ISKANDAR PUTERI: The Federal Government has been urged to review the conditions for the Malaysia My Second Home (MM2H) programme as part of efforts to reduce the property overhang in Johor.
State housing and local government committee chairman Datuk Mohd Jafni Md Shukor said over 80% of the unsold properties are service apartments with an average price of between RM500,000 and RM1mil.
“We hope the Federal Government will review the stricter conditions set for the new MM2H programme, which was reactivated last year after being suspended in 2020.
“This will allow those outside the country to purchase these unsold properties that are within the higher price range,” he said, at a press conference here yesterday.
Jafni also said most service apartments that haven’t been sold are in the areas of Iskandar Puteri and Johor Baru.
“We also encourage developers to provide suggestions on how we can solve the problem of unsold property,” he said.
Johor Ruler Sultan Ibrahim Ibni Almarhum Sultan Iskandar had previously called for the new eligibility criteria for the MM2H programme to be reviewed immediately.
He said the potential loss of revenue to the state was enormous, especially since Johor is a popular MM2H destination.
In August last year, the government announced 10 new conditions for those interested in the programme, including RM1.5mil in liquid assets, RM40,000 in monthly offshore income, RM1mil in a Malaysian fixed deposit, and an additional RM50,000 per dependent.
Existing MM2H pass holders only need to comply with two of the 10 new conditions: an increase in the fee pass from RM90 to RM500 per year and the requirement to stay in the country for a minimum of 90 days a year.
In September this year, Deputy Finance minister Datuk Mohd Shahar Abdullah said Johor recorded the highest number of unsold residential units, with 6,000 units worth RM4.7bil.
On a separate matter, Jafni also said the state has set a target of providing 21,000 affordable homes in the next five years.
“This year, we have surpassed our target of providing more than 2,500 affordable homes.
“We have also set up a task force to look into the housing issues, and we have met 10 developers. They have made a commitment to produce more than 8,000 affordable homes between this year and 2025,” he said.
