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Govt Nod For 'Build And Sell'
Housing Concept - Najib
Bernama 22/6/2006
PUTRAJAYA, June 22 (Bernama) -- The Government has agreed in principle to
introduce the "build and sell" housing concept, with the housebuyers
required to pay 10 per cent deposit and the balance 90 per cent to be paid
after the houses are completed.
This was announced by Deputy Prime Minister Datuk Seri Najib Tun Razak at a
press conference after chairing the 54th meeting of the National Council for
Local Authorities here Thursday.
"Today's decision is only a principle approval because in terms of
implementation, we need to discuss with every state government as there are
other conditions like the total number of low-and medium-cost houses which
should be taken into account," he said.
Najib explained the new concept would be implemented parallel to the
existing system, with the developers interested in the "build and sell"
concept enjoying certain incentives.
"The present system is not abolished as small-and medium-scale housing
developers could ill-afford the new concept.
"They will continue with the present system which involves progress
payment," he said.
Najib said the meeting also agreed to introduce a policy allowing occupants
to buy houses identified under the Public Low-Cost Housing Programme costing
RM35,000 a unit in Peninsular Malaysia.
Prices of the houses are allowed to be raised by up to 20 per cent in Sabah
and Sarawak.
He said Public Low-Cost Housing Scheme was implemented solely to address
squatters' problems.
Many occupants have appealed that they be given the opportunity to own the
houses they have been renting all this while, he said.
Implementation of the policy would be discussed in greater detail with state
governments to identify the housing areas involved with the purchase policy
or remain under the rental scheme, he said.
"In fact, in one public low-cost housing scheme, some blocks will be rented
out while the others will be allowed to be sold to the occupants," said
Najib, adding that several conditions might be imposed such as ownership of
the property cannot be transferred for 10 years.
Elaborating on the "buy and sell" concept, Housing and Local Government
Minister Datuk Seri Ong Ka Ting said attractive incentives are being studied
for developers who opted for the new system also known as "10/90" concept.
-- BERNAMA |
