This report examines housing affordability in Malaysia by analyzing housing as an economic sector rather than just a social issue. It finds that past interventions have primarily focused on demand and subsidized an unresponsive supply sector. The report aims to ensure supply can meet effective demand to improve general affordability. It considers improving construction project management and firm efficiency to increase affordability. Past policies focused on controlling prices but supply-side enhancements can develop a sustainable housing sector for all. The report is the first in a series and future studies will address land, financing, and housing's role in urban development.
While the supply side constraints for low cost and affordable housing include lack of availability of land and finance at reasonable rates, the demand drivers include the growing
middle class and urbanisation. Real estate developers, private players in particular, have primarily targeted luxury, high-end and upper-mid housing segment owing to the higher returns that can be gained from such projects.
(1) The document discusses housing problems, types, and policy in Bangladesh. It outlines challenges like unsatisfactory housing conditions, funding shortages, and squatter settlements.
(2) It proposes strategies like prioritizing housing, encouraging self-help and cost recovery, discouraging encroachments, and applying low-cost technologies. It also discusses institutional arrangements and the government's role as a facilitator.
(3) Key elements of housing policy are outlined, including land, infrastructure, building materials, finance, and legal frameworks. Goals are to deliver better homes, support independent living, and improve communities and services.
The document discusses India's Pradhan Mantri Awas Yojana (PMAY) affordable housing program. It is being implemented in 3 phases from 2015-2022 to provide housing to the urban poor. Affordable housing is defined as housing that costs 30% or less of a household's income. Various policies and programs to promote affordable housing in India are discussed, including issues around housing shortage, rising slum populations, and the high costs associated with providing housing for all.
Housing Policies and Programs - Indian and InternationalJIT KUMAR GUPTA
The document discusses two housing models: the Haryana model of affordable rental housing in India and the Singapore public housing model.
The Haryana model aims to provide affordable rental housing for low-income workers by having private developers set aside 15% of units in new projects for the housing board to purchase and rent out below market rate. It establishes a management system to select tenants and maintain the units.
The Singapore model is recognized globally for its public housing system that has resulted in 80% homeownership. Key factors are state ownership of land leased to the housing agency HDB, limiting ownership to subsidized units, using compulsory savings accounts to fund mortgages, allowing resale of units after 5 years to
Transit oriented development (TOD) aims to maximize residential, business and leisure space within walking distance of public transport to increase ridership and promote sustainable urban growth. A TOD typically includes a central transit stop surrounded by a high-density mixed-use area, with lower densities further out. TODs reduce reliance on private vehicles, improve quality of life, increase property values and reduce pollution. Case studies in Bangalore, India showed that metros can induce land use changes and densification around stations through increased building heights and commercial space.
Site Analysis for Gated Community for B.Arch Thesis projectGeeva Chandana
This document provides information on a proposed residential development called Metropolis in Maraimalai Nagar, Chennai. It includes details on the site such as its location, area, and surrounding context. It then outlines the development program which includes 300 total units divided among various housing typologies. Floor plans and massing diagrams are provided to illustrate the layout. Amenities, costs, and other project details are also summarized. Maps and diagrams provide additional context on the site and surrounding region. A SWOT analysis evaluates the project's strengths, weaknesses, opportunities, and threats.
The document outlines the agenda and objectives for a marketing presentation on a new affordable housing project called Casamagna Township located on the outskirts of Pune, India. The summary includes:
1) An overview of the project including its location, type of housing, amenities, and target price range.
2) A discussion of the Pune real estate market analysis which finds it is one of India's fastest growing cities with high demand for affordable flats from young professionals.
3) The objective to capture 15% market share and sell 100 homes by 2012 for the new project.
While the supply side constraints for low cost and affordable housing include lack of availability of land and finance at reasonable rates, the demand drivers include the growing
middle class and urbanisation. Real estate developers, private players in particular, have primarily targeted luxury, high-end and upper-mid housing segment owing to the higher returns that can be gained from such projects.
(1) The document discusses housing problems, types, and policy in Bangladesh. It outlines challenges like unsatisfactory housing conditions, funding shortages, and squatter settlements.
(2) It proposes strategies like prioritizing housing, encouraging self-help and cost recovery, discouraging encroachments, and applying low-cost technologies. It also discusses institutional arrangements and the government's role as a facilitator.
(3) Key elements of housing policy are outlined, including land, infrastructure, building materials, finance, and legal frameworks. Goals are to deliver better homes, support independent living, and improve communities and services.
The document discusses India's Pradhan Mantri Awas Yojana (PMAY) affordable housing program. It is being implemented in 3 phases from 2015-2022 to provide housing to the urban poor. Affordable housing is defined as housing that costs 30% or less of a household's income. Various policies and programs to promote affordable housing in India are discussed, including issues around housing shortage, rising slum populations, and the high costs associated with providing housing for all.
Housing Policies and Programs - Indian and InternationalJIT KUMAR GUPTA
The document discusses two housing models: the Haryana model of affordable rental housing in India and the Singapore public housing model.
The Haryana model aims to provide affordable rental housing for low-income workers by having private developers set aside 15% of units in new projects for the housing board to purchase and rent out below market rate. It establishes a management system to select tenants and maintain the units.
The Singapore model is recognized globally for its public housing system that has resulted in 80% homeownership. Key factors are state ownership of land leased to the housing agency HDB, limiting ownership to subsidized units, using compulsory savings accounts to fund mortgages, allowing resale of units after 5 years to
Transit oriented development (TOD) aims to maximize residential, business and leisure space within walking distance of public transport to increase ridership and promote sustainable urban growth. A TOD typically includes a central transit stop surrounded by a high-density mixed-use area, with lower densities further out. TODs reduce reliance on private vehicles, improve quality of life, increase property values and reduce pollution. Case studies in Bangalore, India showed that metros can induce land use changes and densification around stations through increased building heights and commercial space.
Site Analysis for Gated Community for B.Arch Thesis projectGeeva Chandana
This document provides information on a proposed residential development called Metropolis in Maraimalai Nagar, Chennai. It includes details on the site such as its location, area, and surrounding context. It then outlines the development program which includes 300 total units divided among various housing typologies. Floor plans and massing diagrams are provided to illustrate the layout. Amenities, costs, and other project details are also summarized. Maps and diagrams provide additional context on the site and surrounding region. A SWOT analysis evaluates the project's strengths, weaknesses, opportunities, and threats.
The document outlines the agenda and objectives for a marketing presentation on a new affordable housing project called Casamagna Township located on the outskirts of Pune, India. The summary includes:
1) An overview of the project including its location, type of housing, amenities, and target price range.
2) A discussion of the Pune real estate market analysis which finds it is one of India's fastest growing cities with high demand for affordable flats from young professionals.
3) The objective to capture 15% market share and sell 100 homes by 2012 for the new project.
National Housing Policy & Habitat lll STUDYওমর ফারুক
National housing policy aims to make housing accessible and affordable for all citizens. It focuses on increasing the supply of land and housing, improving existing residences, and relocating slums to suitable areas. The policy addresses issues related to land, infrastructure, building materials, techniques, and financing for housing. It also establishes institutions like a national housing authority and committee to implement programs and coordinate between different levels of government on housing initiatives. International agreements like Habitat III emphasize the need for integrated housing frameworks, inclusive policies, expanding affordable options, upgrading informal settlements, and improving housing conditions globally to achieve sustainable development goals.
This document outlines regulations for apartment design in Chennai, India as prescribed by the Chennai Metropolitan Development Authority (CMDA). It discusses classifications of residential buildings, parking requirements, general terms, and regulations for different types of developments. Residential buildings are divided into four categories - ordinary, group, special, and multi-story. Parking requirements vary based on dwelling unit size and location. Key terms like setbacks, frontage, plot coverage, open space reservation, and floor space index are explained. Regulations address topics like access roads, site coverage, and electrical rooms for group developments.
This document provides an overview of cluster development as an alternative to conventional subdivision development. It discusses how cluster development groups residential properties closer together to utilize the rest of the land for open space. The purposes of cluster development include creating more open space, encouraging integrated site design, and protecting environmentally sensitive areas. Benefits include more preserved land, better stormwater management, and making more ecological and economic sense compared to conventional subdivisions. The document defines various cluster development terminology and discusses planning guidelines and articles related to cluster development.
Development controls regulate land use and new construction through a plan-led system involving public consultation. They regulate activities like constructing new buildings, extending existing ones, and changing land use. The main types of development controls are land subdivision controls, land use controls, zoning controls, density controls, height controls, and setback controls. Development controls are intended to guide development in a rational and orderly manner while protecting public health, safety, and the environment.
Group housing accommodates groups rather than individual units, making it both public and private. It is a common form of mass housing worldwide. This document discusses different types of group housing like cluster housing and row housing. It provides details on various government schemes for group housing in India. It also outlines building bye-laws, standards, and the National Building Code provisions for elements like minimum plot size, maximum height, open spaces, parking etc. for group housing projects.
Parking facilities include indoor and outdoor areas for vehicles belonging to buildings, roads, parking lots, multi-level structures, and facilities for specific vehicle types. Different outdoor parking patterns include parallel parking along roads, 90 degree parking, and oblique parking. Indoor parking includes multi-storey parking structures. Multi-storey parking facilities are designed specifically for automobile parking and have multiple floors for parking. They are typically limited to 5-6 stories with a capacity of around 500 vehicles. Parking standards and laws dictate the minimum requirements for parking spaces, ramps, and accessibility.
Prestige Lakeside Habitat Apartments design by Prestige Group at Varthur Lake, Near Whitefield Road Bangalore. Prestige Lakeside Venture is beautifully designed with opulence amenities which would definitely keep you high. Prestige Lakeside Habitat Bangalore is offer 2/2.5/3/4 BHK apartments with ample empty spaces.
The document discusses the CIDCO Housing project in Belapur, Navi Mumbai built between 1988-1993. It was planned as low-cost housing to accommodate the lowest income groups, comprising 1048 apartments of 1-2 rooms each. Architect Raj Rewal designed the project using cluster housing typologies organized around shared courtyards to maximize density while maintaining quality of life. The design incorporated 16 unit types and public, semi-public, and private spaces corresponding to social relationships.
