2. HOUSING STRATEGIES
THE housing development strategies that were adopted and implemented during the period were primarily a reorientation of past strategies and the incorporation of new measures. This was done in order to increase the availability of housing for the growing population and at the same time, to further
develop the domestic housing industry. The strategies
implemented included:
(a) the construction of more low-cost and lowmedium cost houses, especially in the urban areas, through various public sector housing programmes, as well as those by the private developers;
(b) the provision of incentives to housebuyers under the Home Ownership Campaign
(c) the provision of more houses for rental, particularly for the lower income groups in the major urban centres for the resettlement of squatters;
(d) the introduction of computerized open registration system for low-cost house buyers to ensure fair distribution to the eligible buyers;
(e) the provision of adequate basic infrastructure by housing developers with the relevant authorities providing other amenities such as schools, clinics, sports/recreational facilities, which are necessary for the attainment of a better quality of life;
(f) the greater role of the private sector in housing development, especially in the provision of low and low- medium cost housing;
(g) the public sector provided a facilitating role and institutional support to the private sector; and,
(h) permitting the withdrawal of a portion of EPF savings and the provision of low interest rates to the low-income groups to build houses on their own land as well as the provision of end financing by commercial banks and financial institutions for
house buyers.
develop the domestic housing industry. The strategies
implemented included:
(a) the construction of more low-cost and lowmedium cost houses, especially in the urban areas, through various public sector housing programmes, as well as those by the private developers;
(b) the provision of incentives to housebuyers under the Home Ownership Campaign
(c) the provision of more houses for rental, particularly for the lower income groups in the major urban centres for the resettlement of squatters;
(d) the introduction of computerized open registration system for low-cost house buyers to ensure fair distribution to the eligible buyers;
(e) the provision of adequate basic infrastructure by housing developers with the relevant authorities providing other amenities such as schools, clinics, sports/recreational facilities, which are necessary for the attainment of a better quality of life;
(f) the greater role of the private sector in housing development, especially in the provision of low and low- medium cost housing;
(g) the public sector provided a facilitating role and institutional support to the private sector; and,
(h) permitting the withdrawal of a portion of EPF savings and the provision of low interest rates to the low-income groups to build houses on their own land as well as the provision of end financing by commercial banks and financial institutions for
house buyers.
Home Ownership Campaign
A HOME Ownership Campaign (HOC) was introduced in December 1998 as an additional measure aimed at reviving the property market and providing more opportunities for the public to own homes. Incentives to house buyers were provided which included a purchase discount of up to 15 per cent; easy credit facilities by financial institutions as well as by the Government for its eligible employees; higher financing margin of up to 95 per cent for properties costing RM250,000 and below; exemption from stamp duties and processing fees; discounted legal fees and insurance premium; and fast approval by the Foreign Investment Committee. This one-month campaign attracted 492 developers and achieved sales of RM2,900 million for residential properties and RM600 million for non-residential properties.
The second HOC was held from 29 October to 7 December 1999. Incentives offered included exemption of stamp duties as well as a minimum price discount of 5.0 per cent for properties costing RM100,000 or less and 10 per cent for properties costing more than RM100,000. Financial institutions also offered incentives such as higher margin of finance up to 95 per cent; waiver of processing fees; and increased loan tenure up to 30 years. Legal fees were also lowered for sales and purchase as well as loan agreements. This helped to reduce the number of unsold residential properties to an estimated 45,500 units, including 9,700 units of condominiums and apartments.
The second HOC was held from 29 October to 7 December 1999. Incentives offered included exemption of stamp duties as well as a minimum price discount of 5.0 per cent for properties costing RM100,000 or less and 10 per cent for properties costing more than RM100,000. Financial institutions also offered incentives such as higher margin of finance up to 95 per cent; waiver of processing fees; and increased loan tenure up to 30 years. Legal fees were also lowered for sales and purchase as well as loan agreements. This helped to reduce the number of unsold residential properties to an estimated 45,500 units, including 9,700 units of condominiums and apartments.
No comments:
Post a Comment