For the best part of Singapore’s 50 years of history, the government has ensured that HDB flats were not just homes but also an appreciating asset. This asset enhancement policy has also naturally spilled over to the private property market and property prices have enjoyed strong appreciation over the past few decades.

The steady increase in prices helps to explain why almost every Singaporean aspires to own his own place. Our high home ownership rate is actually a rarity among developed nations. According to this wikipedia article, we are actually 3rd (behind two Eastern European countries) with more than 90% of Singaporeans living in homes either owned by them or their families.

I would actually argue that home ownership and asset enhancement were both essential policies as there was a need for Singaporeans to have a stake in the country’s future during our early years. Otherwise, the early migrants who came to Singapore would …