? This blog post serves as a useful guide for you to plan your purchase wisely, especially for those who are entitled to enjoy incentives for their property purchase. For many of us, buying a new house is tough decision.
The good news is, the Malaysian government has come up with several incentives to assist the lower income group and first time home buyers for them to own a property.
Look For The Right Property
Look for a Penang property development that suits your needs. Decide if you want to buy an investment property or home.
Consider and include all the expenses as follows:
- Maintenance fees
- Quit rent
- Fire Insurance, etc.
Most of the time, we will need a home loan to purchase a property. It’s important to do a research on all the loan packages and compare the offerings, based on the following:
- Interest rate
- Flexibility in repayment
Keep in mind that you will need to pay a down payment of about 10% when you buy your Penang residential property.
But how does the down payment work?
First, you will need to sign the booking form. Here you will have to pay 1-2% booking fees based on the property price. When signing the sale and purchase agreement, the remaining down payment is payable.
Now let’s take a look at the incentives for homebuyers
in Penang, Malaysia.
Penang Affordable Housing Scheme
Penang Affordable Housing Scheme (PMM) is a Penang State Government initiative in an effort to provide quality housing at affordable prices for Penangites.
Here are some basic requirements for you to fulfill in order to be eligible for Penang Affordable Housing Scheme.
The form is free and only one application will be accepted per individual or married couple.
It’s very important that you complete all parts of the form and the information you provided should be truthful. Because court of action may be taken against applicants who provide false information.
You must fulfill the requirements below in order to be registered as an eligible candidate.
1. You must be a Malaysian citizen.
2. You must be:
a. Penang born and working in Penang, and is a registered voter in Penang, or
b. Residing in Penang for at least 5 years from the date of application and is a registered voter in Penang
3. Aged 21 years or above as at the date of application.
4. Total household (husband and wife) income not exceeding RM12,000 per month.
a. For low Cost priced between RM42,000 and below: income not exceeding RM2,500 (husband and wife).
b. Low medium cost priced between RM72,500 and below: income not exceeding RM3,500 (husband and wife).
c. Affordable Homes priced RM200,000: income not exceeding RM6,000 (husband and wife).
d. Affordable homes priced RM300,000: income not exceeding RM8,000 (husband and wife).
e. Affordable homes priced RM400,000: income not exceeding RM10,000 (husband and wife).
5. For low/medium cost home application, the applicant and spouse must not own any property in any state in Malaysia.
6. For Affordable Housing applications, the applicant and spouse must not own any property in any state in Malaysia with the following exception:
a. The property that the applicant currently own is a Low Cost Home.
You must also attach personal documents to your application, like:
- Copy of identification card (applicant and spouse).
- Copy of the applicant’s Marriage Certificate or Letter of Marriage Solemnization
- For widows/widowers/divorcees, attach a copy of Death Certificate or Divorce Certificate accordingly.
- Copy of Identification Card and Birth Certificate of applicant’s children/dependents
- Copy of OKU identification card
- For residents of at least 5 years in Penang, attach a verification letter from employee as evidence.
If you are an employee, business owner, self employed or unemployed, different documents may require, so it’s best to make sure you have them all before sending your application.
Remember not only the Penang state government
has come up with incentives for first time homebuyers. Also check out the promotional packages Penang Properties Developments are offering, and we wish you all the best in finding your dream house.