First rent-to-own houses for Penang’s poor


BALIK PULAU (June 11): The first low-cost rent-to-own (RTO) housing units for the poor have been rolled out by the Penang government.

The Star reports that State Housing, Local Government, Town and Country Planning Com­mittee chairman Jagdeep Singh Deo said that the scheme, located off Jalan Kuala Jalan Baru, was meant for those who could not afford to buy low-cost units due to high loan rejection rate.

Of a total of four blocks, two would be under the RTO scheme in the project by Ideal Property Group which comprises 1,175 units of at least 650sq ft with three bedrooms.

“Two blocks will be under the RTO scheme to help those in need. We have not determined the rental charges yet.

“But it should be similar to the Taman Sungai Duri Permai project in South Seberang Prai, where each tenant pays RM150 as rental and RM20 maintenance fee each month for 23 years before owning the unit.

“The state Housing Department will be supervising the process,” he was quoted as saying.

The state had also identified another RTO scheme housing project in Kampung Tok Subuh, Central Seberang Prai.

The project, which is currently 70% completed, is scheduled for completion by first quarter of next year, said Ideal Property Group senior construction manager Ang Eng Huat.

Jagdeep said pilot projects of the RTO scheme had been conducted at two housing projects in South Seberang Prai – Taman Seruling Emas and Taman Sungai Duri Permai.

“Tenants of Taman Seruling Emas only pay RM100 a month and a RM20 maintenance fee for 15 years. The government is subsidising RM5,000.

“The actual price of the unit is RM25,000 but we are only charging the prospective buyer about RM22,000.

“As for the Taman Sungai Duri Permai low-cost housing project costing RM42,000, the tenants pay RM150 per month and RM20 maintenance fee for 23 years.

“The RTO scheme for the two projects is successful,” he said.

Looking for properties to buy or rent? With >150,000 exclusive listings, including undervalued properties, from vetted Pro Agents, you can now easily find the right property on Malaysia's leading property portal EdgeProp! You can also get free past transacted data and use our proprietary Edge Reference Price tool, to make an informed purchase.
  1. Interstate travel: Tourists relieved, happy to visit Penang
  2. Penang approves electrical project under 80:20 Maintenance Fund
  3. Ivory Properties optimistic on 2022 performance underpins by govt stimulus plans support