economy

Malaysia’s property market in 2016: What to expect & predictions

INDUSTRY EXPERTS Warrick Singh Director of Business Development/Training of Asian Realty Sdn Bhd, Asian Land Auctioneers Sdn Bhd/Starfish Training Sdn Bhd  As we move into 2016, the ‘cloud of uncertainty’ hanging over the Malaysian economy would settle somewhat preceding several recent capital measures, such as the purchase of Malaysian bonds, intra-trade in Chinese Renmimbi instead of US Dollar and the offer of RMB50 billion of a protected Chinese capital market. Also, the development of the LRT/MRT lines which enhances connectivity to Greater Klang Valley including Seremban, Rawang and Klang will bode well for the residential and commercial property market. Malaysia generally has a young population where 80% of Malaysians are below the age of 50, which means the demand for houses is only...Read More

HBA wants the BTS model for affordable houses

SHOULDN’T buyers of affordable houses be given more protection? Do they have lawyers to advise them? And act for them in court against dishonest developers? Are they expected to spend a lot of money pursuing their interests and entitlement? Even the reasonably well-off suffer because of the lopsided sale & purchase agreement (SPA) provided by the Housing Ministry and exploited by developers. HBA’s long campaign against the sell-then-build (STB) system should be vindicated in the case of buyers of affordable houses. The buyers of affordable houses are people of modest means, and deserve to be protected. BTS 10:90 vs STB The current STB system has caused abandonment and, worst, foreclosure of the purchaser’s property by the developer’s banks. The STB is the developer’s dream as it allows...Read More

Groups to submit memo against lease of private land for housing to PM

PETALING JAYA: The National House Buyers Association (HBA) and four other associations are preparing a joint memorandum against the proposed addition of a new chapter for private lease schemes in the National Land Code 1965. HBA secretary-general Chang Kim Loong said the decision was made after a briefing by HBA on the proposed private lease scheme and its ramifications at a meeting organised by Association of Valuers, Property Managers, Estate Agents and Property Consultants in the Private Sector Malaysia (PEPS) held last Friday. “We will be jointly submitting a memorandum to the Prime Minister since the Natural Resources and Environment Minister has not been appointed. We are preparing the joint memorandum now and we hope to meet the Urban Wellbeing, Housing and Local Government Mi...Read More

Downside of interest bearing scheme

False market: The DIBS had created a false demand which in turn pushed up property prices making houses ‘seriously unaffordable’ to the average person. EVERY now and then some quarters will accept developers’ mantra to re-introduce the Developers Interest Bearing Scheme (DIBS). It should be noted that Bank Negara had prohibited and outlawed “any form of interest capitalisation scheme”. The economic downturn is seen as a fresh opportunity for DIBS to be reconsidered. This time around, it’s only for “first time house buyers”. Creating property bubble DIBS or any other permutation similarly “schemed” cannot be allowed to continue for the betterment of the housing industry because it risks creating a property bubble as prices have been artificially increased and they will create a snowball eff...Read More