Government proposes to increase the limit of house prices under the My First Home Scheme from a maximum of RM220,000 to RM400,000 beginning January 2012.

The government today proposed a review of the Real Property Gains Tax (RPTG) to curb speculation.

The government has proposed that for properties held and disposed within two years, the RPTG is 10 per cent for both companies and individuals. For properties held and disposed within a period exceeding two years and up to five years, the rate is five per cent for both.

However, properties held and disposed after five years, are not subject to the RPGT.

If not controlled, speculative activities will put pressure on the price of real estate, Prime Minister Datuk Seri Najib Tun Razak said when tabling the 2012 Budget in Parliament, here today.

Najib, who is also the Finance Minister, noted that in the long run it would jeopardise the ability of the low and middle-income groups to buy houses.

“I am confident the revised RPGT rates are low and will not affect genuine owners and curb speculative activities,” he said.

Source: Bernama

GEORGE TOWN: Penangites should not be kept in the dark over talk of land reclamation along the Bayan Lepas coastal area.

Pantai Jerejak Barisan Nasional coordinator Wong Mun Hoe urged the state government to “come clean” on its dealings with Boustead Holdings.

“The reclamation of 40ha is estimated to be worth RM400mil without taking into account the sales profits — it doesn’t take a super accountant to do the maths and see that the compensation amount does not make economic sense,” he said.

Pantai Jerejak assemblyman Sim Tze Tzin had earlier said the state government was forced into a negotiation with Boustead after the company was required to scale down the height of the high-rise Royal Bintang Hotel which was approved for construction in the Unesco World Heritage zone under the previous state government.

Wong said residents of the area were in the dark as they did not know what development would be taking place in their own backyard.

“They may face a development tsunami and yet remain unaware of what’s going on until it’s too late to do anything.

“Where are the much touted CAT (competency, accountability, transparency) values?” he asked at a press conference in Bayan Lepas yesterday.

Wong alleged that Sim knew about the reclamation offer since May but he did not engage the residents here.

Bayan Baru Barisan coordinator David Yim Boon Leong, who was present, asked the state government to reveal whether any traffic and environmental impact assessment report had been conducted before the land reclamation offer was made to Boustead.

“There are other alternatives. Offering so much land for reclamation would impact the whole of Pantai Jerejak,” he said.

On Wednesday, State Local Government and Traffic Management Committee chairman Chow Kon Yeow reportedly said the state government had proposed compensation in kind in the form of reclamation rights but negotiations on alternatives were still ongoing.

On Oct 3, some 350 residents living in six condominiums and houses along Persiaran Bayan Indah in Bayan Lepas held a peaceful protest and press conference following information they received on reclamation plans for the area by a developer.

They want the seafront in the Bayan Bay area to be spared of any future land reclamation projects.

Bayan Bay Residents’ Action Committee chairperson Sharifah Hamidah said the residents were not against development but were more concerned about the quality of life.

Source: The Star

WORK on the construction of a RM2mil bridge over a stream along Jalan Kulim in Kampung Machang Bubok near Bukit Mertajam has been suspended temporarily following objections from shopkeepers there.

State Public Works, Utilities and Transportation Committee chairman Lim Hock Seng said the shopkeepers had complained their business had been affected following the partial closure of the road last week.

“The authorities will decide later whether the project would be scrapped,” he said after visiting the project site with state Agriculture and Agro-based Industries and Flood Mitigation Committee chairman Law Choo Kiang and representatives from the Public Works Department (PWD) and Drainage and Irrigation Department.

Lim said the PWD had closed off one lane of the road to enable the contractor to bring in heavy machinery for land clearance and piling works.

“However since the project would take a year to be completed, shopkeepers are worried their business will be badly affected due to traffic congestions there,” he said.

Lim said traffic was heavy along the road which is near the Penang-Kedah border.

He said the project was mooted after villagers complained of frequent flash floods. Some had complained the floods were caused by the box culvert covering the drain and utility pipes across the stream which was blocking the water flow.

Source: The Star

The public having a closer look at the model of a housing project at The Star Property Fair 2011 in Penang in July.

PETALING JAYA: About 20 developers and property-related companies will showcase their projects and management services at The Star Property Fair 2011 from Nov 25-27 at the Kuala Lumpur Convention Centre.

They comprise some of Malaysia’s most well-known developers like Dijaya Corp Bhd, Sime Darby Property Bhd, Mah Sing Properties Sdn Bhd, Naza TTDI Sdn Bhd, Encorp Bhd, Setia Haruman Sdn Bhd, OSK Property Holdings Bhd, Sunway City Bhd, IOI Properties Bhd and Ivory Properties Group Bhd.

This is the third year Star Publications (M) Bhd is hosting the fair. Last year, the event attracted about 20,000 visitors.

Executive for events management Ian Qua said property investment continued to attract a lot of interest despite the global economic uncertainties. “Based on last year’s numbers, we expect about 20,000 visitors (this year).

“This will be a good place to start for first-time property buyers as it will be an educational experience for them. For those who have made purchases previously, this will be a good event to go as the country’s major developers will congregate at the convention centre. Much time and effort will be saved for housebuyers as they will be able to compare the different offerings and pricing,” he said.

As for the developers, Qua said they would be assured of a constant stream of visitors.

“It will be a win-win situation for both housebuyers and developers and those offering property-related services,” he said.

To make the event more interesting, there will be talks on feng shui, property investment and other topics at selected times during the three days.

Two popular feng shui masters – David Koh and Joe Choo – will share their insights, knowledge and experiences on various interesting topics with potential investors and house owners.

Gavin Tee will talk about why property purchases continue to be one the most popular forms of investment in today’s economic climate.

Other speakers will discuss how the global economy impacts the property market.

SOURCE: The Star