Property sector will not crash

The property sector is not heading towards a crash, according to the Real Estate and Housing Developers Association (Rehda).

This is despite low take-up rates at developers’ launches, slow secondary market, and high loan rejection rates for mortgages.

At the 2016 Rehda Property Forum, moderator and IJM Corp Bhd CEO and managing director Datuk Soam Heng Choon said the property sector was only facing a slight slowdown and not headed for a crash.

Savills Malaysia executive chairman Chris Boyd, who was a forum panelist, noted that a crash was marked by a sudden drop in housing prices and a sharp rise in interest, both of which have not happened.

Rehda is in discussion with the Government to bring back the developers interest bearing scheme in a different form for first-time house buyers. - The Star