Budget 2025: Campaigns, Incentives & Exemptions
Housing Credit Guarantee Scheme (SJKP)
Funding limit: Up to RM500,000 (including the amount of principal financing, MRTA/MRTT, LTHO, legal fees and appraisal fees);
Funding guarantee: SJKP provides up to 110% financing, covering property cost plus expenses, up to RM500,000; SJKP MADANI offers up to 120% financing (max RM360,000) including renovation/furnishing;
Funding period: Up to 35 years, or until borrower reaches age 70—whichever occurs first;
Mandatory deposit equivalent to 3 months of monthly payments.
Tax Relief for First-Time Homebuyers
New in Budget 2025, this relief allows first-time purchasers to claim up to RM7,000 per year (for properties priced up to RM500,000) or RM5,000 per year (for properties RM500,001–RM750,000) on their home loan interest;
The relief is valid for three consecutive assessment years, but it only applies if the Sale and Purchase Agreement (SPA) is signed between 1 January 2025 and 31 December 2027;
To qualify, the property must be owner-occupied and not used to generate rental or other income;
This measure provides a significant financial advantage, especially when combined with stamp duty exemptions.
BNM First Home Scheme
The Skim Rumah Pertamaku (SRP) is a government-backed programme coordinated by Cagamas SRP Berhad under Bank Negara Malaysia to help Malaysians buy their first home without needing a large upfront deposit.
Banks give up to 105 % financing and the scheme guarantees the portion above 90 % so lenders are willing to approve high-loan-value mortgages.
Eligibility:
Must be a Malaysian citizen
First-time homebuyer (single or joint with immediate family)
Income limit: varies by bank, generally up to RM5,000/month for single or RM10,000/month household
Property Criteria:
Residential only (new, completed or subsale)
Owner-occupied (not purely for rental/investment)
Price cap: up to RM500,000
Financing Features:
Up to 105% financing:
100% of the property price
plus up to 5 % to cover MRTA/MRTT premium, legal & valuation fees
No downpayment required
Loan tenure: up to 35 years or until the borrower turns 70
Amortising loan (no redraw/flexi features)
My First Home Scheme by Maybank
Similar to the BNM First Home Scheme, is part of a government-backed financing initiative aimed at helping first-time Malaysian homebuyers (including salaried and self-employed individuals) purchase residential property with minimal upfront cost and favorable financing terms.
Eligibility:
Malaysian citizens only
Must be a first-time homebuyer
Income cap: Individually up to RM5,000/month, or combined household total up to RM10,000/month
Property Requirements:
Residential properties only (new, under-construction, or subsale—primary or secondary market)
Must be owner-occupied (not solely for investment or rental purposes)
Price ceiling: up to RM500,000
Financing Features:
Up to 105% financing:
100% of the property price
plus up to 5 % to cover MRTA/MRTT premium, legal & valuation fees
No downpayment required
Loan tenure: up to 35 years or until the borrower turns 70, whichever occurs first
Amortising loan (no redraw/flexi features)
HouzKEY Homeownership Plan
For the first home priced up to RM500,000 (SPA signed before 31 Dec 2025)
Only applicable to residential properties, excluding SOHO/SOFO/SOVO/serviced residences
First-time homebuyers must be Malaysian citizens. Also applicable for abandoned housing projects under developers appointed or approved by the Minister of Housing and Local Government to carry on rehabilitation works for said projects.
Buyer must not already own a residential property, inherited/gifted/jointly-owned property included
The exemption is given at 2 stages of transfer, i.e. from the property developer to a qualifying financial institution/bank, and from the bank to the Malaysian citizen.
HOC 2.0 / Free Stamp Duty on MOT & Loan Agreement
Maybank's HouzKEY is a Shariah-compliant homeownership plan offered by Maybank Islamic, based on the Islamic Ijarah Muntahiyah Bi Tamlik contract, which essentially operates like a rent-to-own (RTO) arrangement. It is designed to help Malaysians overcome the high upfront cost of homeownership by providing flexible financing and improved cash flow during the early years.
Key Features of HouzKEY:
100% Financing / No Downpayment - HouzKEY offers full financing
No Payments During Construction - Borrowers only start making payments after the property is completed (i.e., upon receiving the key or vacant possession)
Lowest Initial Monthly Payments - The payment structure is designed to be light during the first 5 years, helping buyers manage cash flow efficiently
Refundable 3-Month Security Deposit - Instead of a typical downpayment, a refundable security deposit equal to three months' installment is required upon signing the SPA and financing agreement. This deposit is refunded if there are no outstanding obligations at the end of the tenure
Flexible Tenure Structure - Initial tenure is 5 years, followed by the option to extend the term up to a total of 35 years, or until the borrower turns 70, whichever comes first
Eligibility Requirements
- Open to Malaysian citizens aged 18 to 70- Applicants can include up to three immediate family guarantors to enhance approval chances.
- Must not hold more than one existing home financing at the time of application
Rent-to-Own (RTO) PR1MA (with Maybank)
Open to Malaysian citizens, aged 21 years and above
Offers the M40 group an opportunity to own a PR1MA home via a rent-to-own model
Designed for individuals who can’t afford upfront costs, offering a flexible, gradual ownership path
A 5-year moratorium will be imposed on the property, during which it cannot be sold/transferred without approval from PR1MA
Property priced between RM100,000-RM400,000; must be owner-occupied and no subletting is allowed
Applicants must have an individual/combined (husband & wife) monthly household income of RM2,500-RM15,000
Applicants must not own more than one property, between them and their spouse.
Smart Sewa (Rumah Selangorku)
Smart Sewa is a rent-to-own housing programme by the Selangor state government. Successful applicants rent a Rumah Selangorku home for a few years first, and part of their rent is saved as a deposit. When they are ready, they can use that saved deposit to buy the home.
Benefits of the Smart Sewa programme:
No big upfront deposit needed
Helps tenants gradually become homeowners
State government actively funding and expanding the scheme in 2025
How It Works:
Rental period: 2–5 years
30% of your rent is refunded or used as a down payment if you buy the home within 5 years
Monthly rent: from about RM600–RM650 (depends on location & property type)
Designed only for Selangor homes
Who Can Apply:
Malaysian citizens who live, work and vote in Selangor
No current property ownership in Selangor
Income limits:
Type A (low-cost): ≤ RM5,000/month household
Type B, C & D (affordable): ≤ RM15,000/month (priority for < RM10,000)