Vacancy tax may make property market worse - Mipeac

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Real estate agents urge government to instead look at ways to help developers, who made bad decisions, to sell properties instead of penalising them.

The Malaysian Institute of Professional Estate Agents and Consultants says it believes the proposed implementation of a vacancy tax is untimely during the current weak property market as it may further erode the sector and the economy.

"Mipeac deems such a legislation ineffective to solve the overhang issue," the institute said in a statement today, while urging the government to relook at the decision to impose a vacancy tax on developers who fail to sell their properties within a specified time slated for implementation next year.

"Apart from the unsold units from developers, there are also other contributors to the current supply glut in the market such as unreleased Bumiputera lots, low-cost housing in undesirable locations and PR1MA homes,” it said.

 

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