Enough homes for all, says Khaw

National Development Minister Khaw Boon Wan says "plenty" of housing units are coming on stream, with about 200,000 units to be built by 2016. 

Of these, 80,000 are private properties, 10,000 are Executive Condominiums and about 110,000 are HDB. 

Mr Khaw said this is equivalent to the building of four new Ang Mo Kio towns. 

He said this in a blog post, Enough Homes for All, on Friday.

He believes supply in the property market will catch up with pent-up demand - in two, three or four years. 

Mr Khaw pointed out that the market is temporarily not in balance because of under-building in the past and high investment demand today.

Turning to the package of measures introduced last week to cool the property market, Mr Khaw called it a necessary move. 

He said doing nothing would be to allow prices to run beyond economic fundamentals. 

This would only invite a large and serious price correction in the future and will not do anyone any good.

Mr Khaw said the package was carefully formulated to protect first-timers. 

He noted that investors buying additional properties may be disappointed but hoped they'll accept that the package will also be good for them. 

He also advised those contemplating buying a property to be prudent. 

They must bear in mind the fact that the current low interest rate is unusual, and be aware that normal high interest rate will return in time to come.