500,000.
That’s the number of affordable homes that the government plans to build as part of the 12th Malaysia Plan.
After years of watching the property market balloon up beyond the reach of most lower income Malaysians, our government has put together several initiatives aimed at making sure that those in the B40 and M40 groups would also be able to afford homes of their own.
And Karnival Jom Beli Rumah is just the latest one.
What Is This Karnival?
Karnival Jom Beli Rumah is part of the Home Ownership Programme (HOPE) that was launched on Friday, 15 July 2022. These campaigns aim to assist first-time homeowners, especially those in the B40 and M40 groups.
“This campaign will have more than 130,000 affordable homes and over 330,000 free-range properties on offer for the rakyat,” said Housing and Local Government Minister Datuk Seri Reezal Naina Merican.
“Homebuyers can enjoy special offers at this Karnival, such as discounts, legal fee reductions as well as instalment facility for deposit payments.”
One of the biggest offers available for first-time home buyers will be a 100% stamp duty exemption for any houses that cost less than RM500,000.
Properties between RM500,000 and RM1 million will receive a 50% stamp duty discount, while anything more expensive will be priced as normal.
This applies for all sales and purchase agreements from June 2022 to December 2023.
The exemption was announced by Prime Minister Datuk Seri Ismail Sabri Yaakob during the launch event as a way to help Malaysian families own their first homes.
“Although this stamp duty exemption will reduce revenue collection for the country, I would like to stress that this is the government’s commitment towards all Malaysian families,” he said.
So What Does This Mean For Us?
To put it simply, if you’re one of those young Malaysians who’ve held off on getting your own place to live, now is the perfect time to dive into the world of property ownership.
Even if you’re still on the fence, it’s still a good idea to pay a visit and see just what kind of resources are available for you. Of course, since this Karnival‘s a big place, we’ve put together a list of booths that should definitely be in your ‘Must See’ list.
1) The Financial Institutions
Okay, this is less of a single booth and more of a ‘type’ of booth.
The moment you enter the event hall, it might be tempting to head straight towards all the big property developer booths with the building models and big TV screens. However, before you go oohing and ahhing over all the fancy houses and condo units for sale, it might be a good idea to know what your budget is first.
If you look to the right of the entrance, you’ll see a whole row of rather similar looking booths belonging to financial institutions such as Bank Rakyat, BSN and so on. These are the guys that you’ll probably be taking a loan from, so paying them a visit first may be a good way to figure out what kind of loans you’re eligible for and just how much you can actually afford.
2) Kumpulan Wang Simpanan Pekerja (KWSP)
Of course, the banks aren’t the only source of money available. If you’ve been working for a while, it might be good to see just how much money you’ve got saved up in your EPF account.
Luckily for you, there’s a KWSP booth here that’ll let you do it for free. Just bring your IC card and wait in line, and they can help you calculate exactly how much of a buffer you have saved up already.
3) Agensi Kaunseling dan Pengurusan Kredit (AKPK)
The AKPK, aka the Credit Counselling and Debt Management Agency, is an agency set up by Bank Negara to provide financial advice and credit management skills to those who need it the most.
If you’re feeling worried about buying a house with your current financial state, be sure to check out their wide range of materials, including self help books to help even the most financially illiterate of us balance the budget.
I should know — I actually bought one!
4) Jendela Anak Muda
Alright, now we’re getting into the actual property side of things. This booth is located way back in the corner, but it’s usually packed full of people.
Why? Because this is where you can find information on the “Rent to Own” scheme.
Simply put, instead of paying a 10% downpayment, this scheme lets you rent a place for five years with the option to permanently purchase it at a set price once those five years are up.
This is especially great for younger families who may not have the earning power to qualify for housing loans. Instead of slowly saving up and watching the property prices just keep getting higher and higher, you can move in immediately and ‘lock in’ the price without needing to have tens of thousands of Ringgit on hand.
5) I-Biaya
Now banks are all well and good, but there are a lot of Malaysians who may have problems securing a loan. Specifically, those Malaysians who work in jobs without fixed income or salary slips (taxi driver, fisherman, delivery driver, etc.).
Fortunately, this booth is where you can talk to Syarikat Jaminan Kredit Perumahan (SJKP), which aims to help ordinary Malaysians achieve their dreams of home ownership.
The SJKP helps you to secure the credit you need in order to purchase the home of your choice. However, note that this only applies to your first house — you’ll have to handle any additional properties on your own.
Happy House Hunting!
For many young Malaysians, this Karnival represents one of the best chances for us to finally spread our wings and achieve one of the pillars of adulthood.
But home ownership isn’t as easy as just slapping down a bundle of cash and collecting your keys. Before you sign anything, it’s important to take your time and search for the place that’s perfect for you.
If you need help choosing the right home, be sure to check out:
Karnival Jom Beli Rumah 2022 (Part One): 5 Tips for Finding Your Dream Home
