9 things you should know about RUMAWIP

Residensi Wilayah (RUMAWIP) is one of the initiatives by the government to help Malaysians to own their first property.

Putrajaya – the country’s federal administrative district. © katiegailphoto/ Pixabay

RUMAWIP is the affordable housing programme by the government in an effort to help lower and middle-income groups to be a first-time homebuyer. This programme focuses on all Federal Territories – Kuala Lumpur, Putrajaya, and Labuan. As much as 26 projects in KL are open for application by eligible Malaysians while 80,000 units of RUMAWIP homes are expected to be built within the next five years.

For many first-time home buyers, this is a golden chance for you to look and shop around for your first home sweet home. If you have no idea where to start or what RUMAWIP is all about, we have listed down all necessary information as your guideline.  Here are the 9 things you should know about RUMAWIP.

1. The applicants’ criteria

RUMAWIP applicants must be a Malaysian citizen of at least 18 years old. Priorities are granted for those who:

  • were born,
  • work,
  • or live in any Federal Territories upon the application, especially those who do not own any property in the Federal Territories area.

On top of that, retirees are also eligible for RUMAWIP but are subject to the terms and conditions from time to time.

READ: 4 RUMAWIP projects that are perfect for Indian home seekers

2Income eligibility

The household gross income for individual applicants (single) must not exceed RM 10, 000 per month while married couple must have a total income of no more than RM 15, 000 per month. The husband or wife may apply for RUMAWIP. Nonetheless, only one offer will be given to each household.

3 Affordable housing categories

RUMAWIP offers three categories of affordable housing:

Find out more about strata here.

4. The type of properties and prices 

There are three types of properties:

1. Low-priced house

  • Built up: 700 sf
  • Price: RM 63, 000 (KL and Putrajaya), RM 52, 000 (Labuan)

2. Medium low-priced house

  • Built up: 800 sf
  • Price: RM 63, 001 – RM 150, 000

3. Medium-priced house

  • Built up: 650 sf
  • Price: RM 150, 001-RM 300,000

READ: 7 areas in Klang Valley affordable to middle-income earners

5. It is selling below the market price

RUMAWIP units sell below the market price. The RM 300,000 units have three bedrooms, two bathrooms, and a parking space. On top of that, they have facilities like the swimming pool, gymnasium and a playground. As these units are built at strategic layouts with easy accessibility, it definitely helps the low and middle-income people to have a comfortable life.

Nevertheless, a 10-year moratorium is imposed where the purchased house cannot be transferred or sold to a new owner without the government’s permission, unless to the closest family members or heirs like spouses or children ONLY.

6. Get your deposit ready

Applicants who have successfully obtained a RUMAWIP unit are required to pay to the developer a 10% deposit of the total unit price.  Then, they will proceed on to the next step.  This programme does not provide any funding aid. Thus, the applicants are free to choose their own home financing options.

7. Renting out your RUMAWIP unit

The Federal Territory Ministry gives RUMAWIP owners the flexibility to rent out their properties to a third party but, on a certain term.  You can rent out your units to local tenants ONLY.

8. Applying for a bigger unit

An existing RUMAWIP owner can apply for a bigger house unit provided that the old unit is sold at a price that is agreed by the agency who plans and regulates Residensi Wilayah.

9. Withdrawing from RUMAWIP application

The applicant will no longer be eligible for RUMAWIP if he drops any application of the programme. This is because the application is based on the ‘one-time off’ basis. Any withdrawal of the application will result in no more submission in the future.

ALSO READ: Klang, affordable heaven for properties below RM 300, 000

If you are eligible for RUMAWIP, do apply as soon as possible. Start your registration today as this could be the chance for you to own your first home at an affordable price! Also, check out the studio or one room, two rooms, and three rooms properties that are within the range of RM 400, 000 for your next property investment!

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