Prime Minister Najib Abdul Razak’s housing policy announced in 2015 Budget is causing nightmares to fresh graduates and newly married couples in Sarawak.

This is because they will not be able to afford to pay back a loan for a house costing RM500,000 a unit, Sarawak DAP chief Chong Chieng Jen said today.

Chong, who is the MP for Bandar Kuching, was commenting on the federal government’s plan to build 20,000 units of houses in 2015, which will be sold at RM500,000 a unit.

The government also announced it would provide finance to first time house buyers, especially young graduates and newly married couples with incomes of less than RM10,000.

Chong ( left ) said: “In Sarawak, if young couples between the age of 25 and 40 years can earn about RM9,000 or RM10,000, it is considered a very good income. They will belong to the middle and upper class.”

However, he said, given the lower wages in the State, young graduates and married couples who are first time house buyers, and who have just entered the job mark, will together earn RM7,000 a month at the most, if both are graduates.

In most cases, only one of the spouse is a graduate.

'Quite impossible to repay loan'

Working couples in the lower income group would earn less than RM5,000 a month, said Chong who is also Kota Sentosa assemblyperson.

He said: “Even if you earn RM6,000 or RM7,000 per month, it is quite impossible to pay the loan for a house costing RM500,000.

“It is quite impossible even to pay the interest, and needless to say the principal loan. This is because a couple has to pay the car loan and spend on petrol, education of their children and meet other costs of living.

“So, at the end of the day, they are left with a disposable income of less than RM2,000,” the DAP leader said.

The scheme is causing nightmares to young couples in Sarawak, he added.

Expressing displeasure over the housing scheme, Chong said that it was geared towards young couples in West Malaysia.

“It shows the mindset of the so-called planners in Putrajaya.

“The scheme does not suit Sarawak’s conditions, and it is indicative of Sarawakian youths being neglected in the whole budget,” he added.

Chong also wanted to know how many of the 20,000 units of houses would be made available in Sarawak.

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