PETALING JAYA: The Real Estate and Housing Developers’ Association Malaysia (Rehda) said there should be an automatic release mechanism for bumiputera housing units as it will help prevent cases where home buyers unknowingly purchased the units from an errant developer.
Rehda president Datuk NK Tong said an automatic release mechanism also helps maintain a vibrant housing market by correctly channelling supply to meet demand, thus preventing the accumulation of unsold inventory; relieving the developers from incurring further holding cost which could lead to house price increases as the cost get passed on, or worse still, a cashflow problem leading to late, sick or abandoned project.
Responding to the recent Selangor state government’s statement that it will blacklist developers who do not comply with the bumiputera quota requirement, Rehda said it continues to remind its members to adhere to federal and state regulations.
“Firstly, if developers have gone ahead to sell bumiputera quota units to non-bumiputera purchasers prior to obtaining the state consent to do so, Rehda Malaysia believes that the authorities can and should take action against these developers. We also appeal to state governments not to punish innocent homebuyers with penalties for unknowingly buying bumiputera units from such errant developers.
“Secondly, many developers have fulfilled the necessary requirements of advertising the bumiputera units for sale over the required number of times for the required period, and sales to bumiputera are still not forthcoming. In cases such as these, the developers should not be punished with further requirements to do so, and there should be an automatic release mechanism for these units to be sold to the general public,” Tong elaborated.
Rehda hoped that any new regulation imposed on the matter of bumiputera quota requirement would be drafted, executed and monitored fairly and transparently for the benefit of the people, Tong said.