As per National Property Information Centre (NAPIC), the median house price in Malaysia costs RM289,646. With the emerging inflation in 2022 followed by an increase in interest rate, the prices of homes are set to spike up. Malaysians who are already struggling to find an affordable home will be more burdened with this added cost.
Foreseeing these dilemmas, banks, private organisations, and developers are coming forth with financing for easy home affordability. Here, we feature 2 such financings introduced in quarter 2 of 2022 to help people buy affordable homes.
-
Social Loan Principles (SLPs) Loan
HSBC Amanah Malaysia Bhd has offered its very first social loan principles (SLPs) based finance in South East Asia to Jayyid Land Sdn Bhd. Jayyid is a joint venture company of Platinum Victory and Jakel Group.
SLP is managed by the international capital markets association that complies with guidelines to promote transparency, disclosure and reporting in the social bond market. It aims to address the house affordability issues that urban property buyers face in Malaysia, especially in big cities, due to rapidly escalating property prices.
HSBC granted the loan to Jayyid so that they could enhance the socio-economic activities present in their development. Jayyid will use the loan amounting to RM136 million to develop J Satine’s affordable residential homes in Setapak, Kuala Lumpur.
The project consisting of 2,068 units, has affordable pricing to cater to mass people. It is under Residensi Wilayah Keluarga Malaysia, the housing programme that collaborates with private sector developers to promote affordable properties.
Jayyid is a part of HSBC’s bigger plan that aligns with the 12th Malaysia plan to offer another 500,000 units of standard affordable homes to Malaysians by 2025. The bank also plans to invest RM1 billion toward green and sustainable financing. They believe it would help more developers to build environmentally friendly and reasonably priced housing in the country.
-
Johor Affordable Housing Scheme
Real Trend Development Sdn Bhd (RTDSB) and Malaysia Pacific Corporation Bhd (MPCB) have signed a memorandum of understanding (MOU) to develop the Johor Affordable Housing Scheme jointly. MPCB believes the collaboration will generate synergistic results that will boost the developments under this scheme.
More commonly known as Rumah Mampu Milik Johor (RMMJ), this scheme will contribute to the state’s residential housing with a gross development value (GDV) of RM85.5 million. In addition, it will cater to a commercial project comprising shop offices with RM62.8 million GDV value.
The housing project consisting of 570 units will be built in 3 phases. The development expects to draw a proposed net profit of RM865,779. On the other hand, the commercial development will build 100 units of shop offices and is expected to draw a net profit of RM14.17 million.
For the latest updates on affordable home schemes, stay tuned to the Guyub news portal.
