Extend HOC benefits to secondary market, says MIPEAC

The Malaysian Institute of Professional Estate Agents and Consultants (MIPEAC) hope the government will extend the incentives under the Home Ownership Campaign (HOC) to the secondary market.

The HOC will run until May 31, 2021.

In a statement MIPEAC president, Francis Loh the incentives should be extended to first-time house buyers looking to buy from the secondary market.

He said this would give the property market a boost.

“If exemptions and incentives are also extended to the secondary market, this will allow the secondary market which constitutes the bulk of the property market to be more active and positively impact the economy as a whole,” he said.

According to the data from the National Property Information Centre, the secondary market accounted for 80 per cent of all property transactions in 2019.

The secondary market refers to previously owned properties, while the primary market refers to new properties by developers.

The re-introduced HOC, under the National Economic Recovery Plan (PENJANA), offers up to RM1 million in stamp duty exemption for the instruments of transfer for the purchase of properties priced from RM300,000 to RM2.5 million.

There is also 100 per cent stamp duty exemption for the financing agreement. The exemption is applicable to sale and purchase agreements inked between June 1, 2020 and May 31, 2021 for properties that include a minimum 10 per cent discount by developers.

Source: NST