ISKANDAR PUTERI: Johoreans who were rejected by banks can now turn to a new housing loan scheme introduced by the state government for first-time homeowners.
The scheme, in collaboration with AmBank Islamic Bhd, is offering RM300mil in loans to those earning below RM5,000 a month and is available from today.
The scheme was introduced following the state government’s request for the bank to provide Islamic home financing in line with the state’s aspirations for its people to own affordable homes.
Mentri Besar Datuk Mohamed Khaled Nordin said the scheme was expected to help at least 4,000 applicants of Johor’s affordable housing scheme (RMMJ) buy homes costing up to RM150,000.
As of July, about 24,000 RMMJ housing offer letters had been given out to those eligible but unfortunately, he said, almost 9,000 failed to obtain a loan approval from banks.
“This is a reflection of a real problem in our society where many people still do not meet the banks’ criteria for housing loans,” he said before witnessing the signing of a memorandum of understanding between the state government and AmBank.
He added that the new loan scheme was also introduced to assist small-time business owners, contract employees and those with inconsistent salaries, as they too had the right to own a house.
While the scheme was to help low-income earners own an affordable house, he said, applicants would still be subjected to terms and conditions imposed by the bank.
He also urged successful applicants to pay their instalments failing which the bank would pursue the normal legal recourse, including foreclosure proceedings.
Mohamed Khaled acknowledged the initial RM300mil under the scheme was not a huge amount at this point but said it was a good start.
He said the state government would collaborate with more parties to make affordable housing accessible to more people.
Ambank Group chairman Tan Sri Azman Hashim said the bank was ready and able to support the state’s aspirations in this aspect.
He added that applicants must have the RMMJ offer letter issued by the state government before heading to any of the bank’s 21 branches in Johor to apply for the loan.
