Recently, the stark reality about the value of our HDB flats was reiterated by our current MND minister, Mr. Lawrence Wong – where upon expiry of its lease, your flat will be returned at zero value to the State via HDB. The Straits Times too has been unforgiving with its relentless churning of articles on the topic of “Lease Expiry” with its latest article on private estates nearing the end of its lease and residents distraught.

Hard Truth

 

A few investment bloggers and investing forum had been harping on the fact that many properties in Singapore are leasehold by nature; which means the property value eventually depreciates to zero upon expiry of its lease (be it 20, 30, 99 years etc) and returned to the State,

A unique feature of Singapore’s leasehold is that the value of the property does not depreciate in a straight line but that similar …