Cautiously optimistic of the property market’s outlook, REHDA is hoping for a better market performance in the first half of 2021.
“With the ending of the moratorium, which falls on Sept 30, I think financial institutions are giving targeted help both through extended moratoriums and also through restructuring and refinancing of loans for those buyers who still need assistance,” said REHDA President Datuk Soam Heng Choon as quoted by Bernama.
“This is because there may be people who are still unemployed or have had salary cuts in certain sectors of the economy — that has not seen recovery, especially those in the hospitality sector.”
He made the statement at a press conference for the upcoming HOC-Malaysia Property Expo 2020-2021.
To be held at the Mid Valley Exhibition Centre, the expo will run from 2 to 4 October.
Believing that Malaysia is doing a good job in tackling the COVID-19 pandemic, Soam said this projects a positive picture encouraging the public to buy properties.
Moreover, people have started “to realise that property is one of the better investments to protect them against depreciating currencies globally”, he added.
In a bid to help a certain group of people, including those in the economy, get up the property ladder, Soam revealed that discussions, which include that on the rent-to-own scheme remain on the table, but the government has to play a bigger role and have the financial institution to participate.
“I think there have been some banks out there providing step-up financing, meaning that in the first five years, you don’t pay your principal, but you only pay the interest. Only after five years, you pay the principal plus interest,” he said.
He shared that the association is encouraged by the idea given that by the end of the loan period under this scheme, the total quantum paid in principal including interest is more or less similar to that in the conventional process.
On the HOC-MAPEX 2020, REHDA said it is not setting any sales target since this year’s event only started in August.
“All we can say that we are not expecting the figures to be on the level as in 2019,” said REHDA Vice President Datuk Tong Nguen Khoong.
With admission free to the public, the event will feature 35 exhibitors, which include 25 developers, three financial institutions and six government agencies.
The 2019 event saw around 57,000 units of property sold for a total value of around RM37 billion.
Unveiled by Prime Minister Tan Sri Muhyiddin Yassin on 5 June, the HOC 2020-2021 is an initiative under the government’s Short-term Economic Recovery Plan (PENJANA) where Malaysian homebuyers will be exempted from stamp duties when they acquire a residential property between 1 June 2020 and 31 May 2021.
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