The Minister said that the price of BTO flats is affordable, as it require 23% of monthly income to service it.
Can the minister give the full picture?
a) What is the duration of the loan?
b) What is the interest rate used in the calculation?
c) What will be the ratio of loan repayment to income, if interest rate were to increase to 4% at a future rate?\
d) What is the ratio of the flat price to the family income?
e) What is the chance of any of the bread winner losing the job during the duration of the loan?