An amphitheatre is an outdoor theater with a semi-circular or fan-shaped auditorium facing a stage. Key factors in amphitheatre design include selecting a site with good topographical, meteorological, and acoustic properties. The slope of seating should be at least 12 degrees for better visibility and audibility. Stage height varies depending on the number of spectators, from 8 to 16 inches for up to 100 spectators up to 24 to 32 inches for 300 to 500 spectators. Precautions must be taken to ensure noise levels do not exceed 45-50 decibels and wind speeds do not exceed 16 km/h.
Introduction to Housing: Housing And Delivery ProcessesAllona Alejandre
The document provides an introduction to housing in the Philippines. It discusses that housing varies for individuals based on factors like age, family, and geography. It also notes that the Philippines faces a huge demand for affordable housing units due to its growing population. Several government agencies are involved in housing delivery, including the National Housing Authority, Home Development Mutual Fund, and Housing and Urban Development Coordinating Council. The government aims to address the housing backlog through regulations, production of housing units, financing programs, and infrastructure development. However, challenges remain as rapid urbanization continues to outpace the government's ability to provide adequate housing and relocation assistance.
The document discusses residential density and planning standards. It includes:
- Definitions of net and gross residential density which exclude and include open spaces and roads.
- Requirements for group housing density in NBC including allowable coverage and FAR.
- HMDA master plan features like zoning linked to infrastructure, density policies, incentives for large layouts, and heritage conservation.
- IS rules for residential density including allowable densities and notes on plot sizes for low income housing.
RERA will transform the real estate sector by increasing transparency and accountability. In the short term, real estate launches may decline as developers work to comply with new RERA and GST regulations. Prices may initially rise as unsold inventory is cleared, and supply will shrink as only compliant developers launch new projects. However, builders will adapt over time by launching projects in phases to avoid penalties and incorporating additional costs into prices. Overall, RERA will establish standards that improve consumer protection and confidence in the industry.
This document discusses various approaches to providing affordable rental housing in India. It begins by defining different types of affordable housing such as ownership housing, social rented housing, and intermediate housing. It then discusses challenges around providing affordable housing given rapid urbanization and poverty levels in India. The document outlines several government initiatives and programs to promote affordable housing. It also examines issues around developing affordable housing and strategies to increase housing supply such as using government land banks and increasing floor space index. The document analyzes rental housing models and case studies from other countries and within India to provide affordable rental options.
Affordable housing is a dream come true for middle class section. Concept of affordable housing is like a windfall for all those who are yearning for their own house. With maximum number of people having their own house prosperity of India will be multi fold.
The Incremental Housing project in CBD Belapur designed by Charles Correa featured clusters of 7-12 pairs of courtyard homes arranged to achieve high density using simple materials. Each family could independently extend their home, which started with a basic structure. Over time, many original homes were demolished and replaced with larger concrete structures, though the courtyard layout remained. While the flexibility initially provided benefits, maintenance of common spaces became an issue as the community changed.
Options for making affordable housing for all a reality in urban India (1)JIT KUMAR GUPTA
Presentation tries to briefly dwelling on affordable housing in the context of India- Explaining the role and importance of housing in urban spaces , issues, challenges and roadblock faced and options available for making housing for all a distinct reality
GATED COMMUNITY ARCHITECTURE THESIS CASE STUDYGeeva Chandana
This document provides information about a proposed gated community development in Maraimalai Nagar, Chennai. Some key details include:
- The development will be located on 15.07 acres near the Trichy-Chennai highway, within 10 minutes of the Maraimalai Nagar railway station.
- It aims to provide affordable housing for 2000 people at a maximum density of 115 people per acre.
- In addition to residential buildings, the community will include commercial centers, recreational facilities, a library, gymnasium, meditation center, and other amenities.
- Sustainable design principles like energy efficiency and use of natural light/ventilation will be incorporated. The layout will also promote walking and cycling.
Vivek Agarwal's presentation discusses the meaning and types of amalgamation. Amalgamation is when two or more companies combine to form a new entity. It results in the dissolution of the original companies and establishment of a new company with a unique name and identity. There are two main types of amalgamation - amalgamation in the nature of a merger, where shareholders of the combining companies become shareholders of the new company, and amalgamation in the nature of a purchase, where one company purchases the other. Purchase consideration is the amount paid by the purchasing company and can be calculated in different ways such as lump sum payment or net asset value method.
National Housing Policy & Habitat lll STUDYওমর ফারুক
National housing policy aims to make housing accessible and affordable for all citizens. It focuses on increasing the supply of land and housing, improving existing residences, and relocating slums to suitable areas. The policy addresses issues related to land, infrastructure, building materials, techniques, and financing for housing. It also establishes institutions like a national housing authority and committee to implement programs and coordinate between different levels of government on housing initiatives. International agreements like Habitat III emphasize the need for integrated housing frameworks, inclusive policies, expanding affordable options, upgrading informal settlements, and improving housing conditions globally to achieve sustainable development goals.
This document outlines regulations for apartment design in Chennai, India as prescribed by the Chennai Metropolitan Development Authority (CMDA). It discusses classifications of residential buildings, parking requirements, general terms, and regulations for different types of developments. Residential buildings are divided into four categories - ordinary, group, special, and multi-story. Parking requirements vary based on dwelling unit size and location. Key terms like setbacks, frontage, plot coverage, open space reservation, and floor space index are explained. Regulations address topics like access roads, site coverage, and electrical rooms for group developments.
This document provides an overview of cluster development as an alternative to conventional subdivision development. It discusses how cluster development groups residential properties closer together to utilize the rest of the land for open space. The purposes of cluster development include creating more open space, encouraging integrated site design, and protecting environmentally sensitive areas. Benefits include more preserved land, better stormwater management, and making more ecological and economic sense compared to conventional subdivisions. The document defines various cluster development terminology and discusses planning guidelines and articles related to cluster development.
Development controls regulate land use and new construction through a plan-led system involving public consultation. They regulate activities like constructing new buildings, extending existing ones, and changing land use. The main types of development controls are land subdivision controls, land use controls, zoning controls, density controls, height controls, and setback controls. Development controls are intended to guide development in a rational and orderly manner while protecting public health, safety, and the environment.
Group housing accommodates groups rather than individual units, making it both public and private. It is a common form of mass housing worldwide. This document discusses different types of group housing like cluster housing and row housing. It provides details on various government schemes for group housing in India. It also outlines building bye-laws, standards, and the National Building Code provisions for elements like minimum plot size, maximum height, open spaces, parking etc. for group housing projects.
Parking facilities include indoor and outdoor areas for vehicles belonging to buildings, roads, parking lots, multi-level structures, and facilities for specific vehicle types. Different outdoor parking patterns include parallel parking along roads, 90 degree parking, and oblique parking. Indoor parking includes multi-storey parking structures. Multi-storey parking facilities are designed specifically for automobile parking and have multiple floors for parking. They are typically limited to 5-6 stories with a capacity of around 500 vehicles. Parking standards and laws dictate the minimum requirements for parking spaces, ramps, and accessibility.
Prestige Lakeside Habitat Apartments design by Prestige Group at Varthur Lake, Near Whitefield Road Bangalore. Prestige Lakeside Venture is beautifully designed with opulence amenities which would definitely keep you high. Prestige Lakeside Habitat Bangalore is offer 2/2.5/3/4 BHK apartments with ample empty spaces.
The document discusses the CIDCO Housing project in Belapur, Navi Mumbai built between 1988-1993. It was planned as low-cost housing to accommodate the lowest income groups, comprising 1048 apartments of 1-2 rooms each. Architect Raj Rewal designed the project using cluster housing typologies organized around shared courtyards to maximize density while maintaining quality of life. The design incorporated 16 unit types and public, semi-public, and private spaces corresponding to social relationships.
An amphitheatre is an outdoor theater with a semi-circular or fan-shaped auditorium facing a stage. Key factors in amphitheatre design include selecting a site with good topographical, meteorological, and acoustic properties. The slope of seating should be at least 12 degrees for better visibility and audibility. Stage height varies depending on the number of spectators, from 8 to 16 inches for up to 100 spectators up to 24 to 32 inches for 300 to 500 spectators. Precautions must be taken to ensure noise levels do not exceed 45-50 decibels and wind speeds do not exceed 16 km/h.
Introduction to Housing: Housing And Delivery ProcessesAllona Alejandre
The document provides an introduction to housing in the Philippines. It discusses that housing varies for individuals based on factors like age, family, and geography. It also notes that the Philippines faces a huge demand for affordable housing units due to its growing population. Several government agencies are involved in housing delivery, including the National Housing Authority, Home Development Mutual Fund, and Housing and Urban Development Coordinating Council. The government aims to address the housing backlog through regulations, production of housing units, financing programs, and infrastructure development. However, challenges remain as rapid urbanization continues to outpace the government's ability to provide adequate housing and relocation assistance.
The document discusses residential density and planning standards. It includes:
- Definitions of net and gross residential density which exclude and include open spaces and roads.
- Requirements for group housing density in NBC including allowable coverage and FAR.
- HMDA master plan features like zoning linked to infrastructure, density policies, incentives for large layouts, and heritage conservation.
- IS rules for residential density including allowable densities and notes on plot sizes for low income housing.
RERA will transform the real estate sector by increasing transparency and accountability. In the short term, real estate launches may decline as developers work to comply with new RERA and GST regulations. Prices may initially rise as unsold inventory is cleared, and supply will shrink as only compliant developers launch new projects. However, builders will adapt over time by launching projects in phases to avoid penalties and incorporating additional costs into prices. Overall, RERA will establish standards that improve consumer protection and confidence in the industry.
This document discusses various approaches to providing affordable rental housing in India. It begins by defining different types of affordable housing such as ownership housing, social rented housing, and intermediate housing. It then discusses challenges around providing affordable housing given rapid urbanization and poverty levels in India. The document outlines several government initiatives and programs to promote affordable housing. It also examines issues around developing affordable housing and strategies to increase housing supply such as using government land banks and increasing floor space index. The document analyzes rental housing models and case studies from other countries and within India to provide affordable rental options.
Affordable housing is a dream come true for middle class section. Concept of affordable housing is like a windfall for all those who are yearning for their own house. With maximum number of people having their own house prosperity of India will be multi fold.
