The move to immediately limit sales of new homes priced up to RM300,000 to first-time homebuyers has drawn especially strong reactions.

Penang Real Estate and Housing Developers Association (Rehda) chairman Datuk Jerry Chan said the outlook for the property sector in 2016 remains positive, adding that there would still be demand for the affordable housing in the segment priced below RM1 million despite the bleak economic outlook and weak ringgit.

The property developers were ranked according to their overall score. After the points for the quantitative and qualitative attributes were tabulated, the results were audited by Deloitte Malaysia.

First House Deposit Financing Scheme was announced during the tabling of the Budget 2016 last month, but details on its implementation were not provided.

Association chairman Datuk Jerry Chan asked they were asking because some developers were having trouble selling the affordable units they were building.

The Penang Real Estate and Housing Developers Association (Rehda) has called on the state government to look into development charges and various requirements imposed on developers and the industry in view of declining property sales.

This follows Rehda’s proposal to the government to reintroduce the Developer Interest-Bearing Scheme (DIBS) for first-time house buyers.

Minister in the Prime Minister’s department Datuk Sri Abdul Wahid Omar said the Real Estate and Housing Developers' Association has submitted their requests and now they are in discussion with the government

Mixed reactions from the two bodies

State housing executive councillor Jagdeep Singh Deo said the cheaper the house, the higher the rejection rate for buyers seeking bank loans to purchase the unit.