Malaysia

Homebuyers cry foul, accuse developer of price disparities

The purchasers discover that units they purchased at open market prices were allegedly also sold under government-backed affordable housing schemes at substantially lower prices

Updated 3 months ago · Published on 17 May 2026 5:16PM

Homebuyers cry foul, accuse developer of price disparities
A group of 149 homebuyers in Selangor have launched legal action against a property developer - May 17, 2026

CLOEE to 150 homebuyers have demanded answers from a property developer after alleging they were misled into purchasing residential units at full market value, only to later discover similar units were being offered to other buyers at significantly reduced prices under government-backed housing schemes.

The dispute centres on claims that homes initially marketed and sold through the open market were also made available under the Malaysian Civil Servants Housing Programme (PPAM) and the Rumah Selangorku affordable housing initiative at discounts ranging between RM50,000 and RM100,000.

The affected buyers have appointed lawyers Tham Joe Ping and Azri Asyraf Zulkefli of legal firm Tham, Goh and Partner to pursue clarification from the developer and seek an amicable resolution through dialogue and negotiations.

A representative of the buyers, who identified himself only as Iskandar, said many purchasers entered into agreements in 2021 believing the development was being sold exclusively under standard open-market terms.

However, concerns emerged around June last year after buyers allegedly came across social media advertisements promoting units in the same development under the PPAM and Rumah Selangorku schemes.

“That raised serious questions and concerns among buyers because those schemes were never disclosed to us,” Iskandar told reporters during a press conference at the law firm’s office in Seri Kembangan on Sunday.

“As a result, 149 buyers engaged legal representation in June last year and submitted letters of demand to the developer seeking clarification,” he said.

He stressed that the purchasers were seeking a professional and amicable settlement, including direct discussions with the developer to resolve the matter without escalating the dispute further.

Another buyer, identified as Muaz, said the pricing gap had fuelled frustration among purchasers who paid substantially more for what they believed were equivalent units.

“The prices offered to buyers under the other schemes were between RM50,000 and RM100,000 lower than the prices offered to us,” he said.

Lawyer Joe Ping confirmed that several letters of demand had already been sent to the developer through the company’s appointed legal representatives.

In a formal response dated Oct 31 last year, the developer’s lawyers denied allegations of false, misleading or dishonest representations during the sales process.

According to the reply, the developer maintained that the buyers involved were never purchasing units under the PPAM scheme and had instead entered into agreements under open-market arrangements.

“The PPAM scheme is an initiative by the Government of Malaysia. Only eligible civil servants who apply, are screened and approved by the PPAM Unit are permitted to purchase the limited properties offered under the PPAM scheme, and such purchases are subject to specific conditions imposed by the PPAM Unit and the PPAM scheme,” the response stated.

“Therefore, allegations claiming that the project itself is a PPAM project are untrue.”

The developer further argued that it had no authority over approval procedures, eligibility requirements or policy decisions imposed by the PPAM authorities, adding that all transactions were conducted strictly according to the terms and conditions outlined in the sale and purchase agreements signed between both parties. - May 17, 2026

Spotlight

Malaysia

Private university CFO charged over alleged RM6.56m CBT

World

Unleashed 60kg dog in Hong Kong mauls poodle, bichon frise to death (video)

Malaysia

Three family members killed after Immigration truck runs red light

Malaysia

Woman, believed to be foreigner, allegedly causes disturbance at KLIA (video)

Opinion

Has DAP chosen the path to a slow death?

Malaysia

Three years of bullying at school puts 15-year-old at risk of hearing loss

By Alfian Z.M. Tahir

Malaysia

Police officer's wife cries, pleads for leniency after misusing disabled child's account

Malaysia

Organised cybergroups likely behind rise in racial hate on social media

You may be interested

Malaysia

Prosecution challenges Zizie Izette’s acquittal in RM150 million FELCRA bribery case

Malaysia

SSM’s new corporate system clears 70,000 transactions as authorities tackle early disruptions

Malaysia

Organised cybergroups likely behind rise in racial hate on social media

Malaysia

SK Air Hitam Labu student among three killed after being hit by immigration truck

Malaysia

Police officer's wife cries, pleads for leniency after misusing disabled child's account

Malaysia

Govt reviews RM1,700 minimum wage, with possible increase under new wage formula

Malaysia

Fifth MADANI budget to reinforce resilience, lift wages and protect households

Malaysia

AUKU repeal to focus on universities, not students, says Fahmi

By Alfian Z.M. Tahir