‘STATES CAN HAVE OWN HOUSING GUIDELINES’

Minister says they can set lowest price for properties to be bought by foreigners

EACH state can have its own guidelines on the minimum price for condominiums and apartments to be purchased by foreigners, says Housing and Local Government Minister Zuraida Kamaruddin.

As the property overhang and its related figures differed from one state to another, she said, they could consider implementing the guideline if it was suitable.

“I’ve no problems with Penang having its own set of guidelines. Its situation is different. The Penang government can set the guidelines accordingly.

“It knows the suitable threshold for the state. Hence, it should scrutinise the policy,” she said.

Zuraida said this after opening the Local Government Empowerment Convention, which was held in conjunction with 7th Asia Pacific Urban Forum, here yesterday.

During the 2020 Budget tabling last Friday, Finance Minister Lim Guan Eng said the government would lower the threshold on high-rise property prices in urban areas for foreign ownership, from RM1 million to RM600,000 starting next year.

This, he said, was to reduce the supply overhang of condominiums and apartments, which in the second quarter of this year stood at RM8.3 billion.

Penang Housing, Town and Country Planning Committee chairman Jagdeep Singh Deo earlier said he would bring the policy to the state executive council meeting for consideration.

Penang’s guidelines for foreign property ownership is a minimum of RM3 million for landed property and RM1 million for condominiums on the island.

The price for the mainland, meanwhile, is a minimum of RM1 million for landed properties and RM500,000 for condominiums.