Malaysia Budget 2013 - Housing

Below are few announcements of Malaysia budget 2013 which are housing developments related : 

1. Affordable housing in Malaysia budget 2013

123,000 units to be built, in areas such as Sungai Buloh and Seremban;

2. First home scheme  in Malaysia budget 2013

 income cap raised from RM3,000 to RM5,000. Join income limit is RM10,000. Applies only for houses below RM400,000;

3. Duty Stamp 2013  in Malaysia budget 2013

Up to 50 percent stamp duty exemption for first home owners until Dec 14, 2014;

4. RPGT 2013 (Real property gains tax 2013)  in Malaysia budget 2013

Real property gains tax 2013 (RPGT) for properties sold within two years of purchase raised to 15%; 2-5 years 10%. No RPGT for properties sold five years after purchase;

5. Abandoned projects  in Malaysia budget 2013

Tax breaks and incentives for contractors and banks who offer loans to contractors to revive abandoned housing projects. Original buyers of abandoned projects will be exempted from stamp duty for loan refinancing or ownership transfer agreements.

My First Home Scheme by Malaysia

If you are staying in Malaysia, may be you have heard of this My First Home Scheme, may be not.
 

My First Home Scheme by Malaysia

Let me share with you this if you have not heard about this. The My First Home Scheme  was announced in 2011 during Malaysia budget in order to assist young adults to own their first home with up to 100% financing from Financial Institutions.

My First Home Scheme by Malaysia

Who is entitled for this scheme?

• Malaysian citizen
• First time home-buyer
• Individuals up to age 35 years
• Single borrowers with gross income less than RM 3000 per month
• Confirmed employee with minimum employment of 6 months with same employer
• Repayment of total commitment amount must not be more than 55% of the gross monthly income

What is the property that you can choose?

• Residential properties located in Malaysia only
• Property value between RM100k to RM400k
• For the purpose of owner occupation only (buyers are required to reside in the property)

How to apply?

• Eligible buyer will need to apply directly with participating banks

What are the financing requirements?

• Financing tenure not exceeding 40 years, subject to borrower’s age not exceeding 65 years at the end of financing tenure
• Amortizing facilities only (no redrawable features)
• Installments payable via monthly salary deductions or standing instruction
• Savings record ( 3months installment liquidity reserve)
• Compulsory fire insurance / Takaful

Which are the participating banks / financial institution? 

• Affin
• Alliance
• Ambank
• Bank Islam
• Bank Muamalat
• CIMB
• Hong Leong
• Maybank
• OCBC
• Public
• RHB
• Standard Chartered
• UOB