Strategies to implement the “build then sell” housing delivery system in Malaysia

An Overview of Housing Purchase and Delivery System in Malaysia

“…It can be said that house buyers are able to purchase a house through two methods of HDS using STB or BTS from the developers who is responsible to produce a house with the financial assistance from a financial institution. For over 50 years, STB system has been able to meet the backlog of housing needs in Malaysia (12). However after the emergence of abandoned houses during 1980s and early 1990s recession period, the STB system has been perceived as susceptible to abuse by the developers who choose to take advantage of the system (12).…”

“…However, the prospect shows that house buyers (purchasers) still tend to own a house eventhough they are aware of several issues within the housing market supply such as issues of delay, abandonment, price hike and low quality in construction workmanship which are frequently discussed (1)(2)(3)(4)(5)(6). The various authors discussed the issues that are plaguing the housing industry which are related with the drawbacks of conventional housing delivery system (HDS) which is known as Sell Then Build (STB) (1,3,(7)(8)(9)(10)(11)(12). Recognizing the issues, the government provides another alternative strategy alongside with STB method by urging the Build then Sell (BTS) HDS which is conversely differs with developers' practice.…”

Measuring Operational Affordability of Public Low-Cost Housing in Kuala Lumpur. Case study of People’s Housing Programme Public Low-Cost Housing in Kuala Lumpur

“…This paper is concerned with public low-cost housing under the National Economic Action Council ( The housing industry's typical mode of delivery is the "sell then build" (STB) that has been practiced for decades long, which allows developer to sell houses based on brochures and scaled models before building them (Fen, 2007;Yusof et al, 2010). This model has raised many issues and grievance to home-buyers who had to endure substandard workmanship, late delivery of houses and abandoned projects (Fen, 2007;Yusof et al, 2010).…”

“…This model has raised many issues and grievance to home-buyers who had to endure substandard workmanship, late delivery of houses and abandoned projects (Fen, 2007;Yusof et al, 2010). In 2006 the government announced a new delivery system, the "build then sell" (BTS) to running concurrently with the traditional STB system for a trial period of 2 years, in order to help resolve these issues (Fen, 2007;Yusof et al, 2010 This exemplifies insufficient provisions by both the public and private sector to meet the growing demand for low-cost housing, and the importance of low-cost housing within the residential context. This growing demand is due to a growing urban population, where the housing market is extensive and purchasing power is higher than rural areas (National Housing Department, 2011).…”

The challenge of rural life nostalgia: barriers in redevelopment of Malay Reserve Land (MRL) in Klang Valley

“…The land value for the non-Malay reserve is more than four times the value of Malay reserve land (Buang 1997). Consequently, issues related to the development of Malay reserve land are focused on the legislative barriers such as restrictions in land dealing, collateral, and multi-level ownerships (Yusof et al 2010).…”