving the fare increase and deciding on the quantum, the Council made a concerted effort to minimise the impact on commuters, even to the extent of insulating some from the increase altogether. Overall, the fare adjustments for the 2014 fare exercise are lower than last year’s adjustments.”

IMPACT ON OPERATORS

With the fare increments, the PTC said the two public transport operators – SBS Transit and SMRT – will have to contribute S$5.5 million and S$8 million, respectively, to the Public Transport Fund. The total of S$13.5 million is S$2 million more than their contribution last year, according to the press release.

The Government will utilise the Public Transport Fund to provide Public Transport Vouchers to lower-income households to mitigate the increase in their travel expenditure, it added.

“I am always very concerned not only with making transport fares affordable, but making sure that our low-income families who need more assistance will be looked after,” Mr Magnus said. “The contributions to the Public Transport Fund by the operators will help defray the travel expenditure of these needy families.”

“PLEASED” VULNERABLE GROUPS NOT AFFECTED BY HIKES: LUI

Transport Minister Lui Tuck Yew said on Facebook that he was “pleased” that more than 1.1 million commuters, particularly more vulnerable groups like senior citizens and persons with disabilities, will not experience a fare increase.

“Looking at the overall outcome of this year’s fare adjustment exercise, I believe the Public Transport Council has achieved a good balance between keeping fares affordable for Singaporeans and maintaining the viability and sustainability of our public transport system,” he wrote.

He added that the 250,000 public transport vouchers of S$30 will be provided to needy commuters, and the ministry aims to simplify the application process further.

“We also have other plans on the meaningful use of the Public Transport Fund and I will share these with you when we are ready,” the minister said.

Source: www.channelnewsasia.com

January 22, 2015
Wealthiest 1% Globally Will Possess More Than Half Of Total Global Wealth In 2016

The very rich are getting very richer.

The wealthiest 1% of the world’s population will own more than half of total global wealth next year, according to projections released Monday by Oxfam International, the antipoverty advocacy group.

And the richest 80 people in the world alone now possess more combined riches than do the poorest half of the world’s population, Oxfam reported, citing Credit Suisse CSGN.VX +1.23% and Forbes data.

“Global wealth is becoming increasing(ly) concentrated among a small wealthy elite,” the Oxfam report said.

In 2010, it would have taken the combined riches of the 388 top billionaires to equal the combined assets of the bottom 50% of the planet. But the billionaires’ assets have appreciated so quickly since then, and the total value of the poor’s resources has dropped so precipitously, that last year it took just the top 80 billionaires to equal the wealth of the bottom 3.5 billion people on the planet, Oxfam said.

The wealthiest 80 people have a combined net worth of $1.9 trillion, up from $1.3 trillion in 2010, with the bulk of their fortunes coming from the financial, pharmaceutical and health care industries. More than a billion people live on less than $1.25 a day, Oxfam said.

The richest 20% of the population together hold 94.5% of the world’s wealth, Oxfam said. The poorest 80% of the world’s population share just 5.5%.

“It is time our leaders took on the powerful vested interests that stand in the way of a fairer and more prosperous world,” Winnie Byanyima, Oxfam’s executive director, said in a written statement accompanying the report.

Source:http://blogs.wsj.com

January 21, 2015
8 Questions Singaporeans Secretly Want To Ask Lee Hsien Loong

Who says constructive politics can’t be light-hearted?

So PM Lee just announced on Instagram (Wow, so hipster) that he will be hosting a live Question and Answer (Q&A) session on Facebook (Wow, hipster count number two).

The highly anticipated session will be held this Saturday on 24 January, from 11.45am to 12.30pm. (Working on a Saturday? It’s either PM Lee doesn’t observe work-life balance very much or elections are coming.)

We bring you the top eight questions you know you want to ask PM Lee, but won’t get answered.

1. On Taylor Swift

Source

He probably receives a lot of flak as PM because there’s always going to be that faceless keyboard warrior waiting to gun him down each time. Maybe his personal music choice will tell us how he deals with such people.

If he says Taylor Swift…

…we know he doesn’t care about his haters.

If he votes Meghan Trainor…

Then you’ll know for sure it’s election year. (cause everything’s perfect.)

