A total of 20,000 first-time house buyers will benefit from the government guarantees of up to RM5 billion provided through the Housing Credit Guarantee Scheme under Syarikat Jaminan Kredit Perumahan (SJKP).

Local Government Development Minister Nga Kor Ming said through the improvement, which provides financing guarantees of up to 120 per cent, more people will get the opportunity to own homes.

He said the scheme is part of a financing programme under the collaboration between the Ministry of Local Government Development and the Ministry of Finance to help people with no fixed income such as gig economy workers, business owners, traders or small entrepreneurs who want to buy a house.

He said this at the ground-breaking ceremony of the Rumah Selangorku project by Kumpulan Berjaya in Subang on Friday.

Prime Minister Datuk Seri Anwar Ibrahim at the launching ceremony of the Madani Economy: Empowering the People initiative yesterday, announced that the government will improve the scheme by providing a financing guarantee of up to 120 per cent of the house price, valued up to RM300,000.

Anwar said it would enable all home ownership costs to be covered through the loan, including the principal amount, legal fees, appraisal, and insurance fees as well as the purchase of furniture and renovation costs.

Nga said according to SJKP data, as of January 31 a total of 6,808 loans were approved under the scheme and of that number, 65.11 per cent or 10,945 successful applicants were in the age range of 35 years and below.

Source: Bernama