Relax Regulations for First Time Home Buyers, Appeals FD Iskandar of REHDA.

FD Iskandar appeals the government to relax regulations on the first time home buyers in Malaysia for properties below RM500,000.

Novo Sarajevo, Bosnia and Herzegovina – August 25, 2017 /PressCable/ —

The current regulations and policies guiding real estate have made it difficult for potential home owners. This has made the Real Estate and Housing Developer’ Association (Rehda) to formally appeal to the Government for a review of the regulations with the aim of relaxing the terms and conditions first-time house buyers are expected to meet for real estate properties worth below RM500,000.

In his statement, President Datuk Seri Fateh Iskandar Mohamed Mansor mentioned that the formal request also includes an appeal for lower interest rates and a longer tenure for loans granted for transactions related to the two identified categories.

“It is our desire to permanently resolve the issues caused by financing, especially the challenges faced by first time home buyer of properties priced below RM 500,000, we want to make the options more flexible.” This is an excerpt from the conversation he had with reporters after delivering his keynote address at the Property Guru Malaysia Real Estate Summit, 2017 in Kuala Lumpur on Wednesday.

The Deputy Finance Minister Datuk Lee Chee Leong was in charge of the proceedings during this summit.

FD Iskandar commended the Federal Government for its efforts at making it easier for first time home buyers who took part in the MyHome Scheme to purchase their own homes. This scheme offered RM30, 000 in incentives for the individual affordable housing units built.

“It will benefit both buyers and developers in the real estate industry. However, the allocation plan is currently insufficient and hopefully the government will increase the provision of this scheme in the upcoming budget, “he said.

FD Iskandar also appealed to the government to provide a fair system for the local property developers in which they can compete with property developers from China.

“The developers from China who work here do not offer low cost or bumiputra quotas but they are given the privilege of a five-year tax break.”

”We ask that this privilege given to the Chinese developers should also be extended to us. We are the real taxpayers. Let us consider the needs of the local developers first.”

He also urged the state government to stop compelling property developers to build low-cost houses valued at RM 42,000 and below in unsuitable locations because the property developers have indicated their willingness to pay the amount required to compensate for this requirement.

” The state has the most established land bank, it should consider using these funds to build low-cost houses,” he said.”

Fateh Iskandar also identified the inconsistent policies declared by the state government and the Federal Government as another source of challenges in the industry.

“This is a highly regulated sector; it is governed by over 50 laws, regulations, and guidelines. Some of these policies and regulations hinder the crucial efforts made to go through the approval process, and it usually causes a hold-up in the provision of adequate housing,” he added.

Meanwhile, addressing the Governments ambition to fully embrace the industrialised building system by 2020, he said: “It is very unlikely that this goal will be achieved, considering the current state of the industry.”

“We do not have enough machines or skilled workers, there is an insufficient supply. If this goal is to be achieved, the authorities must offer incentives and rebates, those using the IBS should also be given tax incentives among other strategies,” FD Iskandar said.

The theme of this summit is “Shaping the Future of Malaysian Real Estate.” The summit is part of PropertyGuru’s Asia Real Estate Summit series.

– It is an exclusive forum, organized at a professional level with the focus aimed at exploring cutting edge strategies and industry innovation. It is held annually in the regions most established real estate markets such as Singapore, Thailand, and Indonesia. – Bernama.

Contact Info:
Name: Peter Cirillico
Organization: All For Media Malaysia
Address: Ulica Zvornicka, Novo Sarajevo, Opremo 71124, Bosnia and Herzegovina

Source: PressCable

Release ID: 233161