Penang Low-Cost Homes Are Out of Reach

28 Feb 2017


Many people have recently complained, especially those from lower-middle class, that they were not allowed to buy an affordable house in Penang as their incomes made them ineligible, according to the state’s Gerakan Vice Chairman Oh Tong Keong, reported Free Malaysia Today.

“It appears that if you want to buy affordable Penang housing, you should have a combined income of RM10,000. I feel that the state government is sweeping away the lower income and low-middle income group by rejecting their applications.”

For example, a couple in their mid-20s told him last Saturday that they are not qualified for a RM200,000 unit despite their combined salary of RM4,000.

“On top of the RM200,000, it is most likely they would have to pay extras,” Oh alleged.

Based on Penang’s affordable housing rules, flats costing RM42,000 can only be purchased by families with a combined income of up to RM2,500 per month. The income eligibility for units valued at RM72,500, RM150,000, RM200,000 and RM300,000 stands at RM3,500, RM6,000, RM8,000 and RM10,000 respectively.

State Executive Councillor in charge of housing Jagdeep Singh Deo said earlier this month that 20,887 low-cost homes have been completed in Penang since 2008, with another 65,796 units in the pipeline over the next 10 to 15 years. In comparison, merely 5,124 affordable homes were built when Barisan Nasional controlled the state from 2000 to 2007.


Radin Ghazali, Content Writer at PropertyGuru, edited this story. To contact her about this or other stories email


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