EC prices are insane now. How can a couple with <14k income afford such prices; maybe most of the buyers are upgraders?
Yes, you can see that for Sumang, first time buyers account only for a mere 23+% of the first timer slots. And in fact, for majority of the cases, they are better off getting a HDB. 2nd timers usually have a much larger cash buffer, plus earnings from their first HDB BTO.
Imagine a first timer able to afford only a small unit. That's enough for two of them. It is enough if they do not have kids. But what if they have kids? Will it be big enough?
Then the next logical choice will be to either downgrade to a resale HDB, or a new private condo or resale EC. They are not able to purchase any HDB or new launch ECs anymore until they wait 30 months after selling the EC, which is a private property by then.
In the end, $$ still needed and likely negating the minimal monetary gain.
Properties are assets that cannot be easily sold. With so many new launches on the way, by the time you want to sell your unit, people may not even want to buy it. Applies for HDBs as well. We may have a large amount of assets by name, but if unable to monetize it, it is as good as nothing.
Like the old people always said, don't be a slave to your property. I have an interviewee that told me before he quitted his lawyer job because he saw his lawyer colleague buying a very nice condo, but worked so hard at his job to afford it and don't get to enjoy the facilities and view. The one person that enjoys the condo view, but not facilities, was the maid he hired.
Of course, all isn't a problem if there is a large cash buffer to begin with.