Malaysian Budget 2008 and its impact on the property sector

Here are the highlights of the Budget 2008 relating to property sector tabled in Parliament by the Prime Minister of Malaysia on 7th September 2007 :-

a) EPF contributors can make monthly deductions from their EPF account to buy a house. The move will greatly benefit all the five million EPF contributors in the country and spur consumer led growth. Read more follow-up explanation by Second Finance Minister Tan Sri Nor Mohamed Yakcop on EPF withdrawals;

b) 50 Pct Stamp Duty Exemption For House Purchase costing not more than RM250,000. Purchasers can save up to RM2,000 being 50 percent stamp duty exemption on documents of transfer for the purchase of one house costing not more than RM250,000. Related link on Stamp duty payable;

c) Foreigners can take up to 70% stake in fund and REIT management firms;

The relevant appendices on the stamp duty exemption on purchase of residential property (Appendix 24), stamp duty exemption on transfer of real property between husband and wife (Appendix 26), stamp duty exemption for mergers and acquisitions of listed companies(Appendix 7), and tax treatment on transfer of building to REIT (Appendix 9) are available at Budget day Appendices.

And here are the comments on the impact of this budget on the residential property market especially on the release of about RM9.6 billion EPF fund annually to the five million EPF contributors - Higher sales forecast. More resources at The Star online on Malaysia budget 2008 and Economic report 2007/2008.

Update link : EPF announces details for housing loan monthly instalment withdrawal dated 14.12.2007.

For advisory on individual property needs, email to us at Izrin & Tan Properties Sdn. Bhd. or call us at +604 6588333 (Penang Office) or +603 92839782 (Kuala Lumpur Office) and we would be pleased to assist.

Penang’s skyline - Jelutong - Gelugor - Bayan Baru area. Many housing projects are taking off along this coastal area of Penang Island…

View of the landed homes at Bukit Gambier /Gelugor area.

Villa Emas Apartments at Bayan Baru area

Desa Palma in Bukit Mertajam

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One Response to “Malaysian Budget 2008 and its impact on the property sector”

  1. I&T Penang Properties Blogs » Blog Archive » Malaysian Budget 2009 highlights and its impact on property sector Says:

    [...] on sales and purchase agreement signed during the period of 30th August 2008 to 31st December 2010. Unlike budget 2008, The 50% stamp duty exemption to be extended to loan agreements as well to further reduce the cost [...]

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