There has been disturbing talk in the media recently that the restrictions on foreigners buying landed homes in Singapore could be relaxed.

There has been disturbing talk in the media recently that the restrictions on foreigners buying landed homes in Singapore could be relaxed.

I hope the authorities would quickly nip this rumour in the bud before there is too much public disquiet.

Goldman Sachs (Singapore) is lobbying for the rescindment of the Residential Property Act, which has, since 1973, restricted foreigners and permanent residents from owning landed residential property without prior official approval.

Goldman Sachs argues that this change would serve as a catalyst for further foreign buying of private homes and boost the current residential property up-cycle. To further support this argument, it implies that Singaporeans already have a stake in the country by virtue of public housing catering to 80 per cent of us.

I doubt anyone in Singapore really feels that the property market requires more encouragement. If anything, the reverse is probably true and the authorities are probably contemplating measures to cool the red-hot market to bring it to a more sustainable level.

Goldman Sach’s reference to public housing also comes across as being a tad condescending to me.

Hence I agree fully with the industry’s opinion leaders, who were quoted to be mostly against this proposal.

Mr Charles Chong, chairman of the Government Parliamentary Committee (National Development and Environment), was quoted as saying: ‘Landed properties should not be priced out of Singaporeans’ reach (or) it could lead to disgruntled Singaporeans.’

Others said that the existing Act has the positive effect of ‘encouraging foreigners to commit to Singapore, to sink their roots here’ and that landed-property ownership is one of the ‘privileges of being Singaporean’.

In Pearl S. Buck’s The Good Earth, the protagonist Wang Lung chided his sons when he overheard them talking about selling the land which he had loved so much. He said: ‘…if you sell the land, it is the end.’

Dr Huang Shoou Chyuan

Source: The Straits Times, 28 June 2007