The Incremental Housing project in CBD Belapur designed by Charles Correa featured clusters of 7-12 pairs of courtyard homes arranged to achieve high density using simple materials. Each family could independently extend their home, which started with a basic structure. Over time, many original homes were demolished and replaced with larger concrete structures, though the courtyard layout remained. While the flexibility initially provided benefits, maintenance of common spaces became an issue as the community changed.
Options for making affordable housing for all a reality in urban India (1)JIT KUMAR GUPTA
Presentation tries to briefly dwelling on affordable housing in the context of India- Explaining the role and importance of housing in urban spaces , issues, challenges and roadblock faced and options available for making housing for all a distinct reality
GATED COMMUNITY ARCHITECTURE THESIS CASE STUDYGeeva Chandana
This document provides information about a proposed gated community development in Maraimalai Nagar, Chennai. Some key details include:
- The development will be located on 15.07 acres near the Trichy-Chennai highway, within 10 minutes of the Maraimalai Nagar railway station.
- It aims to provide affordable housing for 2000 people at a maximum density of 115 people per acre.
- In addition to residential buildings, the community will include commercial centers, recreational facilities, a library, gymnasium, meditation center, and other amenities.
- Sustainable design principles like energy efficiency and use of natural light/ventilation will be incorporated. The layout will also promote walking and cycling.
Vivek Agarwal's presentation discusses the meaning and types of amalgamation. Amalgamation is when two or more companies combine to form a new entity. It results in the dissolution of the original companies and establishment of a new company with a unique name and identity. There are two main types of amalgamation - amalgamation in the nature of a merger, where shareholders of the combining companies become shareholders of the new company, and amalgamation in the nature of a purchase, where one company purchases the other. Purchase consideration is the amount paid by the purchasing company and can be calculated in different ways such as lump sum payment or net asset value method.
Land premium is an amount paid to the land authority for changes to land use or lease extensions. There are different types of land premium calculated based on factors like market value, land category, and remaining lease term. Premium is calculated using formulas involving the land value, percentage rates specified by state rules, and differences in lease terms. Examples show how premium is determined for residential lease extensions and conversions from agricultural to residential use.
This document summarizes procedures for subdivision, partition, and amalgamation of land under the National Land Code of Malaysia. It discusses:
1. Subdivision allows breaking up a single title into two or more portions, each held under a new separate title. The registered proprietor applies to the relevant authority and must meet conditions.
2. Partition divides jointly held land among co-proprietors, terminating their joint ownership and granting each a separate title. Co-proprietors or a majority shareholder can apply to the relevant authority.
3. Amalgamation combines two or more contiguous titles into a single title. The relevant authority approves if conditions are met. Approval from higher authorities may be required
This document provides an overview of the residential development process, from initial conception through municipality approval. It discusses surveying land and dividing it into lots and blocks. It also covers the Development of Regional Impact process, which identifies issues early and allows for assessment and mitigation of impacts. The roles of developers, local governments, regional planning councils, and state agencies in the DRI review process are outlined. Steps for recording a subdivision plat like development plan approval, preliminary plan approval, engineering approval, and plat approval are also noted.
This document presents a detailed flowchart on the process of property development in Malaysia, from land purchase application to construction to delivery of the property to purchasers.
The Malaysian property market is experiencing uneven demand and supply conditions across segments. There is strong demand but insufficient supply in the housing market, especially for affordable housing. Between 2011-2015, the annual completion of new houses fell short of the increase in households by an average of 85,911 units per year. In contrast, the office and retail markets have seen oversupply as many new buildings have been constructed. This imbalance has led to rapidly rising house prices that have outpaced income growth, reducing housing affordability. The shortage is most severe for affordable housing priced below RM250,000, which constitutes only 21% of new launches yet is needed by half of Malaysian households. If unaddressed, this mismatch between house prices and income
KRI has published two reports on the State of Households in Malaysia. The first report in 2014 provided quantitative data showing income inequality between households, low median incomes, and the regressive nature of fuel subsidies. The second report in 2016 highlighted important demographic issues like an aging population and youth unemployment, as well as rising food prices outpacing inflation. KRI's research on household well-being has influenced policies on affordable housing and trade, with the aim of improving living standards for all Malaysians.
KRI has published two reports on the State of Households in Malaysia. The first report in 2014 provided data-driven evidence on inequality, household incomes, distribution policies and foreign workers. It shifted public discourse on key issues. The second report in 2016 deepened the analysis, focusing on food prices, demographics including gender and aging. It highlighted concerns around youth unemployment and increasing household debt. Both reports aim to influence policy by providing quantitative analysis on issues impacting Malaysian households.
This report is the second in the Khazanah Research Institute’s (KRI’s) publication series on the State of
Households. This publication series generally seeks to outline some of the pressing issues of the nation,
particularly those revolving around households. In this edition, we focus on developments in household
wellbeing between the 2012 and 2014 Household Income and Basic Amenities Surveys published by the
Malaysian Department of Statistics (DOS). This edition also features three topics of discussion: households and
food, women in the workforce, and population ageing.
Ipoh's PROPENOMICS: The Haven, an iconic project that is reshaping Ipoh's Pro...Daniele Gambero
Understanding the value and the potential capital gain of an Iconic Project through a in depth Propenomics analysis of the Ipoh's Macro and Micro economics.
The 10 reasons why Iskandar Malaysia is a top scoring location for teh propen...Daniele Gambero
Why a location becomes Strategically Sustainable? Why a Propenomic analysis is a must to understand the where, what and when in a Property Investment decision process? This and more has been and will be published
Propenomics of Iskandar Malaysia and meaning of Stategically Sustainable Loca...Daniele Gambero
Economic development, Infrastructure development, manufacturing and services development.... and much more planning done for Iskandar Malaysia. The execution is on the dot and the outlook very positive.
Comfori 1 commercial properties jan 22 23-2014 for uploadingDaniele Gambero
This document summarizes Dr. Daniele Gambero's presentation on the Malaysian economy, property market, and sustainability. It connects economic performance to demographic trends and property hotspots. It shows that between 2000-2012, median income grew 175% while house prices grew 67%, indicating a sustainable market. The 2014 budget aims to strengthen resilience and transformation through measures like RPGT tax revisions and a higher minimum for foreign purchases that target speculators without affecting the overall market.
This report sets out some of the pressing issues of the nation that the Khazanah Research Institute is investigating and for which we will provide policy recommendations. It includes preliminary findings on the State of Malaysian Households, the Malaysian Workforce and Trade and Investment Policies.
This presentation was presented by KRI Managing Director, Dato' Charon Wardini bin Mokhzani at the Young Corporate Malaysians' CEO Series 55 on 15 April 2015 in Kuala Lumpur.
Affordable Housing : A Case Study from 7th Annual Affordable Housing Projectsmarcus evans
Case studies presented at the recent 7th Annual Affordable Housing Projects have been included in an article by Property Insights. Thank you for the mention!
The document summarizes Malaysia's economic outlook and property market for 2014, with a focus on the sustainability of Iskandar Malaysia. It discusses Malaysia's economic performance compared to other countries and states that while house prices grew 67% from 2000-2012, median income grew much more at 175% over the same period, indicating the property market remains sustainable. It outlines Malaysia's 2014 budget which aims to attract investment through tourism and infrastructure projects. These include the Kuala Lumpur-Singapore high speed rail, MRT lines, and new highways, showing the government is committed to improving mobility and transforming the economy.
The document summarizes a presentation on wages and households in Malaysia from 2010 to 2019. It assesses wage growth and inequality using salary survey data. Key findings include overall progressive wage growth but regressive growth for non-minimum wage earners. Minimum wage increases benefited low-wage workers but effects dissipated towards the median. Middle-income earners experienced the slowest absolute growth. Wage stagnation remained an issue even after minimum wage increases. The presentation concludes with recommendations for centralized wage setting to raise middle incomes and incentivize productivity growth.
FACTORS THAT INFLUENCE HOUSING PRICE IN MALAYSIA...pptxnurqaseh18
This document discusses factors that influence housing prices in Malaysia. It begins with an introduction to housing as an asset and need. It then discusses the problem of rising housing prices in Malaysia in recent years. The document outlines several research objectives around examining the correlation between housing prices and factors like interest rates, income levels, GDP, and population. It reviews literature on these relationships and discusses methodology. Key findings from regression analysis show income level, GDP, and population have significant positive relationships with housing prices, while interest rates do not. Income level is identified as having the strongest influence. Recommendations include adding more variables and increasing sampling frequency.
Population Growth and the Challenges of Human Capital Development by Dr. Ejik...NigeriaFamilyPlannin
This document discusses Nigeria's population growth challenges and opportunities for human capital development. It notes that Nigeria's population has grown significantly from 45.2 million in 1960 to over 221 million currently, while the fertility rate remains high at 5.5. This rapid growth has created a youth bulge, high unemployment, and a largely dependent population. However, with strategic policy changes like reducing fertility rates, investing heavily in education, healthcare, and creating jobs, Nigeria can transition from a demographic crisis to gaining a demographic dividend with a more prosperous population over the next generation.
Promoting of the broader spread of home ownership and growth of the secondary...Nora Tahir FCA
This document provides an overview of Malaysia's housing market and efforts to develop a sustainable housing finance system. It discusses the various roles of the government, financial institutions, and Cagamas Berhad, the national mortgage corporation. Cagamas promotes home ownership through programs like mortgage guarantees and by providing liquidity to banks through purchasing housing loans and issuing securities, thereby strengthening the secondary mortgage market. The document outlines Cagamas' business model and its important role in linking the mortgage market to capital markets to support sustainable growth in housing financing.
Promoting of the broader spread of home ownership and growth of the secondary...Nora Tahir FCA
This document provides an overview of Malaysia's housing market and efforts to develop a sustainable housing finance system. It discusses government initiatives to promote home ownership, challenges in the housing system, and the role of key players like Cagamas Berhad. Cagamas issues debt securities to purchase housing loans from financial institutions, providing liquidity while developing the bond market. Through various refinancing programs and mortgage guarantees, Cagamas has cumulatively refinanced over RM122 billion in housing loans to support affordable housing in Malaysia.