2. On the potential alcohol ban

The latest to come out from Parliament is that a potential Bill will ban public consumption of alcohol from 10.30pm to 7am. Zouk clubbers are up in arms, while residents of problematic places couldn’t welcome this Bill any better.

There was already uproar when the Ministry of Health (MOH) announced the ban on shisha in November last year. Now, the limit on alcohol? What’s next, ban on smoking? Oh wait, plans are already in place.

3. On public transport fares

“Why are fares so quick to increase yet so slow to respond to falling oil prices?”

4. On clubbing with the PAP

“Did you enjoy clubbing with Lim Swee Say and Indranee Rajah?”

PM Lee went to Zouk (yes, the club Zouk) to celebrate PAP’s 50th anniversary in 2004. Look, we even have photographic evidence!

5. On his salary

“Will you take further pay cuts?”

Even after PM Lee took a 36% pay cut after the 2011 General Elections, he still remains the world’s best paid politician. Obama earns only $400,000 a year, a paltry amount when compared to PM Lee’s $2.2 million.

6. On how he views himself

Watch your back, Ho Ching.

7. On life

If the last question had been asked a few months ago, back when HDB was still trying to rush out its BTO flats, PM Lee might actually have seriously considered it.

Instead of merging schools or by *cough* burning, PM Lee should turn schools into “purpose-built dormitories” for our foreign workers.

8. On delicious chicken wings

“Were the chicken wings at Redhill good?”

If this question gets answered, we can expect a Xin Jinping to happen. The Chinese president visited a steamed bun restaurant and paid his own way, to the shock of many patrons. After this unexpected publicity stunt, crowds in excess of 400 visited the same bun stall.

We love PM Lee

Some haters argue that he could have and should have done more, whilst others are just madly in love with him and his dapper suits.

Source: http://mustsharenews.com

January 21, 2015
Madrasah Wak Tanjong Mengambil Semula Murid Darjah Satu Tahun Ini

MADRASAH Wak Tanjong telah mula mengambil semula murid darjah satu mulai tahun ini setelah ia memenuhi ukur tara Peperiksaan Tamat Sekolah Rendah (PSLE) di bawah Akta Pendidikan Wajib (CE).

Madrasah di Sims Avenue itu gagal memenuhi ukur tara tersebut dalam tempoh penilaian 2008 hingga 2010, oleh itu tidak boleh mengambil murid darjah satu dari 2012 hingga 2014.

Di bawah akta tersebut, madrasah sepenuh masa perlu memenuhi ukur tara PSLE tahunan jika ingin terus mengambil murid darjah satu.

Dalam jawapan bertulisnya kepada Encik Muhamad Faisal Abdul Manap (GRC Aljunied), Menteri Bertanggungjawab bagi Ehwal Masyarakat Islam, Dr Yaacob Ibrahim, berkata terdapat hingga 400 tempat bagi pendaftaran murid darjah satu di madrasah sepenuh masa.

Madrasah Alsagoff mengambil sekitar 30 murid darjah satu setiap tahun dari 2012 hingga 2014, manakala Madrasah Al-Maarif pula sekitar 67 pelajar.

Madrasah Irsyad, satu daripada tiga madrasah di bawah Sistem Madrasah Bersama (JMS), mengambil sekitar 204 murid darjah satu setiap tahun sepanjang tempoh itu.

Dua lagi madrasah JMS, Aljunied dan Al-Arabiah, berhenti mengambil murid darjah satu mulai 2009 sebagai sebahagian daripada sistem itu.

Kedua-dua madrasah itu hanya menerima pelajar menengah.

Menurut Dr Yaacob, sistem pendidikan madrasah memerlukan murid rendah mengambil lima mata pelajaran ukhrawi di samping empat mata pelajaran PSLE.

“Madrasah melaksana ujian kemasukan bagi memastikan pelajar yang mereka ambil dapat menghadapi tuntutan kurikulum dengan baik,” kata beliau.

Dr Yaacob juga berkata Majlis Ugama Islam Singapura (Muis) bersama madrasah komited dalam menyediakan pendidikan bermutu bagi pelajar madrasah.

“Selain merekrut dan mengekalkan guru bermutu, Muis melabur dalam pembangunan profesional pemimpin dan guru madrasah,” kata beliau.

Source: http://beritaharian.sg

January 21, 2015