I have always believed that HDB flats should be for Singaporeans who need them. HDB flats are subsidised public housing, after all. If we do not need subsidised public housing to stay in, don't be a dog in a manger. What do I mean by this?
Well, I have heard quite a few accounts of how some people buy HDB flats only to rent them out without ever staying in them. The rental yield can be as high as 10% per annum! Really, I am not kidding. This is an amazing yield. Imagine that in 10 years, that flat is virtually free. Then, imagine a high yielding asset for passive income for the next 89 years. From subsidised public housing?Something sounds very wrong, doesn't it?
So, do I think that HDB should compulsorily acquire such flats from errant owners? Yes. Obviously, they do not need the flats. Why shouldn't they be evicted?
Of course, "eviction" is probably not the right word to use. The flat owners weren't even staying in the flat. How do we evict phantom occupiers?
Then, there is the matter of owners renting out a room or two in their HDB flats, flouting some guidelines on short term rentals and possibly disturbing the peace in the process. What about those people? Where would they stay upon being evicted?
Well, apparently, HDB would arrange alternative accommodation in the form of rental flats. So, these people would not be homeless, contrary to some popular belief. Pretty decent of HDB.
For those of us who care enough to listen, there is something we should remember:
Even as we think to improve our quality of life, we should not compromise someone else's.
For those who are in doubt, this is from HDB's website:
HDB allows flat owners to sublet their whole flats after they have fulfilled the Minimum Occupation Period (MOP)... Flat owners who wish to sublet their whole flats after meeting the MOP must obtain written approval from HDB before they do so. While the approval of HDB is not required for the subletting of rooms, flat owners must register the subletting with HDB within 7 days of doing so.
Subletting of the entire flat without approval from HDB is an infringement of the lease. Those who commit the infringement can have their flat compulsorily acquired by HDB, or face a financial penalty.
There also have been cases of flat owners who try to circumvent HDB’s rules by locking up one room and subletting the rest of the flat without physically staying in the flat. Such cases will be treated as unauthorized subletting of flats if home owners did not meet the minimum occupation period and did not seek HDB's approval to sublet their flats.
HDB takes a serious view of unauthorized subletting and cautions home-owners against allowing moneylenders to use their flats for illegal activities. Flat owners are also reminded to seek HDB’s approval if they intend to sublet their flats. They must also register their subtenants if they sublet rooms.
There will be people who would rant about such rules being unfair. Why can't they decide what they want to do with their HDB flats?
Hey, a reminder, these flats are subsidised public housing. They are subsidised by the State. The State is able to subsidise these flats partly because of taxes which are collected from the people.
When we buy subsidised housing which is made possible because of public funds, we have to think of the collective good. Now, that is being fair.
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