Prices for affordable houses rise by 20-25%.
The rising cost of construction materials, combined with rising demand for lower-priced homes, has resulted in a 20-25 percent increase in selling prices for affordable homes.
According to the Johor Housing Development Board, the Type A affordable home price has been raised from RM40,200 to RM50,000, and the Type B affordable home price has been raised from RM80,000 to RM100,000. This demonstrates that prices for affordable housing are also rising.
Construction material costs are being revised up 1.8% to 11.8% through December 2022, according to DOSM. If the price rise continues, there may be no houses available for less than RM200,000.
The government intends to construct 500,000 affordable houses by 2025. This policy has increased demand for houses priced under 300,000 ringgit while also raising the prices of certain types of affordable housing.
The cost of an affordable home will vary depending on its location; for example, an affordable home near a train station or school will be more expensive.
