IDEAS: Developers can rent out unsold homes

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PETALING JAYA (Oct 30): The Institute for Democracy and Economic Affairs (IDEAS) has suggested to developers that they can try renting out unsold homes since there is a property overhang situation, reported Free Malaysia Today (FMT).

IDEAS economist Carmelo Ferlito (pictured) suggested that “developers could hold on to their unsold properties and wait for the market to pick up again by offering rent-to-own schemes”.

But he also added that “prices are unlikely to drop to the point they fell into the so-called affordable category of RM300,000”, reported the news portal.

“For the unsold stock, probably one solution is for the developers to become landlords, to start renting out the unsold units and at least get some cash flow in,” he said.