Housing and Local Govt Ministry reaches 89pc of affordable housing goal nationwide with over 443,000 units completed or planned

KUALA LUMPUR, Oct 22 — The target for the construction of 500,000 affordable homes (RMM) has reached 89 per cent, with 443,259 units completed, under construction, and planned across the country as of September.

The Ministry of Housing and Local Government (KPKT) said that the remaining 56,741 affordable housing units are expected to be completed by the end of the 12th Malaysia Plan (12MP).

“Based on data from the National Property Information Centre (NAPIC), there has been a significant increase in property management activities in the first half of 2024 compared to 2023.

“There has been an eight per cent increase in the number of transactions this year, involving 198,906 property units, with a total value rise of 23.8 per cent to RM105.65 billion compared to 2023,” said the ministry in a written reply to a question from Datuk Iskandar Dzulkarnain Abdul Khalid (PN-Kuala Kangsar) on the Malaysian Parliament website.

Taking into account the encouraging performance of the Malaysia Home Ownership Initiative (i-Miliki) that ended in December, KPKT has requested the government’s consideration to continue this initiative so that more buyers, especially those from the low-income (B40) and middle-income (M40) groups, can benefit.

“According to reports from the Inland Revenue Board (IRB), as of Dec 31, 2023, a total of 8,723 claims for stamp duty exemption worth RM38,373,796.52 were recorded,” it said.

The ministry also informed that the government continues to implement Home Ownership Campaign 2.0 (HOC 2.0) from Jan 1, 2021, to Dec 31, 2025, which offers stamp duty exemptions on instrument of transfer and loan agreement for new homes or secondary market properties valued at RM500,000 and below.

It added that the 2025 Budget allocates additional incentives to encourage first-time homeownership, including individual tax relief on housing loan interest payments, which amounts to tax relief of up to RM7,000 for residential properties priced up to RM500,000, and tax relief of up to RM5,000 for homes priced between RM500,000 and RM750,000.

“This relief can be claimed for three consecutive Years of Assessment on sale and purchase agreements completed between Jan 1, 2025, and Dec 31, 2027,” it said. — Bernama