Promoting of the broader spread of home ownership and growth of the secondary...Nora Tahir FCA
This document provides an overview of Malaysia's housing market and the country's efforts to develop a sustainable housing finance system. It discusses the key elements needed for a well-functioning system, including calibration of government participation, an active and efficient mortgage market, and the development of a secondary mortgage market facilitated by Cagamas Berhad. It also outlines several of Malaysia's housing schemes targeted at different income groups and highlights the regulatory role of the Central Bank of Malaysia in strengthening risk management and oversight of the country's housing finance system.
This document provides a summary of a presentation on the Malaysian economy, demographics, and property market. It discusses trends showing that household income has increased faster than house prices, indicating sustainability. Upcoming hotspots for real estate investment are identified as Greater Kuala Lumpur, Klang Valley, and Greater Klang Valley. The budget for 2014 is also summarized, including revisions to RPGT tax rates and a minimum purchase price for foreign buyers. Developments indicate the market will remain sustainable.
1) The project aims to develop a framework, indicators, and policy toolkit to help governments design coherent housing strategies that balance goals like affordable housing, economic resilience, labor mobility, and environmental sustainability.
2) Key activities will examine how policies can enhance housing outcomes and economic performance, promote labor mobility, incorporate local factors, and reduce inequality and environmental impacts.
3) The project will pull expertise from across the OECD to provide holistic and actionable policy advice to member countries.
The document summarizes a focus group discussion on food security measures for Budget 2024. It includes:
1) An agenda for the focus group discussion, which involves an opening remarks, presentation by Khazanah Research Institute on ensuring food security, and a discussion session.
2) The presentation by Khazanah Research Institute covers trends in global and national food security, challenges facing Malaysia's food supply, and recommendations for Budget 2024 including developing Sabah and Sarawak's paddy industry.
3) Discussion points to address food security through Budget 2024 in the areas of availability, accessibility, and utilization.
KRI Webinar - Rich Places, Poor Places: Managing the realities of neighbourhoodsKhazanahResearchInstitute
What are the necessary conditions for ‘diverse and thriving’ neighbourhoods? What is the opposite of ‘diverse and thriving’ neighbourhoods? Are thriving neighbourhoods more expensive to live in? Are our capacities to grow into middle-income earners limited by the neighbourhoods we reside in?
In this webinar, we will explore how prosperous neighbourhoods are distinguished by their levels of place differentiation – a reflection of the diverse freedoms and opportunities they offer to residents. The discourse will also include housing as the pivotal anchor that shapes the lives of households.
On 27 July 2023, KRI hosted a webinar outlining findings from the recently published report, ‘Decent Shelter for the Urban Poor: A Study of Program Perumahan Rakyat (PPR)’. The webinar explored the importance of housing standards in building and preserving good quality home environments, practical implementations, international perspectives and the implications for existing homes.
1) Malaysia's labor market faces several structural issues including wages that are misaligned with productivity, insufficient high-skilled job creation, and skills mismatches between graduates and industry needs.
2) To address these issues, Malaysia should focus on creating high-skilled, high-paying jobs while reducing reliance on low-skilled foreign workers. This includes providing clarity on where foreign workers are most needed and how to support productivity growth.
3) Establishing meaningful industry participation is also important to equip the workforce with the right skills through aligning policy with evolving industry needs and learning from existing successful models of collaboration between industry, academia and government.
Enclaves are areas of urban change driven by migration flows rather than static spaces. Enclaves are important areas of social interaction for both migrants and the wider society. The characteristics of enclaves are shaped by patterns of migration and policies surrounding migration management.
This document discusses conceptualizing societal harms of artificial intelligence. It notes that individual harm can occur when an individual is negatively impacted by AI, and societal harm can happen when connections between individuals or groups are negatively affected. The document examines defining harm as a wrongful setback to or thwarting of an interest.
This document discusses the shift toward embracing industrial policy by countries in the global North. It notes the long history of development failure and income gaps persisting in regions outside of Northeast Asia, which successfully adopted industrial policy. While industrial policy was discouraged for developing countries, major powers like the US and UK are now pursuing ambitious industrial policies themselves to compete with China's rise and address climate change and inequality issues. This represents a major change from the previous dominance of "neoliberal" ideas opposing government intervention in markets. Geopolitical tensions, especially with China, are now shaping economic policies in the global North.
Institution and Economic Development in Korea
The document discusses the role of institutions in Korea's economic development. It notes that while institutions helped spur growth initially, becoming too dependent on politics led to inconsistencies that posed risks. Specifically, industrial and economic policies often changed with the political winds, disrupting areas like labor laws, energy policy, and trade relations with partners like China, Japan, and the US. More recently, the private sector has led manufacturing while the government focuses on indirect support through R&D and improved regulations. However, government engagement was needed during crises like the Asian Financial Crisis and COVID-19 to ensure supply chain security and develop new policies for challenges like climate change and digital transformation.
Malaysia has experienced some economic transformation but has yet to fully shift into complex, high-value industries according to its Economic Complexity Index and product space analysis. While it has winnowed in simple, low-value goods like garments, its expansion into more sophisticated categories like chemicals has been minimal. To advance further, the document recommends localizing growth by promoting regional strengths, shortening distances between industries, removing divisions, and focusing on enhancing firm productivity and cluster-wide development to strengthen entire value chains within dense areas of the product space. This would help firm Malaysia's shift toward more complex economic activities and sustainable growth.
1) Malaysia has participated in global value chains (GVCs) through liberalizing foreign direct investment policies that attracted multinational corporations to set up electronics and electrical manufacturing facilities.
2) Trends suggest GVCs will become shorter, more regionalized, and driven by platforms and customization rather than mass production. Electric vehicles (EVs) present an opportunity for Malaysia given its critical mineral resources and potential as an ASEAN market.
3) Key policy questions for Malaysia include whether to develop the full EV battery value chain domestically from mining to recycling; which parts of the chain to prioritize; and how to stimulate local EV demand through infrastructure development and affordable models.
The document discusses China-Malaysia investment trends over recent decades based on data from the Malaysian Department of Statistics. It shows that Malaysia has undergone structural transformation from an agriculture-based to a manufacturing and services-based economy. China has become a major source of foreign direct investment for Malaysia, with flows increasing from $0.2 billion in 2016 to $0.8 billion in 2020, especially in manufacturing and mining. Chinese investment stock in Malaysia has also grown, reaching $3 billion in 2020. The document suggests some big Chinese-funded projects could help shape Malaysia's development pathways in real estate, logistics, and rail infrastructure. It raises questions about Malaysia managing its reliance on foreign investment and adopting a whole-of-nation
Foreign Direct Investment (FDI) and Global Value Chains (GVCs) have transformed Southeast Asia's economy from one focused on exporting raw materials to one that plays an important role in international manufacturing networks. However, rising protectionism is causing a rethinking of GVCs toward regionalization. This presents both challenges and opportunities for Southeast Asian countries to develop resilience in GVCs by diversifying beyond being just production hubs and leveraging their positions as regional market hubs. GVC resilience requires adjustments from countries, industries, and firms in both developing new strengths and adapting to the changing economic context.
Special Address - Recent World Trends and Threats and to Malaysia ProspectsKhazanahResearchInstitute
The document discusses recent global economic trends that pose threats to Malaysian prospects. It notes that market access has declined for open economies due to fewer trade agreements and sanctions being used as economic weapons in a new Cold War. Supply disruptions from COVID-19, war, and sanctions are contributing to cost-push inflation. Interest rate hikes by Western central banks will likely slow global growth. OECD and NATO policies are largely contractionary and regressive worldwide, risking stagnation, depression, or a protracted period of slow growth for developing countries.
Too often, policy research on the paddy and rice industry in Malaysia focuses on the cheaper, medium-grained plain rice primarily produced in Peninsular Malaysia. Heirloom/specialty paddy cultivation in Sabah and Sarawak has received less attention. However, it holds the potential to spur the competitiveness of Malaysia’s paddy and rice industry.
Several barriers remain before we can witness the rise of the next ‘Musang King’ of the country.
This report seeks to shed light on the significance of the paddy and rice industry in Sabah and Sarawak and to provide policy recommendations where appropriate.
Care work, including both paid and unpaid activities that involve looking after someone else's physical, psychological, and emotional needs, is undervalued socially and economically. While essential for human well-being, most care work is performed by women in informal and low-paid jobs. The feminization and globalization of the care sector has created opportunities as well as challenges. With aging populations and changing social norms, care work has the potential to generate significant employment, especially as technology cannot fully replace the human element of care. However, policies are needed to improve training, wages, and working conditions for care workers and ensure universal access to high-quality care.
Micronutrient deficiencies, also known as hidden hunger, affect millions of children and cause stunted growth, cognitive delays, and weakened immunity. Common deficiencies include iodine, vitamin A, iron, zinc, and calcium/vitamin D/folate during pregnancy. These deficiencies can be addressed through supplementation, food fortification, and biofortification programs. The National Plan of Action on Nutrition Malaysia III aims to reduce micronutrient deficiencies through universal salt iodization, prenatal vitamin distribution, and nutrition education.
Demarcation of Malaysian Households: An Integrated Income and Consumption Ana...KhazanahResearchInstitute
The document discusses demarcating households in Malaysia according to economic well-being. It analyzes income and consumption data to examine the composition of the bottom 40% (B40) households. The B40 is a heterogeneous group consisting of subgroups with different income levels. While B40 household incomes have risen over time, they remain reliant on single earners with lower education levels. The document questions if the current B40 classification accurately reflects economic well-being and poverty levels. It proposes considering additional factors to better target government assistance programs.
The document discusses demarcating households in Malaysia according to economic well-being. It analyzes income and consumption data to examine the composition of the bottom 40% (B40) households. The B40 is a heterogeneous group consisting of subgroups with different income levels. While B40 household incomes and share of total income have risen, their heads typically have lower education and skills. The document proposes revisiting the B40 definition to better target assistance programs.
The Crisis of Obesity, Diabetes and Other NCD's: The Crisis and How to Preven...KhazanahResearchInstitute
1) Malaysia is facing a crisis of obesity, diabetes, and other non-communicable diseases, with obesity rates doubling over the past 20 years and diabetes prevalence more than doubling.
2) This is driven by increased food intake of fats and sugars, as well as more sedentary lifestyles.
