KUALA LUMPUR (Oct 13): PropertyGuru Malaysia lauded the government’s decision to impose a 4% stamp duty on any housing transactions involving non-Malaysians or private foreign organisations, except for permanent residents, as a measure to control property prices in the local market. 

According to PropertyGuru Malaysia's third-quarter market report, there is a mismatch between consumer demand and property prices, with continued resistance from potential homebuyers towards higher asking prices, said PropertyGuru Malaysia country manager Sheldon Fernandez.  

“Paired with the initiative to increase allocations for the existing Housing Credit Scheme to RM10 billion, benefiting 40,000 Malaysians, this could encourage potential homebuyers to take the first step to fulfill their homeownership dreams,” he said in a statement.  

Meanwhile, Juwai IQI co-founder and group chief executive officer Kashif Ansarim said the revamped system marks a departure from the previous complex framework, eliminating the reliance on property valuations for determining stamp duty costs.  

“Simple measures like the stamp duty reform may not have a big impact on the market, but they make transactions less stressful and complicated, which is good for everyone,” he added.  

Regarding the RM1 billion grant aimed at incentivising developers to revitalise abandoned housing projects, as identified by the Ministry of Local Government Development, it was noted that this initiative will benefit consumers who had previously invested in these projects, said Fernandez. 

“On that note, we hope that the government will work closely with participating developers to ensure new housing projects meet potential buyers’ diverse preferences and needs, as we have seen through the PropertyGuru Consumer Sentiment Study 2H2023 (for the second half of 2023) that 38% of the respondents voiced the need for more attractive home choices within the affordable housing segment,” he added.  

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