COMPANY HOPES GOVERNMENT WILL PROVIDE MORE IMPETUS FOR FIRST-TIME HOME OWNERSHIP AND FACILITATE BETTER ACCESS TO HOME LOANS IN UPCOMING BUDGET
As part of its wish list for Budget 2019, veteran developer LBS Bina Group Berhad (LBS) says it is hopeful for policies that will help empower first-time home buyers face the current challenges of home ownership.
“As a Malaysian property developer, we remain committed to helping more people realise their dreams of owning a home by providing more affordable homes,” said group managing director Tan Sri Lim Hock San.
He said LBS’ experience in the property development industry for over two decades has allowed the company to understand the evolving needs of home buyers. As such, LBS has highlighted some suggestions that the government should consider for Budget 2019, in order to help the nation achieve its aspiration of increased home ownership while providing home buyers vital assistance in securing homes in accordance to their budgets.
Firstly, LBS proposes the introduction of a special end financing scheme to ease the high loan rejection rate due to stringent loan financing rules.
“In our experience, we have encountered many interested home buyers who experienced either loan rejection or were only eligible for lower-than-expected loans. We believe those in the middle- and lower-income groups will benefit from a special end financial scheme, as it eases the financial burden they face,” Lim explained.
Secondly, LBS suggested that more flexible end financing guidelines be adopted with the support of Bank Negara. This will greatly empower first-time home buyers financing capacity and bring them closer towards realising their dream of owning a home.
Known for building communities and townships, the developer also brought attention to growing families, and the urgent need to cater to their upgrading needs. This is a growing demographic in the country and they currently have poor access to financing and are finding it difficult to cope with their expanding families with limited access to funds to upgrade to a better quality of life.
“For the third suggestion, we also hope Bank Negara Malaysia (BNM) will consider increasing the tenure of housing loans from the present 35 years to 40 years,” Lim added.
LBS also hopes that the current administration would consider an exemption on stamp duty for loan agreements involving properties under RM500,000. This, coupled with other strategies would bring greater flexibility with housing loan policies and improve sentiments in the market.
“We pledge our support towards efforts that promote better quality of life for the Rakyat and a stable yet thriving economy. Moving forward, collaboration between the public and private sector is key in both raising the local property sector to meet world class standards. We look forward to continue playing an active role on this front,” Lim said.