Story by Chan Lilian
JAGDEEP Singh Deo, exco member for Housing and Town & Country Planning recently hit out at Budget 2016.
“The budget is very disappointing. Is the Prime Minister who is also the Finance Minister ill-advised? The entire housing industry knows that the housing loan rejection for first time home buyers is very high. Therefore, there is no logic at all for the setting up of funds to help first time home buyers to pay the deposit. If the first time home buyer cannot even afford the deposit, how are they going to service the loan?” Jagdeep asked.
“The grandiose announcement of the budget means nothing. It is the same old package of recycled products. For example, RM155 million was announced for the TP1M (Tabung Perumahan 1Malaysia) which is meant for repairs and maintenance of high-rise public housing and low-cost flats. However, every year Penang’s applications are hard to be approved,” he added.
“If I may suggest to the Prime Minister cum Finance Minister, he should use the RM2.6 billion reportedly donated to him as a revolving trust fund to help first time home buyers to purchase a home. In Western Australia, they have the Keystart programme to help people to buy a home through shared ownership,” Jagdeep said.
Having expressed his disappointments at the recent budget, Jagdeep revealed that the Penang state government is looking at innovative method to ensure that the people, especially the first time home buyers, get a home.
He said further details will be released soon but it is a positive step towards home ownership.
”Looks like we have to look into this matter ourselves. That way, we will be able to improve the take up rate of affordable homes,” Jagdeep said.
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