Some 180 developers in Malaysia hope to offload RM22.5 billion worth of unsold properties next month at a real estate expo here but will the banks support the transactions by easing their lending clampdown?
The value of units sold during the expo would highly depend on the discounts that the developers are willing to offer to prospective buyers, the type of properties, location and housing loan approvals.
While banks have always offered the lending option to property purchasers, which is essentially their core business, house loan gets rejected even though the buyers have clean Central Credit Reference Information System (CCRIS) record. This can be disheartening to many people and they tend to shy away from the market.
Although developers are offering rebates and freebies for new launches and investing a lot in sales galleries to promote their products to buyers, transactions fell last year.
Developers want Bank Negara Malaysia (BNM) to ease lending measures affecting the property sector to enable more people to buy.
Media Title: New Straits Times
Date: 7 Feb 2019