Government program for 1st time home buyers below 40yo and earning below 10k per month
As part of a "mini" budget - the Government will fund a 24-month mortgage subsidy of RM200 per month (RM4,800 in total) for young couples in their first home.
The program is managed through Bank Simpanan Nasional.
Married couples must be below 40 years old and have a household income below 10k per month.
The allocation is for 200,000 couples - works out to be almost a billion to be disbursed over 2 years.
To me - this is a good bottoms-up pump priming of the economy because it is directly funding discretionary spend that keeps money moving, thus creating wealth.
The only problem is that it can create somewhat of a subsidy mentality but with a relative short period of 2 years, it may not be so bad.
It would definitely mean a lot for the lower income group because it is an extra RM200 in their pocket a month - imagine, if their household income is 3k a month, that's a 6.7% increase in cash to spend.
The program is managed through Bank Simpanan Nasional.
Married couples must be below 40 years old and have a household income below 10k per month.
The allocation is for 200,000 couples - works out to be almost a billion to be disbursed over 2 years.
To me - this is a good bottoms-up pump priming of the economy because it is directly funding discretionary spend that keeps money moving, thus creating wealth.
The only problem is that it can create somewhat of a subsidy mentality but with a relative short period of 2 years, it may not be so bad.
It would definitely mean a lot for the lower income group because it is an extra RM200 in their pocket a month - imagine, if their household income is 3k a month, that's a 6.7% increase in cash to spend.
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