3) Current nutrition policies have been ineffective at addressing the underlying drivers, and a new national nutrition strategy is needed that harmonizes food and agriculture policies and regulates food marketing and sales.
KRI Brown Bag Seminar #10: 'Informal and Non-Standard Employment: Cross-natio...KhazanahResearchInstitute
This document discusses informal and non-standard employment based on cross-national statistics and recent trends. It provides an overview of key concepts related to informal employment and the progress made in international statistics on this topic. Specifically, the ILO published the first ever globally harmonized estimates of informal employment in 2018, finding over 60% of total global employment is informal. The estimates provide insight into informal employment trends across regions, sex, employment status, industries, and more. Developing reliable cross-national measures of informal employment has involved collaboration between the ILO and other organizations over many years.
Preliminary findings _OECD field visits to ten regions in the TSI EU mining r...OECDregions
Preliminary findings from OECD field visits for the project: Enhancing EU Mining Regional Ecosystems to Support the Green Transition and Secure Mineral Raw Materials Supply.
Combined Illegal, Unregulated and Unreported (IUU) Vessel List.Christina Parmionova
The best available, up-to-date information on all fishing and related vessels that appear on the illegal, unregulated, and unreported (IUU) fishing vessel lists published by Regional Fisheries Management Organisations (RFMOs) and related organisations. The aim of the site is to improve the effectiveness of the original IUU lists as a tool for a wide variety of stakeholders to better understand and combat illegal fishing and broader fisheries crime.
To date, the following regional organisations maintain or share lists of vessels that have been found to carry out or support IUU fishing within their own or adjacent convention areas and/or species of competence:
Commission for the Conservation of Antarctic Marine Living Resources (CCAMLR)
Commission for the Conservation of Southern Bluefin Tuna (CCSBT)
General Fisheries Commission for the Mediterranean (GFCM)
Inter-American Tropical Tuna Commission (IATTC)
International Commission for the Conservation of Atlantic Tunas (ICCAT)
Indian Ocean Tuna Commission (IOTC)
Northwest Atlantic Fisheries Organisation (NAFO)
North East Atlantic Fisheries Commission (NEAFC)
North Pacific Fisheries Commission (NPFC)
South East Atlantic Fisheries Organisation (SEAFO)
South Pacific Regional Fisheries Management Organisation (SPRFMO)
Southern Indian Ocean Fisheries Agreement (SIOFA)
Western and Central Pacific Fisheries Commission (WCPFC)
The Combined IUU Fishing Vessel List merges all these sources into one list that provides a single reference point to identify whether a vessel is currently IUU listed. Vessels that have been IUU listed in the past and subsequently delisted (for example because of a change in ownership, or because the vessel is no longer in service) are also retained on the site, so that the site contains a full historic record of IUU listed fishing vessels.
Unlike the IUU lists published on individual RFMO websites, which may update vessel details infrequently or not at all, the Combined IUU Fishing Vessel List is kept up to date with the best available information regarding changes to vessel identity, flag state, ownership, location, and operations.
Contributi dei parlamentari del PD - Contributi L. 3/2019Partito democratico
DI SEGUITO SONO PUBBLICATI, AI SENSI DELL'ART. 11 DELLA LEGGE N. 3/2019, GLI IMPORTI RICEVUTI DALL'ENTRATA IN VIGORE DELLA SUDDETTA NORMA (31/01/2019) E FINO AL MESE SOLARE ANTECEDENTE QUELLO DELLA PUBBLICAZIONE SUL PRESENTE SITO
This report explores the significance of border towns and spaces for strengthening responses to young people on the move. In particular it explores the linkages of young people to local service centres with the aim of further developing service, protection, and support strategies for migrant children in border areas across the region. The report is based on a small-scale fieldwork study in the border towns of Chipata and Katete in Zambia conducted in July 2023. Border towns and spaces provide a rich source of information about issues related to the informal or irregular movement of young people across borders, including smuggling and trafficking. They can help build a picture of the nature and scope of the type of movement young migrants undertake and also the forms of protection available to them. Border towns and spaces also provide a lens through which we can better understand the vulnerabilities of young people on the move and, critically, the strategies they use to navigate challenges and access support.
The findings in this report highlight some of the key factors shaping the experiences and vulnerabilities of young people on the move – particularly their proximity to border spaces and how this affects the risks that they face. The report describes strategies that young people on the move employ to remain below the radar of visibility to state and non-state actors due to fear of arrest, detention, and deportation while also trying to keep themselves safe and access support in border towns. These strategies of (in)visibility provide a way to protect themselves yet at the same time also heighten some of the risks young people face as their vulnerabilities are not always recognised by those who could offer support.
In this report we show that the realities and challenges of life and migration in this region and in Zambia need to be better understood for support to be strengthened and tuned to meet the specific needs of young people on the move. This includes understanding the role of state and non-state stakeholders, the impact of laws and policies and, critically, the experiences of the young people themselves. We provide recommendations for immediate action, recommendations for programming to support young people on the move in the two towns that would reduce risk for young people in this area, and recommendations for longer term policy advocacy.
About Potato, The scientific name of the plant is Solanum tuberosum (L).Christina Parmionova
The potato is a starchy root vegetable native to the Americas that is consumed as a staple food in many parts of the world. Potatoes are tubers of the plant Solanum tuberosum, a perennial in the nightshade family Solanaceae. Wild potato species can be found from the southern United States to southern Chile
Synopsis (short abstract) In December 2023, the UN General Assembly proclaimed 30 May as the International Day of Potato.
Monitoring Health for the SDGs - Global Health Statistics 2024 - WHOChristina Parmionova
The 2024 World Health Statistics edition reviews more than 50 health-related indicators from the Sustainable Development Goals and WHO’s Thirteenth General Programme of Work. It also highlights the findings from the Global health estimates 2021, notably the impact of the COVID-19 pandemic on life expectancy and healthy life expectancy.
Food safety, prepare for the unexpected - So what can be done in order to be ready to address food safety, food Consumers, food producers and manufacturers, food transporters, food businesses, food retailers can ...
2. This report examines the issue of housing affordability in Malaysia, viewing it within the context of housing as an
economic sector rather than simply as a social welfare concern. Housing interventions have focused primarily on
demand, and in doing so subsidises a non-responsive supply sector. We examine housing affordability with the view of
ensuring that supply is able to meet effective demand, thus improving the affordability of housing in general.
This report considers the problem of supplying affordable homes from the perspectives of both institutions (the
national business system) and firms (industry value chain analysis and the economics of governance). This is based on
the premise that improvements are needed at the level of construction projects and firms in order to increase the
affordability of houses at the national level.
Until now, policies have focused on controlling house prices once the consumer receives the house at the end of the
production process. This report adopts a different approach as evidence shows that it is far more efficient to enhance
capacity on the supply side in order to develop a sustainable and responsive housing sector that caters for all sections
of the population.
This is the first in a series of reports undertaken to examine the various dimensions of the housing industry. Future
studies will focus on matters relating to land and its attendant regulations, the financing of housing and how housing
must be understood as a critical component of city-making.
2
3. Structure of the presentation
1 Key Recommendations
2 How affordable is the Malaysian Housing market?
3 Housing demand, supply and interventions
4 The state of house building in Malaysia
5 Policy recommendations
6 Concluding remarks
3
5. Key Recommendations:
Develop measures to improve
the efficacy of the delivery
system of the construction
industry to supply housing at
affordable prices
A designated procurement
route for affordable housing
intended to consolidate firms
along the value chain
Develop measures to reduce
pressures leading to rapid
house price escalation
Introduce short term
moratoriums
Develop measures to plan for
a steady supply of housing at
affordable prices
Create an integrated
database for the efficient
planning of housing units
5
7. Home ownership and informality
Comparison between DoS’s housing units and NAPIC’s existing housing stock, 2010Home ownership rates for
selected countries, 2010
Malaysia’s home ownership rate of
72.5% is relatively high as home
ownership rates in developed countries
– apart from Singapore – were below
70% in the same year.
However, the rates published by the
Department of Statistics includes
ownership of informal houses.
A significant amount of housing stock
accounted in the Census 2010 is not
included in the estimates published by
the National Property and Information
Centre (NAPIC) which takes into
account formal housing.
Percentage of home
ownership in Malaysia, 2010
Percentage of home
ownership
Malaysia 72.5
Australia 68.1
Singapore 87.2
UK 67.4
US 66.5
Percentage of home ownership
Total Urban Rural
Malaysia 72.5% 69.1% 81.2%
Johor 72.2% 69.6% 78.5%
Kedah 81.8% 77.2% 89.9%
Kelantan 80.5% 72.3% 86.4%
Melaka 72.9% 72.0% 78.5%
N. Sembilan 71.7% 68.2% 77.8%
Pahang 72.0% 65.8% 78.6%
Perak 75.7% 73.4% 80.8%
Perlis 78.1% 72.8% 83.5%
P. Pinang 77.5% 76.8% 83.5%
Sabah 68.1% 65.3% 71.7%
Sarawak 79.4% 75.9% 83.2%
Selangor 67.9% 66.9% 78.2%
Terengganu 78.5% 75.5% 82.8%
K. Lumpur 53.5% 53.5%
Labuan 57.0% 54.4% 73.5%
Putrajaya 9.9% 9.9%
Type of living quarters Units
Built or
converted
for living
Housing
units
Detached 2,416,210
Semi-detached 528,408
Terrace / link 2,570,317
Townhouse 32,682
Cluster 63,345
Flat 744,187
Apartment and condominium 716,729
Room 16,142
Shophouse/office 132,262
Longhouse (Sabah & Sarawak) 84,133
Others 18,398
Improvised / temporary hut 12,358
Total 7,335,171
Collective
living
quarters
Higher learning institution 3,650
Temporary quarters for workers 3,029
Others 2,179
Charitable/social welfare
institution
778
Hotel, lodging house, rest house 627
Medical institution 585
Prison, detention centre 168
Religious home 81
Total 11,097
Not intended for
living but used as
such on Census Day
In a permanent building 96
Others 546
Total 642
GRAND TOTAL 7,346,910
Existing housing stock Units
Detached 399,817
Semi-detached 282,402
Terrace 1,767,519
Townhouse 24,554
Cluster 26,299
Flat & low cost flat 817,422
Apartment and condominium
(including Service Apartment and
SOHO)
495,007
Low cost house 574,963
Total 4,387,983
Department of Statistics National Property Information Centre
7All sources for the charts and tables can be found in the “Making Housing Affordable" book
8. Residential market dominates property transactions
8
The residential sector has always dominated the Malaysian
property market. In 2013 and 2014, the number of
residential transactions represented about 64% of the total
transactions.
