GEORGE TOWN, November 23 — Datuk Seri S. Sundarajoo, the housing and environment committee chairman for Penang, addressed concerns about escalating residential property prices, asserting that the hikes align with the growth in the average household income in the state. He emphasized that the increased property prices signify the recovery of Penang’s housing and property industry post-Covid-19. Sundarajoo stated that the upward trend in household incomes would enable Penangites to afford homes, even if the property prices surpass the median price.
Responding to queries from PAS representative Muhammad Fauzi Yusoff, Sundarajoo pointed to the National Property Information Center’s second-quarter 2023 report, revealing that only 17.3% of properties priced below RM300,000 remained unsold. He attributed the majority of unsold units to buyers facing challenges in securing loans. While Fauzi raised concerns about Penang having the second-highest residential property prices in Southeast Asia, Sundarajoo highlighted the state’s commendable 5.78% increase in residential prices in the first half of 2023, positioning it as the second-best performing city in Southeast Asia.
Sundarajoo acknowledged the success of Penang’s home ownership campaign initiated in June 2021, particularly in revitalizing the industry. Under this policy, the maximum prices for affordable housing were capped at RM270,000 on the island and RM225,000 on the mainland. The affordable housing ceiling price in Penang remains controlled at RM300,000, reinforcing the state’s commitment to promoting and facilitating affordable housing sales.
