KUCHING: The Sarawak government will consider a proposal to expand the state's housing deposit and repayment assistance scheme (HDRAS), says Deputy Premier Datuk Amar Dr Sim Kui Hian.
He said the government would also continue to discuss the quantum of levy to be paid into a proposed trust fund by developers instead of building affordable housing.
"We will look into this and come up with a holistic solution," he said when opening a property expo here on Friday (Sept 6).
The expo was organised by the Sarawak Housing and Real Estate Developers' Association (Sheda).
Dr Sim said the views of stakeholders would be taken into consideration, along with Sarawak’s housing needs.
"There is a mismatch (in housing supply and demand) because of rural-urban migration," he said.
Earlier, Sheda president Augustine Wong called on the state government to expand the HDRAS policy by raising the household income threshold to RM15,000 a month.
He also proposed increasing HDRAS financial assistance to 10% of the property price from the current RM10,000 and allowing eligible applicants to use the assistance to purchase any property from the open market.
"We believe these proposals will generate a positive economic impact on housing affordability, thereby promoting sustainability," Wong said.
He said expanding the HDRAS would also complement the Federal Government's proposed Madani deposit initiative in Budget 2025, which could provide up to RM30,000 in financial assistance to ease monthly payment commitments for B40 and M40 first-time house buyers.
Introduced in 2022, the HDRAS provides deposit assistance of up to RM10,000 to first-time house buyers from the B40 and M40 groups.
Eligible applicants must buy an affordable home from a registered developer.
Wong also said Sheda had provided feedback on the mechanism and quantum of levy to be paid in place of building affordable housing.
"We hope that the eventual mechanism and quantum decided will support an ecosystem that encourages developers to build more housing in more locations, ensuring the sustainability of available, affordable and accessible supply.
"We also suggest that the levy collected be injected back into the Sarawak property market and for the existing HDRAS framework to be expanded so that eligible purchasers are empowered to select from the open market," he added.
In January, Sarawak Premier Tan Sri Abang Johari Openg said developers planning large-scale projects of 4ha (10 acres) or more in Sarawak were no longer required to build affordable homes starting from the first quarter of this year.
He said they would instead be required to make payments to a housing trust fund, which would be used by the state government to develop affordable homes.