These transactions represented approximately RM67.8
billion, RM72.1 billion, and RM82.1 billion worth of
transactions in 2012, 2013, and 2014 respectively.
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
Units
Development
Agricultural
Industrial
Commercial
Residential
-
20
40
60
80
100
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
RMbillion
Residential
Commercial
Development
Agricultural
Industrial
0
10
20
30
40
50
60
70
80
90
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
Number of transactions (units, LHS)
Value (RM billion, RHS)
No. of property transaction by type of
properties, 2002 - 2014
Value of property transaction by type of
properties, 2002 - 2014
Number and value of residential transaction, 2002 - 2014
All sources for the charts and tables can be found in the “Making Housing Affordable" book
9. Affordability and a Well-Functioning Housing Sector
9
0
50
100
150
200
250
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
Indexed(2000=100)
Malaysia
House
price index
The Malaysian House Price Index shows
that in 2014, all - house price stood at
213.5 points compared to 2000,
attaining a CAGR of 5.6%.
Year 1997 1999 2002 2004 2007 2009 2012 2014
Mean Income 12.7% -2.6% 6.6% 3.8% 4.2% 4.4% 7.2% 10.3%
Median Income 11.2% -0.6% 6.1% 3.8% 4.8% 5.4% 8.1% 11.7%
House Price 7.0% -6.1% 3.1% 4.3% 3.1% 3.1% 9.0% 10.6%
Compound annual growth rate, 1997 - 2014
-10%
-5%
0%
5%
10%
15%
1997
1999
2002
2004
2007
2009
2012
2014
Median
Income
House Price
Mean
Income
House prices seem to have increased in
tandem with household incomes.
2014 house price as a multiple of
2000 house price
Area
All House Terrace
Semi-
Detached
Detached High-Rise
MALAYSIA 2.14 x 2.09 x 2.14 x 2.27 x 2.31 x
Sabah 2.99 x 3.08 x 3.05 x 2.83 x 2.62 x
K. Lumpur 2.58 x 2.73 x 2.58 x 2.72 x 2.20 x
Terengganu 2.58 x 2.63 x 2.64 x 2.43 x
Pahang 2.53 x 2.44 x 2.63 x 3.04 x
P. Pinang 2.44 x 2.69 x 1.65 x 1.77 x 2.62 x
Perlis 2.44 x 2.45 x 2.43 x
Kelantan 2.23 x 2.22 x 2.18 x 2.30 x
Perak 2.23 x 2.19 x 2.22 x 2.53 x
Sarawak 2.14 x 2.06 x 2.15 x 2.31 x
Selangor 2.06 x 2.08 x 2.18 x 2.06 x 1.66 x
Kedah 2.03 x 1.97 x 2.16 x 2.08 x
N. Sembilan 1.97 x 1.98 x 2.14 x 1.88 x 1.08 x
Melaka 1.80 x 1.91 x 1.65 x 1.08 x 1.24 x
Johor 1.61 x 1.56 x 1.87 x 1.63 x 1.78 x
CAGR 2000 - 2014
Area
All House Terrace
Semi-
Detached
Detached High-Rise
MALAYSIA 5.6% 5.4% 5.6% 6.0% 6.2%
Sabah 8.1% 8.4% 8.3% 7.7% 7.1%
K. Lumpur 7.0% 7.4% 7.0% 7.4% 5.8%
Terengganu 7.0% 7.1% 7.2% 6.5%
Pahang 6.9% 6.6% 7.2% 8.3%
P. Pinang 6.6% 7.3% 3.7% 4.2% 7.1%
Perlis 6.6% 6.6% 6.5%
Kelantan 5.9% 5.8% 5.7% 6.1%
Perak 5.9% 5.8% 5.9% 6.8%
Sarawak 5.6% 5.3% 5.6% 6.2%
Selangor 5.3% 5.4% 5.7% 5.3% 3.7%
Kedah 5.2% 4.9% 5.6% 5.4%
N. Sembilan 4.9% 5.0% 5.6% 4.6% 0.5%
Melaka 4.3% 4.7% 3.6% 0.6% 1.6%
Johor 3.4% 3.2% 4.6% 3.6% 4.2%
Min Max
All sources for the charts and tables can be found in the “Making Housing Affordable" book
Breakdown of house prices by state, 2014
10. What would the median multiple indicator look like
for Malaysia?
10All sources for the charts and tables can be found in the “Making Housing Affordable" book
0%
5%
10%
15%
20%
Below2k
2k-<3k
3k-<4k
4k-<5k
5k-<6k
6k-<7k
7k-<8k
8k-<9k
9k-<10k
10k-<11k
11k-<12k
12k-<13k
13k-<14k
14k-<15k
15kandabove
50%
0
100
200
300
400
500
600
700
50korless
>50k-100k
>100k-150k
>150k-200k
>200k-250k
>250k-300k
>300k-400k
>400k-500k
>500k-1m
>1m
Median Market 2
Median Market 4
Median Market 3
Median Market 5
Median Market 8
Our assumptions:
1. The median monthly income is RM 4,585.
2. The range for house prices is following NAPIC’s house price distribution.
3. Total number of units transacted is 2000.
4. All the brackets (based on price range) is filled with value (units).
5. The mode (price with highest number of units) lies on the same bar as the median value
6. The lower quartile (Q1) and the upper quartile (Q3) are assumed to be at the middle of the
price range.
7. The cumulative frequency for the price range where the median is located gives the exact
value of 1000.
The signal of a well-functioning market is when
median price for the whole of housing market is
3x the median gross annual household income.
Mode = Median for market 2, 3, 4, 5 and 8Distribution of household by income
category, 2014
Market median 3
0
100
200
300
400
500
600
700
50korless
>50k-100k
>100k-150k
>150k-200k
>200k-250k
>250k-300k
>300k-400k
>400k-500k
>500k-1m
>1m
Median > Mode
Median = Mode
11. The Malaysian median multiple: signal of an
unaffordable market?
11All sources for the charts and tables can be found in the “Making Housing Affordable" book
Income and house price (RM)
Median multiple affordability
Comparison of housing affordability based on annual
household median income and median all-house price across
states in Malaysia, 2014
In general the median price for the Malaysian housing market exceeds the three times median annual household income threshold for
affordability. To adjust for the potential shortfall of NAPIC taking only the formal sector in account, it is assumed that house prices in
states where 60% or more of housing stock is accounted for by NAPIC are representative of the overall housing market.
24,588
26,532
30,624
34,092
43,512
55,020
100,000
115,001
135,000
149,000
175,000
242,000
2002 2004 2007 2009 2012 2014
Annual
median
income
Median
house price
4.07
4.33 4.41 4.37
4.02
4.40
2002 2004 2007 2009 2012 2014
Median
multiple
affordability
12. Housing markets in six states are analysed
12All sources for the charts and tables can be found in the “Making Housing Affordable" book
Of the states with high levels of formal housing, some have affordable housing and some do not. The real problems lie in Penang and
the Klang Valley. As the charts show the key factor driving housing affordability is the responsiveness of supply (in terms of house types
and pricing) to effective demand.
-
50
100
150
200
250
300
50korless
>50k-100k
>100k-150k
>150k-200k
>200k-250k
>250k-300k
>300k-400k
>400k-500k
>500k-1m
>1m
(c) MELAKA
Market Median-3 Price:
RM181,044
-
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
5,000
50korless
>50k-100k
>100k-150k
>150k-200k
>200k-250k
>250k-300k
>300k-400k
>400k-500k
>500k-1m
>1m
(a) KUALA LUMPUR
Market Median-3 Price:
RM274,320
-
100
200
300
400
500
600
700
800
900
1,000
50korless
>50k-100k
>100k-150k
>150k-200k
>200k-250k
>250k-300k
>300k-400k
>400k-500k
>500k-1m
>1m
(b) PULAU PINANG
Market Median-3 Price:
RM169,272
-
400
800
1,200
1,600
2,000
50korless
>50k-100k
>100k-150k
>150k-200k
>200k-250k
>250k-300k
>300k-400k
>400k-500k
>500k-1m
>1m
JOHOR
Market Median-3 Price:
RM187,092
-
500
1,000
1,500
2,000
2,500
3,000
3,500
50korless
>50k-100k
>100k-150k
>150k-200k
>200k-250k
>250k-300k
>300k-400k
>400k-500k
>500k-1m
>1m
(a) SELANGOR
Market Median-3 Price:
RM223,704
-
400
800
1,200
1,600
50korless
>50k-100k
>100k-150k
>150k-200k
>200k-250k
>250k-300k
>300k-400k
>400k-500k
>500k-1m
>1m(b) NEGERI SEMBILAN
Market Median-3 Price:
RM148,608
‘Severely unaffordable’ market, 2014 ‘Seriously unaffordable’ market , 2014
‘Moderately unaffordable’ and ‘affordable’ markets , 2014
13. Down-market penetration in Malaysia
13All sources for the charts and tables can be found in the “Making Housing Affordable" book
An overview of Malaysia’s residential market reveals that in aggregate, new
launches within the lowest-price range has dropped from 36.4% out of
total launches in 2004 to only 19.7% in 2014.
In 2014, the down-market penetration for the lowest-priced dwelling unit
ranged from 0.9 to 1.8 times, quite significantly below the 3.4 global value
previously estimated.
k = thousand
m = million
1. The type of properties included are: Single storey terrace, 2-3 storey terrace, Single storey semi-detached, Detached, Town-house, Cluster, Low-cost flat, Low-cost house, Flat, and Condominium.
2. NAPIC uses different house price ranges from 2004 to 2007, 2008 to 2012 and 2013 to 2014, therefore the charts are divided according to the respective range.
