Laughing all the way to the bank

National Development Minister when asked about the rising HDB prices, says, "Flat prices would probably go up, they will go up by 1 per cent, 2 per cent, or whatever. They will just keep on going up if the economy recovers as people expect, and if confidence returns, but affordability will always be there."

With the Singapore economy still expected to shrink by 3.6 per cent and expectations of downside risks from labour market globally, should not have the National Development Minister brought those that are driving the HDB prices pinnacle high "back to earth"? Is the supposed profit margin of 143 per cent too high a price to have spoken the truth?


While I am being pedantic here, I would like to point out that usage of "Profit Margin" is erroneous.

For instance, let us assume the cost price of a HDB to be $50 and it's selling price to be $100.

This means that the Mark Up is 100% while the Profit Margin is actually 50%.

Profit margin is determined by subtracting the division of the cost price by selling price from 100%.