7 govt housing schemes first-time buyers must check out

April 1, 2019 editor

In late September last year, Finance Minister Lim Guan Eng gave a stern warning to property developers to reduce house prices on a national level.

So far, developers in Penang have agreed to reduce prices between 6% and 10%.

“If this does not happen, then the government may have to rethink the exemption given and find new ways to make houses affordable, especially to first-time buyers,” the finance minister said in the report in TheStar.

Despite properties and lands being tax-free, many aspiring homeowners in Malaysia are concerned about the prices of residential properties being too high.

Additionally, buyers must also pay for taxed services involved in the transaction of a property such as the services rendered by solicitors, architects, and engineers.

For first-time home buyers or those who don’t earn much, you can still make your dream of owning a house a reality. Shop around for the best home loans or check out our list of government housing schemes that might interest you.

Here are seven government housing schemes you can consider applying for, based on your location or income level.

1. RUMAWIP

Target buyers: Middle and low-income groups residing and working in the Federal Territories (Kuala Lumpur, Putrajaya, and Labuan).

Types of properties offered: Studio apartments and stratified homes with two or three rooms.

Income requirements:

Joint borrowers: Household income of no more than RM15,000 a month
Single borrowers: Household income of no more than RM10,000 a month

2. Perumahan Awam DBKL

Target renters: Low-income groups residing or working in Kuala Lumpur can rent a low-cost home, provided they don’t own a home within 35 km from the city centre. Only married borrowers can apply. Renters can later purchase the home if they wish to do so.

Types of properties offered:

PPR MTEN (public housing units): Studio units, 1-3 room units
Medium low-cost houses (available in Gombak 2, Kuang/Kenari, Seri Pangkor, and Seri Tioman 1)

3. Skim Rumah Selangorku (IPR 15)

Target buyers: Middle-income groups in Selangor can own a home valued at no more than RM250,000. Single borrowers can also apply.

Types of properties offered:

Type A: 700 sq ft
Type B: 750-799 sq ft
Type C: 800-899 sq ft, 900-999 sq ft, and 18×60 sq ft
Type D: 1000 sq ft and 20×60 sq ft

Income requirements:

For Type A homes: Household income of no more than RM3,000 a month
For Type B, C, and D homes: Household income of RM3,001 to RM10,000 a month

4. Skim Perumahan Mampu Milik Pulau Pinang (PMM)

Target buyers: Middle and low-income groups born or residing and working in Penang and are a registered voter in Penang may purchase a home located in the island.

Types of properties offered: Type A, B, C1, C2, and C3