Range of down-market penetration ratios
for selected states, 2014
Area
Down-market penetration
range
Kuala Lumpur 2.7 - 3.2
Pulau Pinang 0.9 - 1.8
Johor < 0.8
Selangor 0.7 - 1.3
Negeri Sembilan < 1.0
Melaka < 0.8
Launched residential units by price range, 2004 - 2014
15. More households, more houses needed
15All sources for the charts and tables can be found in the “Making Housing Affordable" book
Population, households and household sizeMalaysia’s population has been growing, with forecasts
that it will continue to grow. However, the size of
households is getting smaller.
In 1970 there was an average of 5.5 people per
household or, to put it another way, there were about
182 households for every 1,000 people. By 2020 the
forecast is that the average will be 4 people, or 250
households for every 1,000 people.
The number of households is therefore increasing at a
faster rate than the growth of the population.
Malaysian population size (‘000), 1970 - 2040
Number of households and household size in Malaysia, 1970 - 2020
F denotes projected figures.
16. Urban workers, suburban families
16All sources for the charts and tables can be found in the “Making Housing Affordable" book
A ‘housing market’ can
never be separated from the
physical amenities planned
and therefore is intrinsically
anchored within the
planning of cities, towns and
the connections to rural
areas.
Population density according to mukim, 2010
Total Population density Population density of 0-14 year olds
Population density of 24-39 year olds (workers) Population density of over 60 year olds
17. Affordability and a Well-Functioning Housing Sector
17All sources for the charts and tables can be found in the “Making Housing Affordable" book
Another regularity of demand is that
low-income households generally
allocate greater fractions of their
income toward housing than do better
off households. This general pattern is
observable through the Household
Expenditure Survey 2010.
0%
20%
40%
60%
80%
100%
<0.5k
0.5k-<0.6k
0.6k-<0.7k
0.7k-<0.8k
0.8k-<0.9k
0.9k-<1k
1k-<2k
2k-<3k
3k-<4k
4k-<5k
5kandabove
Housing & utilities
Health
Education
Alcoholic beverages & tobacco
Recreation & culture
Clothing & footwear
Miscellaneaous goods &
services
Furniture & household
maintenance
Food & non-alcoholic
beverages
Transport
Restaurant & hotels
Communication
Percentage of monthly expenditure on goods & services by
expenditure category, 2010 (RM)
18. Theory of housing prices – the dominance of the
stock of real property on its price
18All sources for the charts and tables can be found in the “Making Housing Affordable" book
19. Construction costs fall, house prices rise
19All sources for the charts and tables can be found in the “Making Housing Affordable" book
All regions experienced a reduction in building costs in the period 2011 to 2012. If we assume that there is a gestation period for the
construction process, then we should expect a reduction in house prices to have occurred in 2013 or 2014. However, this was not the
case.
House prices and construction costs according to states, 2008 - 2014
80
100
120
140
160
180
2008 2009 2010 2011 2012 2013 2014
House price
House price
House price
House price
Material cost
Labour cost
Machinery &
N. Sembilan
Melaka
Equipment
cost
K. Lumpur
Selangor
80
100
120
140
160
180
2008 2009 2010 2011 2012 2013 2014
House price
House price
House price
Material cost
Labour cost
Machinery &
cost
Equipment
P. Pinang
Perlis
Kedah
80
100
120
140
160
180
2008 2009 2010 2011 2012 2013 2014
Labour cost
House price
Sabah
Material cost
Machinery &
cost
Equipment
80
100
120
140
160
180
2008 2009 2010 2011 2012 2013 2014
Labour cost
House price
Sarawak
Material cost
Machinery &
cost
Equipment
20. Effect of urbanisation
20All sources for the charts and tables can be found in the “Making Housing Affordable" book
42.4
50.5 51.4 53.8 54.0
59.1
64.6 66.5 69.7 71.9
82.3 86.5 90.8 91.4
100 100
Kelantan
Pahang
Perlis
Sarawak
Sabah
Terengganu
Kedah
N.Sembilan
Perak
Johor
Labuan
Melaka
P.Pinang
Selangor
K.Lumpur
Putrajaya
Urbanisation level by state, 2010 (%)
Urbanisation rate is important since it brings more people to a site, and by the weight of numbers, in the momentarily period,
when supply is fixed, an increase in demand will increase house prices drastically. But it also depends on the regulation that has
been imposed on the site, if there is an urban containment policy (to contain urban sprawl) or not.
21. Housing markets in six states are analysed
21All sources for the charts and tables can be found in the “Making Housing Affordable" book
Housing demand and supply interventions in Malaysia
On the supply-side, the Federal and state governments have mainly
focused on the direct provision of affordable homes, either through
public agencies or through partnerships with private developers.
Examples of these interventions are (see table):
Public affordable housing schemes in Malaysia
Affordable housing schemes range from low-cost homes priced below
RM100,000 to the RM400,000 houses sold under the PR1MA scheme (see
figure). Four of these public affordable housing programs not only provide
assistance to the bottom-40% of households, but the middle-40% as well;
housing affordability is not only a lower-income challenge.
22. The Intervention: Make the Supply Side More Elastic
22All sources for the charts and tables can be found in the “Making Housing Affordable" book
Until now, policies have focused on managing
house prices once the consumer receives the house
at the end of the production process. This includes
increasing access to finance (inefficient demand
intervention) or subsidizing supply that are high-
priced (unresponsive down-market penetration).
This report takes a different approach because the
evidence shows that it is far more efficient to
enhance capacity and make the supply curve more
elastic in an efficacious manner, investing in
innovation and productivity as well as and
improving the national business system.
The effect of time on the conditions of supply
Because, the more elastic the supply curve is, (from Ss to Sl), a
shift in demand will bring about more units supplied but with a
lower increase in price.
23. 23All sources for the charts and tables can be found in the “Making Housing Affordable" book
Therefore, it is important to
reconsider housing as a
social welfare issue and
move towards a broader
agenda of guiding and
managing the housing sector
as a whole.
The housing sector must be viewed as an
important and productive sector, where policies
have serious repercussions for overall
economic performance and not, as is
commonly viewed (especially for low-cost
housing) as a sector which is a drain on
productive resources.
Our case study in the Philippines (8990
Holdings) demonstrates this salient point, that
building houses for low-income households
can be profitable.
The imperative issue here is that people do not
demand just ‘houses’, they demand places of
living, or habitat. If we are building houses as a
‘product of the building industry’, then
regulations on land or the provision of public
amenities are secondary to the building
regulations that ensure fitness for occupation.
The DECA Home Resort Residences developed by 8990 Holdings in Mintal, Davao
City, Philippines. Two bedroom houses start at PHP715,000 (approx. RM57,200
at market exchange rate).
A habitat on the other hand, ensures a multiplicity of networks within its
node; ranging from physical (power, water and sanitation, roads), economic
(urban transport, labour markets, distribution and retail) and social
(education, health, security, family and friends). The ability to connect all of
these networks makes a habitat valuable.
25. What is the national business system
for housing?
25All sources for the charts and tables can be found in the “Making Housing Affordable" book
The industry value chain
The Malaysian construction industry is characterised by the
one-off nature of construction projects, because most
construction projects have definite project durations and the
project organisation is of a temporary multi-organisation
structure.
Construction demand is a series of one-off projects, each with
its own unique design, tendered competitively on price, and
with its own temporary project coalition. Set against the
naturally volatile nature of the construction industry (see right
figure), contractors tend to focus on the acquisition of new
contracts rather than focusing on efficiently delivering projects
currently in hand.
The Project Environment and the National
Business System
-30%
-20%
-10%
0%
10%
20%
30%
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
2012
2014
GDP growth
Construction
contribution
to GDP (%)
-30%
-20%
-10%
0%
10%
20%
30%
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
2012
2014
Construction
sector
growth
Construction sector growth and Malaysian economic trend
Construction and GDP
Construction sector growth
A B
INSTALLATION
&FINISHES
STRUCTURE
DESCRIPTION
DEVELOPER
PURCHASER
DEFINITION
CONSTRUCTDESIGN
26. Malaysia Case Studies
26All sources for the charts and tables can be found in the “Making Housing Affordable" book
Findings
Overall, the five case studies show that the consolidation of the
main players in the temporary project coalition (developer,
architect, quantity surveyor, contractors, etc.) led to better working
arrangements between the parties involved.
However, the efficiency of the temporary project coalition in terms
of management did not transcend inefficiencies due to the
technical production discontinuity of the project. The actors of the
project behaved as one entity in terms of producing “workable
order” as an organisational construct (decision-making and
adaptation) but not in terms of technical continuity (a production
construct).
The consolidation also did not lead to any improvements in
productivity nor did it create any incentives to invest in R&D of
construction technology to reduce construction costs. The design
did not take into account ease of assembly on site, nor were any
new techniques of construction developed between the design
and construction team.
The industry value chain – application to the
five case studies in Malaysia
A B
INSTALLATION
&FINISHES
STRUCTURE
DESCRIPTION
DEVELOPER
PURCHASER
Material AssemblyTechnology
DEFINITION
CONSTRUCTDESIGN
27. Malaysia Case Studies (cont’d)
27All sources for the charts and tables can be found in the “Making Housing Affordable" book
The functional form and the selected governance structure
of the five case reports
28. Case Study: 8990 Holdings, Inc.
28All sources for the charts and tables can be found in the “Making Housing Affordable" book
Summary findings
In terms of the housing production value chain, the case study
highlighted the following characteristics demonstrated by 8990
Holdings:
The project design is done by the internal development team
and product innovation is encouraged.
The developer invests in the training of the site operatives in the
external construction firm to ensure that the technology created
by its internal design team can be executed on site. Any
problems of execution on site will be filtered back into the
design process for further refinements on behalf of the design
team.
Product development is continuously encouraged and is
designed into the building specifications which can be readily
applied on-site as a result of the extensive training given to the
site operatives.
The responsibility for managing the project resides entirely in
the developer’s entity.
Transaction A is internalised while transaction B is executed by
in-house nomination (see figure).
The developer created a financing scheme that accommodates
consumers who have insufficient funds for the initial down
payment on the house.
The industry value chain: a case study in the
Philippines
MORTGAGES
INSTALLATION
&FINISHES
STRUCTURE
DESCRIPTION
DEVELOPER
PURCHASER
Material AssemblyTechnology
A B
DEFINITION
Handover
FINANCECONSTRUCTDESIGN
29. What are Our Limitations in ProducingAffordable
Homes based on Current Institutional Context?
