redha

HBA Maintains Easing Lending Guidelines is not the Solution to the Inaccessibility of Affordable Housing Loans

  PETALING JAYA: Relaxing banks’ lending criteria is not the solution to address the issue of access to affordable housing loans, said the National House Buyers Association (HBA) secretary-general Chang Kim Loong. “The current problem is that house prices are too expensive in relation to the buyers’ income. This has resulted in some prospective house buyers having their loan applications rejected. However, the solution is not to relax lending guidelines but to find ways to lower property prices. The relaxation of lending guidelines will surely worsen the situation and speed up the road to a ‘homeless generation’ that HBA has been warning about for years,” he told SunBiz, addressing the Real Estate and Housing Developers Association’s (Rehda) call for banks to be less strict in their l...Read More

House buyers body tells developers: You are to blame, too

PETALING JAYA: Housing developers shouldn’t blame the authorities for houses being expensive as they, too, contribute to the inflated housing prices, the National House Buyers Association (HBA) said. Speaking to FMT, HBA honorary secretary general Chang Kim Loong agreed with the statement of the Real Estate and Housing Developers Association (Rehda) that government intervention was needed to bring down the prices of properties. Earlier, in a Malay Mail Online report, Rehda president Fateh Iskandar said that prices of homes were unlikely to drop without the intervention of the authorities as developers had to bear the costs of building utilities such as drainage, sewerage and roads. He also cited regulatory costs such as the new levy imposed on steel and land conversion costs by state gover...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

HBA applauds implementation of BTS policy by KPKT

KUALA LUMPUR: The National House Buyers Association (HBA) hails the announcement made by the Minister of Housing and Local Government Zuraida Kamaruddin to ensure housing projects adhere to the build then sell (BTS) concept. According to the statement, the HBA supports the overwhelming benefits of the BTS 10:90 that the present housing minister is referring to. The system that was referred to is not an absolute BTS concept but a hybrid that the HBA termed as build then sell 10:90 (BTS 10:90). Briefly, in this system, buyers pay 10% down payment upon signing the Sales and Purchase Agreement (SPA) and the remaining 90% will be payable upon completion with the issuance of Certificate of Completion and Compliance (CCC), with utilities connected and houses ready for immediate occupation. This i...Read More

Easing lending guidelines not the solution: HBA

PETALING JAYA: Relaxing banks’ lending criteria is not the solution to address the issue of access to affordable housing loans, said the National House Buyers Association (HBA) secretary-general Chang Kim Loong. “The current problem is that house prices are too expensive in relation to the buyers’ income. This has resulted in some prospective house buyers having their loan applications rejected. However, the solution is not to relax lending guidelines but to find ways to lower property prices. The relaxation of lending guidelines will surely worsen the situation and speed up the road to a ‘homeless generation’ that HBA has been warning about for years,” he told SunBiz, addressing the Real Estate and Housing Developers Association’s (Rehda) call for banks to be less strict in their lending ...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

Do necessary checks before buying

THE NATIONAL House Buyers Association (HBA) refers to the statements from the Real Estate and Housing Developers’ Association Malaysia (Rehda) that the recent proposal from the Minister of Urban Wellbeing, Housing and Local Government, Tan Sri Noh Omar for eligible property developers to be given a moneylender license is only for the property developers to lend money to buyers as a “bridge” for downpayment on their home purchases and not as a full loan as speculated claiming that most bank loans today will only give margin of financing of 80% compared with 90% previously. HBA reaffirms our earlier view that despite the clarification from Rehda that developers lend money to buyers as a “bridge” for down payment for houses priced at RM500,000 and below, this proposal is still detrimental to ...Read More