100 square feet home? Potential solution for just RM60,000.

It’s really pretty ‘impossible’ to buy a proper property in Hong Kong. This is because it is already the most expensive in the world and it seems that the price has no ceiling. This is the case even for someone who’s earning HK$38,000 (RM20,175) per month. My friend told me that even with her salary, there’s no way she could afford a home. After combining her income with her husband’s as well as a little bit of help from the parents, they bought a decently sized apartment in Hong Kong. (Less than 1,000 sq ft) Here’s one hope for Hong Kongers who take home lower pay than her on a monthly basis. A “stackable, retro-fitted water pipe tube homes called “O-Pods.”
The article in businessinsider.my here. It says that Hong Kong properties has been ranked the least affordable in the world for the last 8 years. Hong Kong architect James Law has designed a low-cost solution to the problem: stackable, retro-fitted water pipe “tube homes” called “O-Pods” that could be rented cheaply to young people. He said, “We are facing a tangible affordability problem in our cities,” architect James Law told Business Insider. “It is almost beyond the reach of most people to afford to live in a proper home in Hong Kong.” He said that, “If we can work with governments, and even private landowners and manufacturers, we could very cheaply build the O-Pods, and we could rent them out very cheaply to young people who are struggling to afford housing.” The size of the O-Pod is around 100 sq ft. The reason that it is so cheap to build is because the O-Pod uses concrete water pipes, which are already being mass-manufactured, they are “low-cost, well-engineered, and being concrete, these pipes have good insulation properties.”
His plan is to rent out the O-Pods for HKD3,000 (RM1,592) per month. Two-thirds of that money would be invested in a savings account for the tenant, while one-third would go towards maintaining the homes. The reason for suggesting HKD3,000 was because of the global rule of thumb that one-third of one’s income should go to rent in order to consider housing to be affordable. Most recent university graduates in Hong Kong earn an average salary of 14,000 HKD per month. After taxes, that comes out to around 10,000 HKD. For a full article, please refer to: Please refer to businessinsider.my
Malaysians are fortunate because we have not reached this stage in our property market. However, we should always note all these world happenings because it’s just a matter of time. If we are X years behind Hong Kong’s property market, then we are X years away from this potential happening. As for whether 100 sq ft is bad, well, I think if it’s for a single working professional who would usually use the home only for sleep and rest, it should be good enough. All other stuffs could be done outside anyway. Happy thinking and following.
written on 22 Oct 2018
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