KUALA LUMPUR, Oct 20 (Bernama)– Housing and Local Government Minister Datuk Chor Chee Heung has urged small housing developers to adopt the build-then-sell concept by 2015.
“From now until 2015, we are continuing to encourage them, unless they can come up with an iron-clad guarantee that the existing method can provide house buyers sufficient protection,” he told reporters after launching Ecco’s flagship store here Thursday.
“I understand housing developer associations have started to talk with insurance companies to come up with a method where the purchaser is adequately compensated and protected if there are too many housing schemes,” he added.
Prime Minister Datuk Seri Najib Tun Razak had announced in the 2012 Budget that the government would encourage the construction of more houses using the build-then-sell concept.
For this purpose, Islamic banks have agreed to provide shariah-compliant financing and undertake construction risks, with installments only commencing after the house is completed.
This scheme will be implemented for houses costing RM600,000 and below.
Chor also urged the Prime Minister’s Department to give more details on the 1Malaysia people’s housing project, saying there is still a lot of confusion about it.
“It is a very noble way to help first-time house owners and medium-income earners to own houses, but I hope they will help us make the issue clearer,” he added.
Source : Bernama