KUALA LUMPUR, 8 Mac 2011 (Bernama) — Datuk Seri Najib Tun Razak launched the My First House Scheme here Tuesday, and urged the financial institutions involved to make procedures as simple as possible for buyers.
“The scheme may not bring big profits to the institutions, but it is very meaningful to the people,” the Prime Minister said, adding that financing procedures should be made simple to enable the young generation own their first house.
The scheme, which Najib announced when tabling the 2011 budget, allows first-time buyers, especially young people with a family income of less than RM3,000 a month, to get 100 per cent loan from selected financial institutions payable within 30 years.
Najib invited banks which had not joined the scheme to be involved in the government initiative to ensure its complete success in the interest of the people.
So far, the scheme had attracted the participation of more than 20 financial institutions, including Islamic institutions.
The Prime Minister hoped that the scheme would encourage developers to build more houses that Malaysians in general could afford.
He said the government was committed to improving the quality of life of the people in making Malaysia a developed nation.
In moving forward, Najib said,”We always hold on to the principle of inclusivity, which means that the wealth of our nation must be distributed fairly and equitably.”
The government at the same time “upholds the paramount principle of social justice,” he said.
Striving for advanced nation status, Najib said, the government realised the importance of improving the quality of life of the people and creating an environment that could increase productivity and innovation.
The Prime Minister said the rapid economic expansion, the rural-urban drift and the overall increase in disposable income could push up land prices by more than 30 per cent.
“This situation, if allowed to continue, will cause certain groups, especially those just employed and with low or moderately low income, to lose their chance of owning a house,” he said.