29All sources for the charts and tables can be found in the “Making Housing Affordable" book
Comparison between 8990 Holdings and Malaysian property developers These conclusions suggest that the
consolidation of the supply chain follows
best practices as exemplified by 8990,
whereby firms themselves invest in
adopting new technologies as well as in
training site operatives to execute the
newly introduced technology.
31. New governance structure
31All sources for the charts and tables can be found in the “Making Housing Affordable" book
The new structure is designed to change attitudes
and alter the way in which members of the
professions and contractors interact with one
another, with a view to creating a fully motivated
and cooperative building team and removing the
duplication of effort between designers, quantity
surveyors and contractors, which is prevalent under
the TGC governance structure.
The nature of the integrated approach should
promote the creation of designer–contractor–
supplier clusters.
The functional form and the selected governance structure of the
five case reports and the suggested new governance structure
32. Develop Measures to Improve the Efficacy of the
Construction Industry’s Delivery System to Supply
Housing atAffordable Prices
32All sources for the charts and tables can be found in the “Making Housing Affordable" book
The existing national business system for construction is one which is highly fragmented, underpinned by a rigid
procurement system that provides little incentive for innovation, which in turn reduces efficiencies and keeps costs high.
Property developers rely on construction firms to innovate without themselves investing financially in research and
development and innovative production methods. Contractors on the other hand depend solely on external IBS or
proprietary systems. Lack of training for construction workers will mean that the design will not be able to be assembled
on site.
The 11th Malaysian plan has in its Strategy D2, a focus on
driving productivity by increasing technology adoption,
modernisation of construction methods and on reducing
dependency on low-skilled labour.
It also encourages the adoption of the IBS by the industry
through revision of the public procurement policy and
Uniform Building By-Laws; as well as wanting to improve
on existing regulations to ease construction-related
business processes. The following policy recommendation
and steps will attain the desired objectives of Strategy D2.
1. A new designated procurement delivery system that allows
for the consolidation of the resources of firms within the
supply chain. This entails a move from using the TGC
procurement route towards a design-and-build or turnkey
governance structure and forming framework agreements
with the material supply section.
2. Extending the consolidation of the supply chain in the
design-and-build approach into a clustering approach with
key material supply firms under a framework agreement
would enable a strong resilient housing supply cluster to be
built.
The policy recommendation is to develop a designated procurement route to consolidate the
resources of the firms involved in delivering affordable houses
33. Develop Measures to Improve the Efficacy of the
Construction Industry’s Delivery System to Supply
Housing atAffordable Prices (cont’d)
33All sources for the charts and tables can be found in the “Making Housing Affordable" book
1. This new procurement structure will create institutional
arrangements with designers, contractors and material suppliers
to encourage improvements in their factor productivities and
efficacious management of building materials.
2. The cost-savings accrued as a result of lower construction costs
based on construction innovation will be translated into higher
floor areas for the newly constructed homes.
3. The creation of this new cluster of firms will improve the prices of
new incoming stock of houses (making them more affordable to
the general public) as a result of:
The functional form and the suggested new governance
structure
the lower costs of construction resulting from the use of
proprietary building systems and the integration of design,
construct and assembly processes
the support of government in site-seeking and purchase, obtaining
planning permission and building regulations approval, financing
facilities and other associated development components
the support of government for the development of mandatory
standard building specifications for the newly constructed homes.
34. Develop Measures to Reduce Pressures Leading to
Rapid House Price Escalation
34All sources for the charts and tables can be found in the “Making Housing Affordable" book
1. The supply of new stock of houses produced through
the newly-designed procurement route needs to be
insulated from short-term speculative behaviour in
order for the initiative to be successful.
2. For houses built through the new designated
procurement route, a moratorium is needed to create a
buffer period for new stock to come in at affordable
prices as well. If the new stock is affordable and costs
are lower than the speculative prices, this will evidently
diminish the gains from speculative activities. A
moratorium has the objective of curbing the rapid price
escalation of houses. Therefore, if there is an urgent
sale before the period of five years, then the unit can
still be sold but based on nominal values.
Land is a derived demand and the rapid escalation of house prices will induce bidding for land prices to its maximum
potential returns away from other types of competing uses. From 2000 to 2014, the Malaysian house price index showed
a compound annual growth rate of 5.6% as well as an overall increase of 131.5% in house prices.
Short-term speculative behaviour will only serve to increase house prices and therefore the derived demand for land in
an artificial way, but the impact is permanent. As can be seen from the house price theory and the dominance of existing
stocks from incoming flows, the existing stock of houses will determine the prices of new stock. Ceteris paribus, when no
other cost items are increasing, the high economic rent of proposed new stock will be used to bid higher prices for land.
This creates a vicious cycle of escalating land and house prices.
The policy recommendation is to impose a moratorium of five years on selling houses that are built
through the new designated procurement route:
35. Develop Measures to Plan for a Steady Supply of
Housing atAffordable Prices
35All sources for the charts and tables can be found in the “Making Housing Affordable" book
The policy recommendation is to undertake a National Housing Survey.
The 11th Malaysia Plan has highlighted the mismatch in demand and supply for affordable housing. The document highlighted
the escalating House Prices in Major Cities (following the World Bank Affordability Index which is three times the annual
household income) and cited the lack of integrated planning and implementation as one of the reasons for this problem. In
Strategy B2: Strengthening planning and implementation for better management of public housing, the document
recommends the establishment of an integrated database for all relevant stakeholders (to ensure housing supply matches
demand according to locality, price and target groups). The policy option of creating a National Housing Survey as detailed
(see next slide) will have the desired outcome of Strategy B2.
It is difficult to plan for a steady supply of stock that will effectively reduce the inflationary pressures of an inelastic supply
when effective demand can neither be estimated at the state nor at the mukim level.
Effective demand for housing is dynamic in nature since it reflects the demographics and future prospects of the local
population at each specific site. There is also an internal dynamism at the level of the individual family in terms of the
types of housing demanded according to family composition and the progressive changes in families’ income in the long
term.
While the objective of the National Housing Policy is to provide adequate, comfortable, good-quality and affordable
houses to improve the wellbeing of the people, it does not provide the data and evidence on this housing need or on the
effective demand that would be necessary to implement the policy in a coherent and sustainable manner.
36. Develop Measures to Plan for a Steady Supply of
Housing atAffordable Prices (cont’d)
36All sources for the charts and tables can be found in the “Making Housing Affordable" book
1. A National Housing Survey will provide guidance to Federal and State governments and local authorities, enabling them to plan for
a steady supply of housing at affordable prices through housing programmes at the mukim level, which are based on effective
demand and land suitability.
2. If made public, information collected in the National Housing Survey will also provide the general public with the requisite
knowledge to make better house-buying decisions. As housing consumes a significant proportion of their household incomes, the
general public needs to be able to plan for the purchase and to choose between different types of houses at different prices, which
in turn will lead to better financial planning on their part as well.
3. The proposed National Housing Survey should include:
demand-side analysis: covering the distinct demographic patterns between States at the mukim level (for example, whether
mukims consist predominantly of young dependents and families, working populations or retirees) and incomes.
supply-side analysis: a land suitability assessment including the current land-use patterns and zones.
The demand- and supply-side survey and analysis performed for each state could be repeated every five years to reflect the dynamic and
organic nature of housing programmes.
37. Develop Measures to Plan for a Steady Supply of
Housing atAffordable Prices (cont’d)
37All sources for the charts and tables can be found in the “Making Housing Affordable" book
The National Housing Survey will provide input to each State to enable it to plan for adequate and suitable housing stock to
meet the different needs of the general population at strategic locations. The state and local councils would be required to
monitor the quality and quantity of these new housing stocks and provide more information (input) for the next National
Housing Survey.
1. Currently, there is data available to undertake a supply-side housing land and suitability model. However, the demand-
side data is limited, hence the need to undertake a National Housing Survey. Both sets of demand and supply conditions
could then be analysed to determine the need and policy appropriate at each state and district level.
The National Housing Survey will enable the development of various models with greater resolution and accuracy. This
will provide information on the different solutions needed for each state. Among the possible outputs are:
population forecasts
housing demand range
migration patterns
household size by housing type
social housing against social economic variables
land suitability for different housing types.
2. The National Housing Survey would be best undertaken by both the Federal Town and Country Planning Department
(JPBD) and the National Housing Department (JPN).
38. Summary of Key Findings and Policy
Recommendations
38All sources for the charts and tables can be found in the “Making Housing Affordable" book
Develop measures to improve the
efficacy of the delivery system of
the construction industry to supply
housing at affordable prices.
The policy recommendations and the actions
needed are supply-side interventions to the housing
market. The objective is to make housing supply more
responsive to the purchasing power of population at
specific locations.
Develop measures to reduce
pressures leading to rapid house
price escalation.
These housing units are then buffered under a
moratorium period to reduce the pressures of
escalating house prices after the initial sale. The
moratorium should be of a limited time period only,
sufficiently long enough for the next batch of
housing stock to be supplied into the market at
affordable prices as well.
Develop measures to plan for a
steady supply of housing at
affordable prices.
In the end, a steady supply of housing units should
be planned in order for both supply and demand to
be efficiently matched. The information needed for
efficient planning entails a National Housing Survey
and a national data repository on the conditions of
demand and supply of housing at specific localities.
An integrated database was also recommended in
the 11th Malaysia Plan.
40. Concluding Remarks
40All sources for the charts and tables can be found in the “Making Housing Affordable" book
In most developed countries, issues of affordability for the economically disadvantaged are dealt through social
housing schemes. Social housing is seen as a necessary means of ensuring a decent home for all. However, in certain
countries, this means housing very few households directly, while at the other extreme, the scale of provision can be as
high as one in three households. The trends in Malaysia suggest that both the bottom 40% and the middle 40% of
household income earners are likely to end up in some form of social housing if the relevant interventions are not made
urgently.
The available evidence suggests that unless immediate action is taken, the provision of social housing for the vast
majority of the population will put unnecessary financial pressures on government spending. It makes more economic
sense to ensure that the purchase of a home is financially viable to the general public than it does to rely on existing
models for the provision of social housing.