KUALA LUMPUR, Oct 24 – The government plans to build 257,252 houses nationwide in a continuous effort to allow more low and middle income earners to own houses. According to the Economic Report 2015/2016, the initiatives are included as below:
- 1Malaysia Housing Programme under the 1Malaysia Housing Corporation (PR1MA). – 210,000 units with prices ranging from RM100,000 to RM400,000 – Priority for households earning below RM10,000 * People Housing Programme – 15,996 units – Priority for low-income earners and the resettlement of squatters.
- Rumah Mesra Rakyat 1Malaysia – 2,183 units – Priority to assist fishermen, farmers and families who do not own houses or live in dilapidated houses.
- Rumah Idaman Rakyat – 6,296 units with 60 per cent priced below RM250,000 and 40 per cent between RM250,000 to RM350,000 – Priority for middle-income earners and first-time buyers
- Rumah Aspirasi Rakyat – 11,872 units – Priority for youth to own their first houses, particularly the newly-employed.
- 1Malaysia Civil Servants’ Housing Programme – 10,905 units – Priority for civil servants.Meanwhile, to curb the rise in house prices, several lending guidelines were introduced, which include:
- A maximum ‘loan-to-value’ at 70 per cent on the third property.
- A maximum tenure for housing loan capped at 35 years from 45 years previously.
- Raising the Real Property Gains Tax (RPGT) from 15 per cent to 30 per cent on the disposal of property within three years.
- Increasing the minimum price of property from RM500,000 to RM1 million for foreign purchase.
- Abolishing the Developer Interest Bearing Scheme (DIBS).
