The Government will take initiatives to provide more affordable homes for the low and middle income as well as subsidies to developers who build homes targeted to the groups.
During the tabling of the Budget 2014, he said about 223,000 new units will be built by the Government and the private sector in 2014.
“The Government will allocate RM578 mil to the National Housing Department (JPN) for the implementation of Program Perumahan Rakyat which involves the construction of 16,473 housing units.
“In addition, JPN will construct 600 units for Program Perumahan Rakyat Disewa and Perumahan Rakyat Bersepadu with an allocation of RM146mil,” he said.
He said PR1MA will provide 80,000 housing units with an allocation of RM1bil.
“The sales price of PR1MA houses are 20% lower than market prices. Meanwhile, SPNB will build 26,122 units of affordable houses, comprising 15,122 units of affordable houses, 3,000 units Rumah Idaman Rakyat and 8,000 units of Rumah Mesra Rakyat.
“The Government will introduce a new category of Rumah Mesra Rakyat, with sales price between RM45,000 and RM65,000 for which the Government will provide a subsidy between RM15,000 to RM20,000 per unit,” he said.
Najib said the Government will also introduce the Private Affordable Ownership Housing Scheme (MyHome) – where it provides a subsidy of RM30,000 to the private developers for each unit built.
“The scheme is for housing projects approved effective from Jan 1, 2014 with an allocation of RM300mil under the supervision of Ministry of Urban Wellbeing, Housing and Local Government.
For 2014, he said the Government will provide RM4bil to the Facilitation Fund as an initiative to promote private, high-strategic impact projects.
He said the Government proposes the establishment of the National Housing Council to develop strategies and action plans in a holistic manner; coordinate legal aspects and property price mechanism; and ensure provision of homes in a more efficient and expeditious manner.
“The Council members will comprise Federal Agencies, State Governments, the National Housing Department, PR1MA, SPNB and the private sector,” he said.