Financing Guarantee of up to 120 Percent Facilitates First-Time Homeownership

By: Rosli Mansor

KUALA LUMPUR: The Unity Government today announced a financing guarantee of up to 120 per cent of the value of homes priced up to RM300,000.

Prime Minister Datuk Seri Anwar Ibrahim stated that the government is improving the loan scheme under the Housing Credit Guarantee Corporation (SJKP) by providing this financing guarantee of up to 120 per cent, which will allow all housing ownership costs to be covered through loans.

“This includes the principal financing amount, legal fees, valuation fees, insurance, as well as the purchase of furniture and renovation costs,” he said while announcing the ‘Economic Madani: Empowering the People’ initiative today.

Anwar, also the Finance Minister, mentioned that as a result of the improvements to SJKP, a government guarantee of up to RM5 billion will be provided.

Additionally, the Prime Minister said that the Ministry of Local Government and Housing Development is working on the National Housing Action Plan, which includes the need for housing supply based on metrics such as the median house price for median income.

Anwar stated that the provision of public housing will also continue, along with boosting the rental market to meet housing demands.

Through the Economic Madani initiative, the Prime Minister pledged that the government is committed to ensuring that all citizens have universal access to basic infrastructure, whether water supply or electricity.

“People in rural areas deserve to have world-class basic services. As of 2022, 97 percent of Malaysia’s population has access to treated water supply,” he said.