On Aug 19,2020, Housing and Local Government Minister Zuraida Kamaruddin announced the government’s intention to implement a “vacancy tax” on developers who fail to sell their properties in an effort to reduce the huge overhang of residential units in the country.
The rationale for this tax is supposedly to make developers more sensible and responsible and to carry out more in-depth and thorough feasibility studies to ensure project viability. But, is this an appropriate solution at this weak cycle of the property market?
