Founder and group managing director Tan Sri Leong Hoy Kum said that such measures are crucial due to the property industry's significant multiplier effect on over 140 related industries, which would, in turn, benefit the broader economy.
"We hope that the government will consider our suggestions as part of its effort to help the rakyat and stimulate the property sector," he said in a statement as part of a wishlist for Budget 2025.
He also called for the revival of the Home Ownership Campaign (HOC), noting that the incentives provided under the HOC have been instrumental in helping homebuyers secure properties and alleviating the housing overhang.
The incentives include the 100 per cent stamp duty exemption for properties priced from RM300,001 to RM1 million and a 10 per cent discount on property purchases for first-time homebuyers.
Leong also suggested a one-off First-Time Homebuyers' Grant of RM30,000 for properties priced up to RM500,000.
"This grant would significantly lower the financial burden on first-time homebuyers, especially in urban areas where property prices continue to rise. With lower and fixed-rate financing, this support would provide essential stability and predictability for young Malaysians and middle-income earners who may be concerned about rising interest rates."
Leong also suggested reintroducing the tax deduction for housing loan interest.
He said that this tax relief provided significant financial support to first-time homebuyers by allowing a deduction of up to RM10,000 per year on interest paid on housing loans for three consecutive years.
Reintroducing this measure would provide substantial financial support to new homeowners to reduce their financial burden and encourage more Malaysians to invest in property, he said.
Additionally, he hoped that the government would consider removing or reducing compliance costs and streamlining the approval processes to ease the pressure on development costs and house prices for the masses. "Specific measures could include reducing development charges, lowering land conversion premiums, and exempting utilities contribution charges. Simplifying regulatory processes and expediting approvals would help developers reduce project timelines and costs in making housing more affordable for the masses."
Leong also proposed more incentives, such as enhancing tax reliefs and grants for developers for green building and sustainable development.
"These incentives would support Malaysia's environmental goals, including the commitment to achieve carbon neutrality by 2050. By encouraging the adoption of eco-friendly construction methods, the government can help drive the real estate sector towards more sustainable practices and contribute positively to environmental conservation," he said.
