A scheme to facilitate first-time home buyers in securing loan financing will be announced in the 2017 Budget, said Second Finance Minister Datuk Johari Abdul Ghani today.
He said, it is to tackle the problem faced by Malaysians, especially the young, who could not get full bank loans due to their low starting salary.
The requirement under the scheme is, it is only for the purchase of first house valued at RM300,000 and below.
"We are discussing with Bank Negara and four major banks in the country, namely CIMB, Maybank, Ambank and RHB Bank.
"We want to come up with a package to tackle the issue of young graduates, with a salary around RM2,500 to 3,000, who may face difficulty to get full loans.
"Even there is the RM30,000 deposit for the purchase of first house provided by the government, if the house costs RM300,000, buyers still have to borrow RM270,000. (But) Banks can only loan out RM200,000.
"So, there is a gap there," he said to reporters after launching RMR Online system on the Syarikat Perumahan Negara Berhad's (SPNB) website for the Rumah Mesra Rakyat 1Malaysia (RMR1M) programme here today.
Johari added, the scheme would also look into the mechanisms to bridge the gap between the loan needed by home buyers and the amount eligible for loan, especially for the young.
"They will get a salary raise every year and maybe within five to six years they can buy a new house, but by that time, the house may no longer be available or its price has increased to RM400,000 or 500,000.
"So the issue now is, how to bridge the gap while waiting for their salary to increase.
"If this issue is not addressed, there will be incompatibility in whatever the government is trying to provide.
"It will create a situation where people want to buy a house but could not afford it and PR1MA wants to build a house but cannot sell it," he said.
He said, the details of the scheme will be announced by Prime Minister Datuk Seri Najib Tun Razak when tabling the budget next month.
Tan Su Lin
Thu Sep 01 2016

JOHARI: We want to come up with a package to tackle the issue of young graduates, with a salary around RM2,500 to 3,000, who may face difficulty to get full loans. - fotoBERNAMA / File

Lebanese search for dead in devastated villages as Israel withdraws
Hezbollah says Israel was still occupying Lebanese territory and put the onus on the Lebanese state to get Israeli forces out.

China promises Latin America 'trustworthy' ties as Trump lays out demands
Beijing looks to improve its foothold in a region historically under the US sphere of influence.

Major risks loom as Trump upends US Russia policy
Washington's approach changes dramatically with the initial meeting between US and Russian negotiators.

Pope Francis has double pneumonia, complicating his treatment, Vatican says
Doctors say a polymicrobial infection occurs when two or more micro-organisms are involved and can be caused by bacteria, viruses, or fungi.

Philippines' VP Duterte challenges impeachment before Supreme Court
Sara Duterte makes her first legal move to fight the case that could lead to her removal and lead to a lifetime ban from public office.

Motor racing - Hamilton steps out in red at unprecedented 10 team F1 launch
I feel so full of life, so much energy, because everything's new and I'm just focused on what is up ahead, Hamilton says.

UAE tells US' Rubio it rejects displacement of Palestinians
The UAE's stance matters as its one of four Arab nations that normalised ties with Israel during Trumps first term.

Taylor Swift wins recording artist of the year crown for fifth time
The megastar's "The Tortured Poets Department" record also topped four IFPI charts, the IFPI says.

More than $50 billion needed to rebuild Gaza, World Bank joint assessment says
Years of rebuilding work, including clearing unexploded ordinance and millions of tonnes of rubble lie ahead.

Malaysia’s AI data centre development to be impacted by recent US restrictions - Liew
Liew Chin Tong says the restrictions would not affect the development of the domestic data centre ecosystem as a whole.

Sweden's top court rejects Greta Thunberg lawsuit on climate action
A court cannot decide that the parliament or the government must take any specific action, the Supreme Court says.
![[COLUMNIST] Trump’s Gaza (pipe) dream [COLUMNIST] Trump’s Gaza (pipe) dream](https://resizer-awani.eco.astro.com.my/tr:w-177,h-100,q-100,f-auto/https://img.astroawani.com/2024-10/51728873693_EMIR.jpg)
[COLUMNIST] Trump’s Gaza (pipe) dream
The Gaza plan is dangerous and counter-productive as it's merely another recipe for regional instability.

Sivasangari eyes new career-high in world rankings
After climbing to a career-best world number seven, national women's squash ace S. Sivasangari is determined to keep rising.

Outburst against Steven Sim: DAP will probe if there's a complaint - Loke
DAP secretary-general Anthony Loke says the disciplinary committee has not received any reports related to the incident so far.

US judge will not block Elon Musk from firing federal workers, accessing data
The case raises questions about Musk's apparent unchecked authority as a top deputy to President Donald Trump.

Dozens of false killer whales stranded on remote Australian beach
Rescue crews trying to save the majority of the large dolphins that survived the ordeal, according to authorities.

Trump restricts AP access over Gulf of Mexico issue
The AP, citing editorial standards, says it would continue to use the gulf's established name.

China to fly back 200 nationals rescued from Myanmar scam centres, Thai official says
This is part of a multinational effort to crack down on illegal online operations run from the region.

Somber Tiger Woods back in action in TGL loss to New York GC
Tiger Woods makes his first start since the death of his mother when he competed in a TGL match at Palm Beach Gardens.

Brazil's ex-President Bolsonaro charged in alleged coup plot
A total of 34 people were charged, including several military officials.