Negative effects of rebates, discounts

HBA honourary secretary-general Datuk Chang Kim Loong said the act of increasing the price and then offering a rebate, say, of up to 10% appears to help buyers, but this actually “does more harm than good in the long run”.

PETALING JAYA: There are negative consequences arising from the official sanctioning of rebates and discounts in the property market, according to the National House Buyers’ Association (HBA).

HBA was responding to the news report “Banks aware of ‘discounts’ given by developers” in StarBiz last Friday (May 29,2020).