According to Kenneth Soh, Country Manager, Malaysia, PropertyGuru, and iProperty, as Malaysia prepares for the announcement of Budget 2025, they at PropertyGuru Malaysia are optimistic that upcoming fiscal policies will continue to strengthen the property sector, empowering Malaysians with greater access to homeownership.
“We recognise the government’s ongoing efforts to tackle housing affordability, financing, and sustainability. With Budget 2025 on the horizon, we see opportunities for additional measures to further enhance the property market and meet the evolving needs of Malaysian homebuyers,” shared Kenneth.
Tailoring Affordable Housing Programmes to Meet the Diverse Needs of First-Time Buyers
The affordability of homes continues to be a central concern for many Malaysians, particularly first-time homebuyers.
The government’s commitment to affordable housing projects through programmes like the 1Malaysia Housing Programme (PR1MA) and Projek Perumahan Rakyat (PPR) remains crucial in boosting the supply of homes in the affordable range.
According to the PropertyGuru Malaysia Consumer Sentiment Study H1 2024, PR1MA is the preferred choice for 23% of respondents, especially middle-income earners in their 30s. Rumah Selangorku was favoured by 15% of respondents, predominantly those married with children, while PPR was chosen by 14%, primarily from the low-income bracket.
These findings underscore the need for tailored housing initiatives to meet the preferences of various demographic groups. We urge the government to continue collaborating with financial institutions to offer flexible loan packages, favourable interest rates, and periodically revise policies to align with evolving housing demands.
Emphasising Sustainability in Housing Development
Sustainability has become a key focus in global development, and Malaysia is no exception. We believe Budget 2025 should include policies that encourage green building practices, benefiting both the environment and homeowners. Tax incentives or rebates for developers incorporating energy-efficient designs and materials could help accelerate the adoption of sustainable practices in the property sector.
For homeowners, incentives such as grants for solar panels, energy-efficient appliances, and water-saving devices can reduce household expenses while promoting a sustainable, eco-friendly lifestyle.
Additionally, introducing green home certification programmes that reward sustainable design would further motivate developers and buyers to prioritise environmental considerations.
Addressing Housing Needs for Underserved Communities
“In our commitment to ensuring equitable access to housing, we hope Budget 2025 continues focusing on initiatives aimed at underserved communities, including the low-to-middle income segment. Tailored assistance programmes, such as targeted homeownership grants and low-cost housing projects, can play a transformative role in improving the lives of Malaysians, especially those in the B40 and lower middle-income brackets, while promoting social equity in homeownership,” said Kenneth.
Furthermore, affordable rental housing should be a key consideration for those not yet ready or able to buy a home.
Expanding rent-to-own schemes or creating rental subsidies for lower-income groups can provide secure housing options while helping individuals and families transition to homeownership in the future.
Facilitating Ongoing Industry Dialogue
“We urge the government to maintain open dialogue with property sector stakeholders, including developers, financial institutions, buyers, and advocacy groups. This collaboration will ensure that policies introduced are well-informed, balanced, and forward-thinking. By fostering ongoing engagement, the government can better address the challenges faced by the property industry and implement solutions that promote long-term sustainability and inclusivity,” he said.
Kenneth is optimistic that Budget 2025 will introduce forward-thinking policies that meet the evolving needs of the property market, especially for first-time buyers, underserved communities, and developers. “At PropertyGuru Malaysia, we remain committed to advocating for property consumers and working closely with the government and industry partners to ensure sustainable growth and homeownership opportunities for all Malaysians,” he concluded.
