More affordable housing making its way to market
Kenanga Research says the property sector continues to improve based on what it sees dissipating concerns over affordability...
The Malaysian Real Estate and Housing Developers' Association (Rehda) is concerned that significant issues such as the ongoing rise in building material prices were not addressed in the 2023 Budget.
Datuk NK Tong, president of Rehda Malaysia, reiterated that if the problem is left unresolved for too long, it will have a negative influence on open-market housing pricing.
"As we reiterate our pledge to continue with our nation-building role of providing quality and affordable homes for the rakyat while providing employment to the 180 upstream and downstream industries, we hope the government will continue to give their full support to the industry," he said in a statement.
He said that Rehda will continue to work with all relevant industry stakeholders, including the government, to resolve this issue in the near future.
Meanwhile, Tong praised the government for funding RM367 million for the construction of 12,400 low-cost dwellings under the People's Housing Projects (PPRs) and RM358 million for the construction of 4,250 Rumah Mesra Rakyat under Syarikat Perumahan Negara Berhad.
He said Rehda also applauds the government's decision to fund up to RM5 billion for the Housing Credit Guarantee Scheme, which is projected to benefit 20,000 low-income borrowers.
"This will surely increase the ability for more Malaysians to buy a home which will further improve their quality of life," said Tong.
Tong said the approach taken by the government may seem bold and aggressive but is prudent given the concerns of slower global growth for 2023.
"We are hopeful that some of the measures announced (under the 2023 Budget) towards alleviating the burden of the less privileged will help them navigate their day-to-day life amidst the high cost of living, especially in urban areas," he said.
