KUALA LUMPUR: Mah Sing Group Bhd is urging the government to consider several initiatives including relaxing loan approvals in Budget 2017 for first-time home buyers.
Mah Sing Group managing director Tan Sri Leong Hoy Kum urged the banks to consider relaxing loan approvals and provide up to 95 per cent financing for first homes, 90 per cent for second homes and 70 per cent for third homes.
“This also includes a higher debt service ratio of 70 per cent to 80 per cent for first home buyers and loan tenure extending from 35 years to 40 years for first home buyers,” he said in a statement yesterday.
The property developer also wants the government to consider increasing the percentage allocation for the Employees Provident Fund (EPF) Account 2 from the current 30 per cent to 40 per cent.
He also called for a reduction in connection charges by utility companies and land conversion premiums, as well as for the release of government land for joint ventures with private developers.
Mah Sing said as the property industry has a larger multiplier effect than other industries, stimulating it should have a larger impact on the wider economy.
“We laud the government’s continuous initiatives to encourage home ownership, especially for first-time home buyers.
“We are also aware of the government’s concerns about the affordability of properties,” added Leong. — Bernama