In case you’re out of town, hibernating somewhere in Siberia (like the guy from Primitive Technology) to cleanse yourself from social media then you must have heard the commotion in the property industry revolving one particular topic - the Home Ownership Campaign 2019 (HOC), the newest revelation in property developments coined by our very own government along with a supportive number of developers, 51 to be exact.

Officially launched by Prime Minister Tun Dr Mahathir Mohamad on March 1, 2019, this initiative was actually tabled earlier last year by Finance Minister, Lim Guan Eng during last November’s Bajet 2019. Yes we know, dropping VVIP names doesn’t put much weight to it but we’re here to lay some groundwork as to what HOC means and how it may help you own your first house without making a bigger dent in your wallet.

What is HOC? It’s basically a campaign to help people like you cushion your first house purchase, with the key elements of the campaign being: 100% WAIVER of stamp duties 10% DISCOUNT on house prices

The stamp duty waiver is quite clear. The 100% part even better with stamp duty waivers on the instrument of transfer and the loan agreement, which means your house purchase made under this campaign will get you (up to) 100% DISCOUNT on stamp duty. Stamp stories aside, in order for developers to get on board with the campaign, the government has instructed them to offer a minimum 10% DISCOUNT on properties with additional discounts at the discretion of developers.

HOC Lends Its Helping Hands Flashback five to 10 years ago, the property scene was on a steady rise with developers working double time to cater to rising demands by the young folks moving up the career ladder, earning enough to own comfortable cribs to call their own. The Prime Minister in his officiating speech was quoted, “The city has become a place that the younger generation call their 'kampung' and they are more keen to own a home here. Hence, there was a surge in demand for homes.” “However, hence the demand comes from those who do not yet have a good financial background, home ownership can only take place if the price of the property price is within what they can afford,” he continued, announcing the government’s latest effort to provide sufficient affordable homes for Malaysians. This surge mentioned by the PM has resulted in a serious overhang situation where over 40,000 units were left unsold (amounting to a value of RM29 million) as of Q3 last year, the sole reason why this campaign was reintroduced where the government is aiming to halve this amount, at the very least.

YOU, ME and KPKT While it may sound like a love triangle midnight movie, these acronyms are the crucial elements of the campaign, which may bring you to your next question: ‘Am I eligible?’ As long as you’re a Malaysian and you’re planning to buy your first home, then you are the chosen one, with the exception of one single clause - This campaign is ONLY eligible for developers registered under the Real Estate & Housing Developers' Association Malaysia (REHDA) if you’re in Semenanjung and SHAREDA & SHEDA if you’re our brothers & sisters from Sabah & Sarawak. To not crush your hopes, crosscheck your developers here or here before you embark on your house search. A solid collaboration between various ministries, mainly the Housing and Local Government (KPKT), this campaign requires the participation of developers registered to REHDA (also SHAREDA & SHEDA) where KPKT and the associations act as the governing bodies to honour the agreement between buyers (you) and sellers (developers).

And for the 10% DISCOUNT, the guideline is as follows: A minimum of 10% discount from approved AP/DL pricing

Applicable to ALL units not subjected to government price control The discount is given based on approved APDL pricing and must be reflected in the SPA. Eligible properties in Peninsular Malaysia must be registered with the Real Estate and Housing Developers’ Association (REHDA) Malaysia, while eligible properties in Sabah and Sarawak must be registered with the Sabah Housing and Real Estate Developers Association (SHAREDA) and the Sarawak Housing and Real Estate Developers’ Association (SHEDA) respectively.

The Rule of Engagement The Sale and Purchase Agreement (SPA) must be signed within the Campaign period.

It’s only for residential properties in the Primary Market, meaning you’re buying directly from the developer, not a sub-sale unit (Secondary Market).

But what happens if you bought a house back in January but only found out about this Property Black Friday today? Well, the rule does not say you’re out of the game yet. Provided that your unit is registered under REHDA for HOC and the 10% discount is reflected in your SPA, you are absolutely entitled to a refund. High five!