SHAH ALAM: Developers who sell more than four units of houses to a buyer in a single project are now required to register the buyer with the Urban Wellbeing, Housing and Local Government Ministry.
Deputy Minister Datuk Halimah Mohd Sadique said the registration of bulk purchases of residential units became a requirement effective May 16.
“The registration is an additional condition in the advertisement-and-sale permit for any housing development.
“It is hoped that with these measures, the Government will be able to curb speculative activities, which are among the main causes of the rapid increase in house prices,” she said at the launch of the three-day StarProperty Fair 2014 organised by StarProperty.my at Setia City Convention Centre near here yesterday.
A representative from the ministry said the registration would help it to collect data.
“We can cross-check with the Inland Revenue Board whether the buyers are speculators or long-term investors (who buy for own occupancy) through their tax records.
“If it is proven that property speculation is rampant, we can take the necessary action against them,” the representative explained.
One of the possible actions, he said, was to make buyers get prior permission from the ministry before purchasing a property.
“We may then reject them (based on their record),” he added.
Meanwhile, Real Estate and Housing Developers’ Association (Rehda) president Datuk Seri Michael Yam is confident its members will comply with the new requirement.
“To us, bulk-buying is not an issue because not many of us sell multiple units to a single buyer, at least not in their own name, so we accept this move,” he said.
“Rehda has issued the ministry’s guidelines to our members. From the administrative aspect, this move will add more paperwork to them (developers) but they will comply.”
Yam said at the moment there was no penalty for those who flouted the requirement as the move was based on a compliance and good behaviour basis.
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