Property sales in Malaysia slipped to 39 percent in first half of 2016 (H1 2016) when compared to the robust 52 percent posted a year ago, due to slower demand and end-financing related issues.
Real Estate and Housing Developers' Association (REHDA) president, Datuk Seri FD Iskandar, said first-time buyers declined by 13 percent in 1H 2016.
He said half the residential units launched were priced below RM500,000 and all states retained prices, except Malacca.
"The main issue the purchasers are facing is when they get financing up to 75 to 80 percent. Somebody has to give the 10 to 15 percent," he said after a media briefing on REHDA's Property Industry Survey here today.
Iskandar said the proposed financing scheme by property developers should only be given to first-time home-buyers and only for affordable houses priced at RM500,000 and below.
Iskandar said the end-financing by home-builders were ultimately to help first-time buyers bridge the gap in the funds needed for the initial payment.
However, only developers with strong balance sheets could give the facility to home-buyers and they were not many of them, he said.
He also said that REHDA rejected the proposal to provide 100 percent financing to house-buyers, instead was willing to bridge the gap between bank loans and deposits.
"No developer in Malaysia has the capacity to provide 100 percent loan to house-buyers, but the proposal would at least assist with the downpayment.
"What we do is only bridging. No developer, no matter how big they are, can afford to give out a full loan. We do not have the balance sheet to do so.
"It's either the banks relax, give a higher form of financing or to those developers who can afford it to come in and provide the bridger," he added. -- Bernama
Bernama
Wed Sep 14 2016
The proposed financing scheme by property developers should only be given to first-time home-buyers and only for affordable houses priced at RM500,000 and below. - Filepic
Astro AWANI's revamped English news website, AWANI International, launches on Oct 21
Astro AWANI's revamped English platform delivers in-depth global news and expert analysis to keep you informed on key developments.
Israeli strikes kill 33 people in Jabalia refugee camp in Gaza, medics say
Residents of Jabalia said Israeli tanks had reached the heart of the camp after pushing through suburbs and residential districts.
Liam Payne's ex-partner calls for media restraint after 'painful' death
Cheryl Tweedy used her statement to urge the media to remember they had a seven-year-old son, Bear, who could read the reports.
Analysts: Indonesia's strong MoF leadership team to boost investor confidence
Sri Mulyani Indrawati as head of Indonesia's Ministry of Finance is expected to instil confidence among investors.
Biden offers both a carrot and a stick to Israel as his term nears an end
Israel has frequently resisted US advice and has caused political difficulties for the Biden administration.
Putin says BRICS will generate most of global economic growth
Russian President Vladimir Putin will host a summit of the group in the city of Kazan on Oct. 22-24.
ISIS Malaysia's perspective of Budget 2025
An excellent rakyat-centric budget under the overarching principle of a caring and humane economy.
Budget 2025: Record increase in STR, SARA aid initiatives
The government will provide a significant boost to the Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) initiatives next year.
Budget 2025: EPF contributions to be made mandatory for foreign workers – PM Anwar
The government plans to make it compulsory for all non-citizen workers to contribute to the Employees Provident Fund (EPF).
What policies to expect from Indonesia's new President Prabowo
Prabowo will be open to foreign investment, his aide has said, such as by offering investors management of airports and sea ports.
Budget 2025: Govt allocates RM470 mil to empower women's participation in PMKS
The Women's Leadership Apprenticeship Program will be intensified as an effort to produce more female corporate personalities.
Israel sends more troops into north Gaza, deepens raid
Residents of Jabalia in northern Gaza said Israeli tanks had reached the heart of the camp, using heavy air and ground fire.
Indonesia ramps up security ahead of Prabowo's inauguration
Prabowo Subianto will be sworn in as Indonesia's president on Sunday with Vice President-elect, Gibran Rakabuming Raka, also taking office.
Immediate allocation of RM150 mil for local authorities, DID to tackle flash floods
Datuk Seri Anwar Ibrahim said this allocation is intended to address the recent flash floods that hit the capital and several major towns.
Budget 2025: Sabah, Sarawak to continue receiving among highest allocations - PM
Sabah and Sarawak continues to be prioritised under Budget 2025, with allocations of RM6.7 billion and RM5.9 billion respectively.
NFOF will be operational in November 2024 with funding of RM1 bil
PM Anwar Ibrahim said NFOF will support venture capital fund managers to invest in startup companies with RM300 million set aside for 2025.
Minimum wage to increase to RM1,700 effective Feb 1, 2025
The Progressive Wage Policy would be fully enforced next year with an allocation of RM200 million, benefiting 50,000 workers.
Bursa Malaysia ends higher on Budget 2025 optimism
The benchmark index, which opened 1.85 points higher at 1,643.29, moved between 1,641.71 and 1,649.31 throughout the trading session.
Five important aspects relating to people’s lives in Budget 2025 - PM
The focus is on driving the MADANI Economy, speeding reforms, cutting red tape, raising wages, and tackling the cost of living.
Economic outlook: Govt plans to leverage, expand existing city transit system
The expansion aims to provide a more efficient and reliable public transportation network, reduce congestion, and improve accessibility.