Chang Kim Loong, secretary-general of the national house buyers association, said tax benefits should be provided in the 2023 federal budget to encourage developers to lower house prices without affecting quality and structural safety.

He said he had also proposed that the government invest in modern construction technology and localise construction costs to make projects more efficient and cost-effective.

“Moving towards localising construction costs and digital methods will also help create job opportunities for the locals,” he said.

Housing developers hoped there would be budget measures to cut the cost of construction materials, and incentives to help first-time home buyers.

NK Tong, president of the real estate and housing developers association, said duties on certain construction materials could be reduced or waived, and charges on imported material lifted.

He also suggested that first-time home buyers be provided with tax deductions on housing loan interest during the construction period, or RM20,000 in personal income tax relief on property costing up to RM500,000.

He hopes that first-time house buyers will be provided with a one-off grant of RM30,000 for purchases up to RM500,000.

A recent property survey by PropertyGuru had found that half of respondents were not eligible for affordable housing schemes, and they could not afford to buy a property without aid.

“As the country continues to open up from the pandemic lockdowns, we need to ensure that all cylinders of the economy are firing to ensure a smooth recovery,” he said.
“These requests are focused on making it more affordable for the people to own their first home,” he added.

The 2023 federal budget is scheduled to be tabled in the Dewan Rakyat on Friday.