THE MALAYSIAN INSIGHT. 29TH OCTOBER: Putrajaya’s move to abolish the Real Property Gains Tax (RPGT) in Budget 2022 will help reinvigorate the property market, the Real Estate and Housing Developers’ Association Malaysia (Rehda) said.
Rehda welcomed the government initiative to abolish RPGT on houses disposed of from the sixth year onwards by Malaysians and permanent residents in the country.
It said RPGT was initially introduced to curb speculation when the property market was buoyant but under the current soft market conditions, the government’s move to remove it is welcomed.
“We hope that this measure will help invigorate our property market to make it more resilient and eventually have a positive multiplier effect on the economy,” Rehda said in a statement today.
“The further allocation of RM1.5 billion to continue with housing programmes such as development of Rumah Mesra Rakyat and maintenance of the public housing units is a step in the right direction.
“Similarly, the RM2 billion guarantees given to banks through the Guaranteed Credit Housing Scheme to assist those in the gig economy and alike, with the ability to pay but without income statement another welcome move.”
Rehda hopes this will encourage home purchase as people now have easier access to home financing.
It is hopeful of other positive measures towards the faster recovery of the property market.
“However, as the nation heals from the epidemic, we hope that this expansionary budget will benefit all sectors of the economy and pave the way for national recovery and growth.
“Rehda looks forward to working with the government in promoting a more stable, healthy and progressive real estate and property sector.”