While the government frames the removal of the 15-month wait-out period as a move toward stability, some observers remain cautious about the potential impact on affordability. By reintroducing a segment of buyers who typically possess significant capital from the sale of their private properties, there is a risk that demand for HDB resale flats could spike once again. This could inadvertently put upward pressure on prices, potentially pricing out younger, first-time buyers who are already struggling to find affordable housing in a competitive market.
Critics of the decision point out that even if the market has shown signs of cooling, the HDB resale sector remains highly sensitive to changes in buyer profiles. The entry of private property owners—who often have more liquidity and are less reliant on government grants—could create a two-tier market where certain desirable flats become increasingly out of reach for the average Singaporean. There is a concern that this move might fuel a return to the 'million-dollar HDB' trend, which has been a point of contention for many residents.
Furthermore, some argue that the government should have maintained the restriction until there was more definitive evidence of a sustained, long-term cooling trend. By acting now, authorities may be sending a signal that could encourage speculative interest or create a 'fear of missing out' among potential buyers. For those who do not have the means to compete with former private property owners, the policy change is a source of anxiety, as it effectively increases the number of competitors for a limited supply of resale units. Ensuring that public housing remains a social safety net rather than an investment vehicle remains a critical challenge that this policy change may complicate.