https://www.freemalaysiatoday.com/category/...sing-will-work/


Mahathir wants proof crowdfunding for housing will work
Melissa Darlyne Chow -
November 4, 2018 2:11 PM
Prime Minister Dr Mahathir Mohamad says the government wants to get the private sector to build one million low-cost and affordable homes.

HULU LANGAT: Prime Minister Dr Mahathir Mohamad says he likes the idea of a crowdfunding scheme for housing but will need proof that it will work.

“Thousands want to buy a house, but thousands of houses cannot be bought. They are empty because house buyers cannot afford, and banks do not easily lend to people who cannot pay back.

“Among the ideas I found worthy to listen to is how people who are unable to buy houses can now buy, with investors paying 80% and the buyers forking out 20%.

“Suddenly houses become affordable to those who cannot buy (not qualified for) low-cost or affordable housing,” he said at the launch of the EdgeProp’s FundMyHome initiative in Semenyih here today.

Also present were Finance Minister Lim Guan Eng, The Edge Media Group chairman Tong Kooi Ong and Eco World Development Group Berhad founder Rashid Abdul Manaf.

However, Mahathir said the crowdfunding initiative was a “fantastic scheme” that he found hard to believe. He wanted proof that the houses could be sold and there would be people investing.

“Until he (Tong) shows this, I will not believe. I want to see the house, the owner, and the investor,” he said.

“The proof of the pudding is in the eating.”

Mahathir expressed hope that such crowdfunding initiatives would enable more people to own houses. He also believed that such a scheme would help the PH government achieve its aim of building a million affordable homes in 10 years.

“We are willing to listen to other schemes by other developers,” he added.

The FundMyHome scheme brings together first-time homebuyers and institutions in a mutually supportive relationship, where buyers pay 20% of the property price to own a home, choosing from a wide array of high-rise and landed homes of different prices and locations showcased on the website.

The balance 80% of the property cost is contributed by participating institutions, who share the returns from changes in the future value of the home.

Mahathir told reporters later that the Employees Provident Fund (EPF) could invest in privately-driven property crowdfunding platforms, if they feel they can get a good return.

Mahathir pointed out that investment in property normally yielded good returns, stating that the value of property goes up even if the house is older.

“Like I told the story of my driver who bought his house for RM35,000. Now people are asking at a price of RM130,000.

“The house value always goes up. The land value for instance. In the past, you could buy land at RM100 per square foot. But now, the land value is at RM7,000 per square foot.

“The land value goes up due to development around it. Put in the LRT and the MRT. Immediately the value goes up. If you build roads and infrastructure, that adds to the value of the land,” he said.

On the Pakatan Harapan (PH) government’s promise to build one million affordable homes in 10 years, Mahathir said this would not be done by the government alone.

“It does not mean the government will build one million houses in 10 years. It may be less or more, but it is our promise. The government will not be building all the houses, but some will be built by the government.

“The private sector is invited to supply these houses. What is important is that they can be afforded by the low-income group.

“We want to get the private sector to build one million low-cost and affordable housing,” he said.

Earlier in his speech, Mahathir also said that while PH could promise anything during the general election, fulfilling those pledges is not as easy.

He said PH is concerned it cannot fulfil the promise of building one million affordable homes.

I want private sector make 1 million affordable homes. He think he thanos ar? Click finger people listen? He has seen how big the Msia disporia is in Thailand, still want to talk shit?

Chill your tits I bet u could had became a better pm ..so till then go back to your cave

To tell u the truth, the way the government tell private companies what to do is truly disgusting and arrogant. No other countries tell their private companies off so rudely except for countries like Venezuela. U like private so much then take all the china deals la, then u can get all the private u want. Else for god sake, do your duty as a government!

no free lunch in dis world

investor oso wan profit

Sub prime



http://news.bbc.co.uk/2/hi/business/7073131.stm



This post has been edited by Phoenix_KL: Nov 5 2018, 02:54 AM

Yeah govt should start doing their duty and the first step to that is to limit or put a ceiling to the selling prices of leasehold properties.

If developers don’t agree then ask them buy freehold land instead of leasing the land for cheap from the govt and then pricing the houses ikut suka hati to maximise profits. Private companies so geng then should have no reason to depend on govt to lease lands to them.

better wait and see....better that way..

is edge boss idea?

If next economic crash occus within 2 years, this PH scam might not have have significant impact.

If next economic crisis kicks in 4 years: enough momentum would have been built into this PH scam. Investors would be fleeing and shorting this developer stock would give a person massive profit.

