KUALA LUMPUR: Amid high housing loan rejection rates, access to financing continues to be a major issue for first-time buyers. However, the total cost of financing will increase by 8.8% or RM53,258.43 to RM661,320.16 if the loan tenure is extended to 40 years,” BNM said. “On a macro perspective, affordability of house prices needs to meet with people’s income level. Independent economist Chung Tin Fah concurred that extending the house loan tenure period was not feasible due to the high risk level. He added that developers should review house prices because it was not fair for banks to bear the burden of financing house buyers due to increasing prices.

Source: The Edge Markets September 21, 2016 00:56 UTC