Government spending in big cities was allocated to various development projects, long-standing buildings accounts for a significant portion of the state’s budget. It was suggested that those budgets should be paid for new housing. This essay aims to demonstrate that the statement is not entirely true.
Although the idea of a new sets of civilian accommodations sounds appealing, they tend to be very expensive. Both the population and the government will face some challenges, the former will need to set aside a big amount of saving to afford a new house, while the latter will need to address funding issues. A prime example is the new Vinhomes apartment in Ho Chi Minh city, it costs not only the Vingroup, who is the owner of the project, but also the government with national aid, only for a fraction of the population can afford the newly built condo.
On the other hand, most of the existed apartment will provide cheap housing solution to a bigger part of the population. though this methods requires less resources to preserve, soon these out-dated building will no longer safe, nor providing enough room to the growing demands. In addition, these old buildings takes up valuable lands that might have not been fully utilized to help mitigate the housing problems.
In conclusion, renovating old buildings might not come out on top of the consideration, but it is still a viable option for state-owner. Governments needs to know when to use the correct methods for the best of both worlds.