My sympathy goes to Secretary for Housing, Dominic Wong who has inherited an extremely difficult task in tackling housing shortages in Hong Kong. Bomb and poisoning threats directed at him should be strongly condemned. He does not need this kind of pressure added to his already high-pressure job. The housing problem is not his alone. I am sure he is racking his brain for a solution. Nevertheless, I question the appropriateness of regulating developers' sales strategy in an attempt to curb property prices. Developers are not charitable institutions. They develop land to make a profit, the end result is that people can live in a better environment. Developers pay top dollars for sites at government auctions; 40 per cent of our revenue comes from land premiums. How can we then ask the developers not to make the most of their investments? The Government should not interfere with the free market economy and it certainly is wrong to interfere with developers' marketing strategy. If the Government wants to ensure everyone in Hong Kong has a comfortable home, more public housing should be built using public funds. Then the Government can control prices to its heart's content. Those who feel that they can't afford private property can either rent, or go for government housing. I don't see why the Government has to interfere to bring prices down to suit one sector of the public, but shows prejudice against those who manage to scrape up enough money to buy a home only to see its value pushed down artificially. The property market will find its own level even without a panicky Government's help. When prices have risen to a certain level there will be resistance and that will keep prices in check. Interest rates rises will also have a dampening effect on property prices. Forcing developers to release units for sales in bulk is not going to solve the problem since these units are not ready for occupation. Developers of substance can refuse to release incomplete units for sale altogether. The Government should take a hard look at its long-term strategy and review the attitude of its district land officers whose function in life seems to be to behave in as obstructive a way as possible to developers when applications are made for development/redevelopment. The long delay in approvals of development must take a toll on the supply. The Government should identify the real issue of housing supply before succumbing to pressure from a small sector of the public and before formulating any policy, to take into account the interests of all sectors - existing home-owners, tenants and developers, and not to blame developers' marketing strategy for spiralling house prices. S. WONG New Territories
