Penang Government new housing measure only help developers

Penang Government new housing measure only help developers

GEORGE TOWN, October 19 — The Penang government’s new measures on affordable home only benefit the developers not the lower-income earners, said Penang Gerakan Youth Legal and Public Complaints Bureau Chief Jason Loo.

Loo said the new affordable home measures, which increased the nett household monthly income, would only help the developers to sell their units.

He said according to a recent survey, 49% of Penangites had a monthly household income of less than RM4,000 and they still could not afford to buy a house in the state.

“The state government needs to address the problem by reducing the prices of property in all affordable home categories instead of helping the developer by increasing the monthly household income,” he told reporters here today.

He said with the new measures, those who earned below RM4,000 still could not afford to purchase their first home.

Last Monday, State Town and Country Planning and Housing Committee chairman Jagdeep Singh Deo announced the increase the household income ceiling for applicants of affordable housing in the state to enable more people to apply for a bank loan to buy a house.

However, Loo said the state government’s RM150,000 special affordable home category also did not help as these units did not come with a car park and furnishing, which could cost another extra cash for buyer.

He also suggested to the state government to reduce the current prices of RM200,000 to RM400,000 affordable homes to ensure Penangites could really afford to own them.

“Blaming the federal government and also Bank Negara would not resolve the problem,” Loo pointed out.

The Penang government’s new affordable home measures increased the household income ceiling for affordable housing of RM200,000; RM300,000 and RM400,000 to RM8,000; RM10,000 and RM12,000 from RM6,000; RM8,000 and RM10,000 respectively