30,000 affordable homes to be launched in Selangor soon

Selangorians needing an affordable home can now rejoice. According to an article in Edgeprop.my, Selangor Menteri Besar Amirudin Shari said the state government has aimed to launch 30,000 units of affordable homes under its Rumah Selangorku housing scheme over the next five years.

He said, “We are targeting 60% of these houses to be priced below RM200,000 and 40% to be priced below RM250,000.”

He also shared that since 2014, the Rumah Selangorku scheme received good response for the public.

As at September 2018, there was a total of 204 approved projects offering 104,460 affordable homes to eligible buyers.

Out of these approved projects, 6,303 units have been completed and handed over to homebuyers, while 22,336 units are under construction and will be handed over in phases from this year through 2022.

He also said that under the Rumah Selangorku 2.0 housing scheme, the state had refined and implemented new changes since April 2018.

The minimum built-up size for a Rumah Selangorku unit has been reduced to 900 sq ft from 1,000 sq ft while the allocation of Rumah Selangorku units in a project has been reduced by up to 10%.

Due to this, the state government is also looking into reducing the maximum price tag for upcoming Rumah Selangorku units by RM20,000 to RM230,000 compared to RM250,000 previously.

He added, “With the RM20,000 reduction, I hope it will be easier for the buyers to own the house.”

900 sq ft is actually a good size if the layout is planned carefully. These days, private developers are building smaller-sized homes so as to make the price as affordable as possible but when we look at many of these sub 900 sq ft homes, it looks really spacious and not cramped at all.

If the homes are targeted to working professionals, it could be built a little further away provided it’s well-connected to public transport stations such as the LRT/MRT or KTM.

Three reasons for this suggestion – homes can be made cheaper, homes will be well-connected and will reduce the need for every working professional to drive ONE extra car into the city every day.

Let’s hope the state government sees this suggestion.

This article first appeared in kopiandproperty.com

Charles Tan blogs at property investment site kopiandproperty. He dislikes property speculators and disagrees that renting is better than buying. He thinks it’s either property or poverty. He is presently the CEO of an auction house auctioning assets beyond just properties.