SHAH ALAM 28th AUGUST: The Federal Government is urged to create a housing corporation at a speedy rate with a mandate to implement housing projects on a massive scale.
Pandan Member of Parliament, Rafizi Ramli, said corporations with specific provisions will be able to address the housing crisis faced by the people .
“We need specialised housing corporations that can be provided with clearance to carry out large-scale housing projects, particularly in urban areas.
“That way, housing costs can be reduced cogently,” he said when contacted by TVSelangor.
Rafizi also said that the People’s Coalition believes that housing subsidy schemes should be introduced so that low and middle-income earners are able to afford a reasonable home value.
He pointed out that high property values, notably in the major cities, will escalate house prices beyond the means of ordinary people
Early media reports stated that the price of terraced houses in the Klang Valley will double by 2020 .
At present, the reported price of Condominium One Menerung in Bangsar with an area of 2,000 feet (185 meters) per square is being sold for a whopping RM2.4 million per unit.
A semi-detached house in Sri Hartamas fetches a hefty RM1.5 million in the market, while the price tag for a two-storey terraced home in Cheras starts from RM500,000 .
Housings in the outskirts of Klang Valley such as Kajang, Bangi, Sungai Buloh, Rawang, and Klang also reported a similar trend .
In some locations, such as Semenyih, the price of a terraced house with an area of 24 × 70 feet (7 × 21 meters) is reported to have reached a staggering RM460,000 .
In Kajang, houses sized 22 × 70 feet per unit reportedly cost RM510,000, Rawang RM288,000 (20 × 65 ft), Sungai Buloh RM398,000 ( 22 × 75 ft) and Klang RM335,000 (24 × 75 ft).
“The People’s Coalition estimates that at least RM5 billion is needed to ensure that the affordable housing scheme is a success, based on the models of other countries that built affordable homes,” he said.
House price notably increased when the income of middle-income city dwellers is averaged around RM6,000 a month .
Rafizi believes that the Federal Government should formulate a truly comprehensive National Housing Policy that can protect the welfare of local people with low and middle-income.
Clearly, the government agencies should take measures to prioritise the underprivileged and not just for profit alone.
“What is being built by the Government through the National Housing Company (SSPN) is not effective. This is purely because SSPN functions as a private contractor that is motivated by profit.
“Many of the projects undertaken by the SSPN involve private contractors and partners, with elements of high profits,” he said.