Putrajaya: The Ministry of Housing and Local Government (KPKT) has resolved 1,647 'sick' and abandoned private housing projects worth RM153 billion, benefiting nearly 200,000 homebuyers to date, said its Minister Nga Kor Ming. He stated that this achievement was due to the efforts of the Special Task Force on Sick and Abandoned Private Housing Projects, which was established in January 2023 to tackle the issue and deliver a significant impact to the public.
According to BERNAMA News Agency, Nga announced that the ministry aims for zero abandoned housing projects by 2030 as part of the national housing sector reform agenda. This initiative is supported by several mechanisms, including the Housing Integrated Management System (HIMS), Transforming and Empowering Data Usage in Housing (TEDUH), the electronic Sale and Purchase Agreement (e-SPA), periodic audits of the Housing Development Account (HDA), and the Option to Purchase (OTP), expected to be introduced later this year. He explained that the OTP mechanism allows developers to withdraw from a project within a specified period if sales are sluggish, with buyers receiving a full refund of their deposits.
Additionally, Nga stated that buyers would have the right to withdraw within a stipulated period, subject to payment of administrative charges or interest to the developer. This mechanism is anticipated to reduce the number of abandoned projects while safeguarding consumer interests and the sustainability of the national property industry.
Nga also mentioned that the government aims to build one million affordable homes over 10 years under the 13th Malaysia Plan (13MP), with targets based on actual housing needs and demand determined through big data analytics. Artificial intelligence (AI) technology will be used to identify suitable locations, housing types, and price ranges.
He highlighted that Malaysia's home ownership rate currently stands at 77 percent, compared to 42 percent in Germany, 65 percent in the United Kingdom, and 66 percent in the United States. The government has allocated RM40 billion through the Housing Credit Guarantee Scheme (SJKP) to assist first-time homebuyers purchasing properties priced up to RM500,000, including gig workers, entrepreneurs, and small traders without fixed incomes. Approximately RM18 billion remains available under the scheme, with 17 major financial institutions serving as strategic partners.
Nga reported that about 95,000 individuals, including those from the B40 group, have benefited from the scheme. Eligible applicants are Malaysians aged 18 and above purchasing their first home valued at no more than RM500,000.
In his speech, Nga emphasized that the National Housing Policy (DRN) 2026-2035 reflects the MADANI government's commitment to ensuring every citizen has access to quality and affordable housing. The policy, themed 'Humanising Housing', shifts the focus from merely building houses to creating high-quality, safe, inclusive, sustainable, and liveable communities aimed at enhancing the people's well-being.