MBSB IB Sees Budget 2026 Prioritising First-time House Buyers
KUALA LUMPUR, Sept 12 (Bernama) -- MBSB Investment Bank Bhd (MBSB IB) expects Budget 2026 to continue its focus to improve home ownership for first-time buyers, with incentives to include stamp duty exemptions and a Home Ownership Campaign (HOC) to support the low- to middle-income group.
In a note today, the investment bank said new housing market models under the 13th Malaysia Plan (13MP) reform could also be introduced, such as the build-then-sell concept and enhanced rent-to-own schemes.
“The build-then-sell model aims to lower risk to buyers and reduce the number of abandoned projects and this new model may pose financial challenge to developers with strained cash flow or high net gearing.
“With greater financial risk for developers under the build-then-sell model – construction cost must be funded upfront – this will increase costs for developers and subsequently lower housing supply,” it said.
On the market outlook, MBSB IB said new property sales in the first half of 2025 (1H 2025) were in line with expectations with most developers maintaining their sales targets while anticipating stronger momentum in the 2H 2025 on the back of more launches.
Citing data from the National Property Information Centre (NAPIC), the investment bank said Malaysia’s residential overhang rose for the third consecutive quarter to 26,911 units in 2Q 2025 – the highest since 2023 – driven by a 1,990-unit surge in Kelantan.
Nevertheless, it expects the property sector to remain stable, supported by healthy buying interest.
“Despite the rising residential overhang, we believe the situation in key states remains manageable, which should keep market sentiment positive,” it said.
-- BERNAMA