PROPERTY NEWS: According to KPKT, OPR increase does not diminish interest in buying affordable homes.

Key takeaway:

The 2022 Jom Beli Rumah Carnival, which begins on Friday (July 15) at the Mid-Valley Exhibition Centre in Kuala Lumpur, is not expected to be impacted by the Overnight Policy Rate (OPR) hike in the public's desire to purchase affordable homes.

According to Datuk M. Noor Azman Taib, secretary-general of the Housing and Local Government Ministry (KPKT), the primary motivation to purchase homes "below market price" is the 10,000 affordable homes priced below RM300,000 featured during the three-day carnival.

According to the market, properties in Kuala Lumpur may cost RM400,000; but, you will be purchasing a home below market value, so that is part of the enticement, according to Noor Azman.

He added, "We estimate 20,000 guests to attend the carnival in order to take advantage of the homeownership opportunities."

The Monetary Policy Committee of Bank Negara Malaysia (BNM) decided to increase the OPR, which serves as the benchmark for loans and savings, by 25 basis points, or 0.25 per cent to 2.25 per cent, on July 6. After the OPR has hiked 25 basis points to 2.00 per cent in May, this is the second consecutive hike this year.

According to M. Noor Azman, the many incentives and refunds provided, such as the stamp tax exemption for the years 2021 to 2025, are also among the carnival's attractions.

The implementation of a complete stamp duty exemption offered on transfer documents and loan agreements for first-time homebuyers on residential properties priced at RM500,000 and lower was announced by Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz when the 2021 Budget was presented.

He said that the carnival's i-Biaya booth, which offers simple housing finance options, is also meant to inspire young people who wished to purchase a home, particularly those labouring in the gig economy.

The Housing Credit Guarantee scheme (SJKP), My First Home scheme (SRP), and the PR1MA Rent-to-Own scheme are the three financing options provided by the KPKT and Ministry of Finance initiative known as i-Biaya.

©️ July, 2022, EdgeProp.my