When everyone can afford and start buying, this so call affordable houses price will up again and people will start to become cannot afford to buy a house again.

joshua not sleeping????

investment is only meaningful if there is a way to dispose it and convert to cash when the need arises. with a house co-owned by 2 or more different parties, and 1 of them staying inside it, how can the investors dispose it to realize their profit?

one way is to have a new market in which the so called investment can be freely traded. that is just an derivative similar to subprime like many said, no? and what decides the trading price of such investment?

What joshua?

Look at the bright side: This will drive up the property prices to more non-affordable level for the middle and low class, high class can benefit immensely from skyrocketing property prices if this scheme is implemented to construct 1 million homes.

This is actually a very good scam and if you are intelligent: you can benefit from this.


Without sarcasm:
PH has done only 3 good things:
1.Fibre Internet price reduction.
2.Floating of Petrol prices starting from 2019.
3.Fund my home Scam.

Shut up la joshua. How is this a scam.


1. They get to stay 5 years for free. They get 20% owner ship of the house

2. Banks will do the due diligent.

3. Still staying in jalan gasing?

It's like the Toto of old days when aunties crowding to buy handbags n jewelry.

I thought this is only for first time homebuyer

After 5 years owner need to purchase from investor or sold the house to others buyers

my view is like this
if govt increase minimum wages by RM50, they already bising

what makes u think they would fork out 80% to build free houses?

are these similar to buy God car HP with Toyota finance

This has nothing to do with subprime crisis la. Subprime crisis happened because banks were trading in derivatives of mortgage. We are in risk of that but Bank Negara has implemented measures to cool the property industry. Rpgt etc

This crowdfunding is diff. It’s like Kickstarter. They propose a project and investors put money in if they think its viable. If no one invests then the project cannot start. So in a way it lets the market decides what kind of property projects are started. Commercial/low cost/medium cost/luxury.

so is this similar to subprime mortgage or not? or another variance of subprime mortage?

He is not thanos

He is LGE

Menteri keewangan Malaysia

All gov contracts go through his jabatan

And yes contractor will listen , because LGE is the one holding the carrots

If u NO have BNM license to lend money dun talk cock la...

Suddenly everybody forget about RPGT

There's someone in Finance thread doing this although many call him a scammer

It's legit tho

http://www.focusmalaysia.my/%E2%80%A6/crow...operty-projects

Hopefully Mr empyreal can alert Bank Negara and Dr Zeti about this scam to prevent future disaster...

The only problem i see is what happen to house if the person couldnt find any buyer? Will the bank take the house to lelong? Then the only winner here is the property developer since they no need to worry on the oversupply.

Security commission got banking license in the first place?

Now everyone can buy homes they cannot afford. In 5 years time when the buyer cannot afford to buy the home all sell at once.

Suddenly the housing market collapses. Sub prime v2 in Malaysia.

Only if you are able to hold on to the house. This p2p tul says that in 5 years you must refinance or sell it off.

So what do you think will happen when the 3k a month b40 person cannot afford to pay for his 300k house after 5 years?

Even if u own a shopping mall,

no license means no lending

make 20% profit from 10-20% property appreciation value ??

the only way 10millions of "homes" that is affordable to the masses is to build more PPR styled flats.

but no, ppl semua tamak, tak dapat landed pun kurang2 mau apartment/condo style. also want within prime area. tamau PPR because low-class katanye...

Do we have 1 millions of qualified first time buyers ?

This scheme seems to be planned since years ago, no RPGT after 5 years.

Aaaaaand Nobita now charge 5%.

5% only mah. On gains.

Pain a bit.......

Do it for the country.

Do it to cover that huge 1MDB blackhole.

So far during his last tenure did it fail ? Things collapse during najis's time that's what I know . Also sometimes there's more behind da curtain which we wouldn't know ..nobody is dumb enough chase away private companies .

china that time just emerging. Now collapsing already by next year crisis in china. Bookmark this because it will happen.

crisis trigger

Mine are open. How about yours?

Why? You must think you are better than others, huh?

LOL

Thanks for answering my question.

so is this the now "discounted" version of US bubbled housing?

if flat rental cannot be paid on time, what else can be expected...

janji bubar floating system for fuel. then bring back the next year cause it is a better idea.

janji cheaper transportation by constructing public transport then cancel the plans and promote new national car.

janji affordable housing by scrapping prima as it's a bad idea. set up new middle man concept for housing for feel cheap factor.

janji no need pay ptptn till certain income- wait, remove discount and all.

#janjiditepati

Setia Alam launches 650k ppl still sapu & tar pao