The requirements to become a housing developer and to get the permit for a housing project will be tightened to ensure only a qualified company is given the approval to develop a housing project.
Housing and Local Government Minister Chor Chee Heung said the tighter requirements were among the amendments to the Housing Development Act, which would be tabled at the Dewan Rakyat by year's end, to overcome the issue of abandoned housing projects, which had been burdening house buyers nationwide.
"We are aware that there are too many irresponsible housing developers, who, when facing financial problems, will simply wash their hands and stop their projects without any strong reasons and end up being blacklisted."
He said this to reporters after visiting an abandoned housing project site in Taman Putra Indah, Bercham, Ipoh on Thursday.
The project, which involves 166 houses to be developed in two phases, had been abandoned by the developer for the past four years.
The minister said, in such circumstances, the house buyers would be the ones at the losing end.
Through the amendments, Chor said the ministry would be able to ensure that every approved housing scheme or project would run smoothly according to the sale and purchase agreement signed between the buyer and the developer.
Besides, he said the amendments would also tighten the permit application procedures for housing development and sales.
He said that amendments were proposed after taking into consideration the views and suggestions from various quarters including the Real Estate and Housing Developers' Association (REHDA). - Bernama